If you own a condo, you’re probably paying monthly maintenance fees—but do you know exactly what you’re paying for? Many condo residents wonder if their fees are too high, why they keep increasing, and whether they’re getting good value for their money.

Condo maintenance fees are essential for keeping your building running smoothly, covering everything from daily upkeep to long-term repairs. In this guide, we’ll break down exactly what these fees cover, what they don’t, and why they change over time.

What Are Condo Maintenance Fees?

Condo maintenance fees (also known as condo fees) are monthly payments that cover the operating costs of your building or community. These fees are shared among all owners based on the size of their unit, typically calculated by square footage or the proportionate share assigned in the condo’s declaration.

Unlike renting, where a landlord is responsible for maintaining the property, condo owners share the costs of running their building. These fees ensure that the common areas and amenities remain in good condition and that the building’s long-term financial health is secured.

How Are Condo Fees Calculated?

The amount you pay is determined by the annual operating budget set by the condo board, which includes:

• Daily operating expenses (cleaning, landscaping, utilities)
• Contributions to the reserve fund (for major repairs and replacements)
• Insurance and administrative costs

Your condo board, often with the help of a property management company, reviews the budget yearly and adjusts fees as needed.

What Do Condo Maintenance Fees Actually Cover?

Many condo owners wonder, Where does all this money go? Here’s a detailed breakdown of what your maintenance fees typically cover:

1. Utilities & Essential Services

Depending on your condo, some or all of these utilities may be covered:

• Water & Sewage – Ensures clean running water and proper drainage.
• Heating & Cooling – If your building has centralized systems, the cost is shared.
• Electricity for Common Areas – Keeps hallways, lobbies, and elevators lit.
• Garbage & Recycling Collection – Regular waste removal for all residents.

What’s not covered? If your unit has separately metered hydro, you’ll need to pay for your electricity usage directly.

2. Building Maintenance & Repairs

To keep your condo building in good shape, your fees cover:

• Routine Cleaning & Janitorial Services – Cleaning of common areas like hallways, lobbies, and shared spaces.
• Exterior Maintenance – Upkeep of roofs, windows, and exterior walls.
• Common Area Repairs – Fixing broken doors, elevators, plumbing, or HVAC systems in shared areas.
• Pest Control – Regular inspections and treatments to prevent infestations.

What’s not covered? Repairs inside your unit, like fixing a leaky faucet or replacing appliances, are your responsibility.

3. Reserve Fund Contributions

Every condo sets aside money in a reserve fund, which acts like a savings account for major future expenses. Your fees contribute to this fund, which is used for:

• Roof replacements
• Elevator repairs
• Parking garage resurfacing
• Major HVAC system upgrades

This fund helps prevent special assessments, which are unexpected one-time charges for repairs when there isn’t enough money saved.

Why is this important? A well-funded reserve means fewer surprise costs for owners down the road.

4. Security & Safety

If your condo has security features, your fees may cover:

• Concierge & Security Staff – 24/7 or part-time personnel at the front desk.
• Surveillance & Keyless Entry Systems – Security cameras and fob access.
• Fire & Life Safety Systems – Inspections and maintenance of sprinklers, alarms, and smoke detectors.

What’s not covered? If your building allows private security services for individual units, you’d have to pay for that separately.

5. Landscaping & Snow Removal

For buildings with outdoor spaces, maintenance fees typically cover:

• Lawn Care & Tree Maintenance – Seasonal planting, grass cutting, and pruning.
• Snow Removal & Salting – Keeping pathways, parking lots, and entrances safe in winter.

What’s not covered? Some condo townhomes require owners to maintain their individual yards.

6. Amenities & Shared Spaces

If your condo has amenities, part of your fees go toward their upkeep. This may include:

• Swimming Pools & Hot Tubs – Regular cleaning and repairs.
• Fitness Centers & Gyms – Equipment maintenance and sanitation.
• Party Rooms & Lounges – Cleaning, utilities, and furniture upkeep.
• Guest Suites – Maintaining short-term rental suites for visitors.

What’s not covered? If your building charges a reservation fee for private use of amenities, that’s a separate cost.

7. Insurance & Administrative Costs

• Condo Corporation’s Insurance – Covers common areas and building structure.
• Property Management Fees – Pays for the professional management of the condo.
• Legal & Accounting Fees – Covers audits, legal disputes, and regulatory compliance.

What’s not covered? You still need personal condo insurance for your unit’s contents and liability.

What Condo Fees Don’t Cover

It’s just as important to understand what isn’t included in your maintenance fees:

• Interior repairs and unit upgrades
• Property taxes (paid separately to the city)
• Individual home insurance policies
• Some utilities (if metered separately)

Why Do Condo Fees Increase?

Many owners are frustrated when they see their fees go up year after year. But increases are often necessary due to:

• Inflation – Rising costs for utilities, labor, and materials.
• Aging buildings – Older buildings require more repairs.
• Stronger reserve fund contributions – To prevent future financial shortfalls.
• Government regulations – Stricter safety and energy requirements.

Can fees ever go down? Rarely. But condos can cut costs by renegotiating service contracts or improving energy efficiency.

How to Check What Your Fees Cover

Want to see where your money is going? Here’s how:

• Review your condo’s budget & financial statements.
• Attend board meetings & AGMs to ask questions.
• Check your condo declaration & bylaws for fee breakdowns.
• Talk to your property manager for specific details.

Final Thoughts: Are Condo Fees Worth It?

While condo maintenance fees can seem high, they cover essential services that keep your home safe, functional, and well-maintained. Understanding where your money goes helps you make informed decisions about your investment.

If you ever have concerns about your fees, the best step is to stay involved in your condo community—attend meetings, ask questions, and stay informed about financial planning.