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Depending on what is covered, particularly if you are buying a condo, the fee could be nearly as high as your mortgage payment.. Bilgi says potential buyers need to carefully study what the HOA fee includes and compare that to what they would pay for similar services outside of an HOA.
The fees also pay the salaries of HOA employees. To determine the amount that each homeowner must pay, the HOA will typically develop a budget and divide the total expenses by the number of homes in the community. The homeowner must pay his or her share on a monthly basis (or other fixed schedule) throughout the year.