What Common Charges Cover
Unlike co-op maintenance, condo common charges do not include property taxes (you pay those separately). What they do cover:
- Building staff: Doormen, concierge, superintendent, porters — the largest expense in full-service buildings
- Elevator maintenance and inspection: Annual contracts plus ongoing repairs
- Building insurance: The master policy covering the structure and common areas (you still need your own HO-6 policy for your unit's interior)
- Common area utilities: Hallway lighting, lobby HVAC, common laundry facilities
- Landscaping and exterior: Facade maintenance, garden areas, roof deck upkeep
- Reserve fund contribution: Savings for future major repairs
- Management fees: If the building uses a professional management company
- Amenity costs: Gym equipment, pool maintenance, rooftop facilities
Key difference from co-ops: Condo common charges do not include property taxes. You'll pay those separately — typically $3,000–$15,000/year depending on the borough, unit size, and whether you have a 421-a abatement.
Typical Common Charges by Building Type (NYC 2026)
| Building Type | Studio | 1BR | 2BR | 3BR |
|---|---|---|---|---|
| Luxury full-service (doorman, concierge, amenities) | $1,200–$2,000 | $1,500–$3,000 | $2,500–$5,000 | $4,000–$8,000+ |
| Mid-range doorman building | $500–$800 | $700–$1,200 | $1,000–$2,000 | $1,800–$3,000 |
| Non-doorman, well-maintained | $300–$500 | $400–$700 | $600–$1,100 | $900–$1,600 |
| Small building (under 20 units) | $200–$400 | $300–$600 | $500–$900 | $700–$1,300 |
| New construction (first 1–3 years) | $600–$1,000 | $800–$1,500 | $1,200–$2,500 | $2,000–$4,000 |
Note: New construction buildings often start with lower projected common charges that increase significantly in years 2–5 as actual operating costs become clear. Always ask what the charges were projected to be vs. what they are now.
How to Evaluate if Common Charges Are Too High
High common charges aren't automatically bad — they often reflect excellent service and well-funded reserves. The question is whether you're getting value for the cost. Key metrics to examine:
Per-Square-Foot Benchmark
A rough rule of thumb: common charges of $1.00–$1.50/sq ft/month are normal for a full-service Manhattan building. Under $0.75/sq ft may mean underfunded reserves. Over $2.00/sq ft deserves scrutiny unless the building has exceptional amenities.
Reserve Fund Adequacy
Request the most recent financial statements. The reserve fund should hold at least 10% of the building's annual operating budget — ideally more for older buildings with aging systems. A building with a $2M annual budget should have at least $200,000 in reserves; $500,000+ is healthier. Low reserves almost guarantee a special assessment in your future.
History of Charge Increases
Ask for 3–5 years of common charge history. Steady increases of 3–5%/year are normal and manageable. Large sudden jumps (10%+) suggest poor financial planning, deferred maintenance catching up, or management issues.
Special Assessments
When a major expense arises that the reserve fund can't cover, the board levies a special assessment — an additional monthly charge on top of common charges. Common triggers include facade repointing, roof replacement, elevator modernization, Local Law 11 compliance work, and lobby renovations.
Before buying, ask your attorney to review board meeting minutes for any discussion of upcoming capital needs. A building that hasn't done facade work in 20 years is likely due for a costly Local Law 11 assessment.
New construction warning: Developer-projected common charges are frequently understated. A building listed at $800/month common charges in the offering plan may be running $1,200/month by year 3. Always review actual charges, not projections, when possible.
Common Charges vs. Co-op Maintenance: Side by Side
| Feature | Condo Common Charges | Co-op Maintenance |
|---|---|---|
| Includes property taxes? | No — paid separately | Yes — included |
| Tax deductible? | No | ~40–60% deductible |
| Typical 1BR range | $400–$2,000/mo | $600–$2,000/mo |
| Underlying mortgage included? | No | Yes |
| Special assessments possible? | Yes | Yes |
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NYC Paycheck CalculatorFrequently Asked Questions
What do NYC condo common charges cover?
Common charges cover building staff, elevator maintenance, insurance, common area utilities, landscaping, reserve fund contributions, and amenity upkeep. They do not include your individual property taxes.
Are NYC condo common charges tax deductible?
No. Unlike co-op maintenance, condo common charges are not deductible. Your separately-paid property taxes are deductible up to the $10,000 SALT cap.
What is a healthy reserve fund for a condo?
At least 10% of the annual operating budget. A building with $2M in annual expenses should have $200,000+ in reserves. Low reserves typically lead to special assessments.