We will follow the case of a family looking to invest in a condo in Columbus. After matching the listing price and rental market rates, they reached the final stages of the contract when they received a notice from the management association about a special assessment of over $3,000 per unit for roof repairs. Such notifications often come without warning, making it especially important to check before purchasing.

Columbus condos range widely in price from $162,900 to $1,495,000, with one-bedroom condos generally trading around $225,000. As of May 2026, the overall median price was $229,000, which slightly increased to $239,000 in June. Areas like downtown Columbus are around $429,500, while near Columbus State University, prices are around $72,500. This indicates that even within Columbus, there can be significant price gaps depending on the location, so the risk of special assessments should be verified for each building.

The Georgia Condominium Act requires majority approval from unit owners for special assessments exceeding $200 per unit based on documents registered after July 1990. However, since July 2015, the board can impose amounts up to one-sixth of the annual regular assessment without a vote. While this provision allows for quick decisions on small assessments at the board's discretion, it can be a burden for buyers who may not know about assessments until just before signing the contract.

The fundamental reason for special assessments is usually a lack of reserve funds. A reserve study is a process that calculates the remaining lifespan and replacement costs of major facilities like roofs, elevators, and plumbing. The absence of such a study or having an older building increases the likelihood of sudden assessments. It is safer to request and verify the most recent reserve study results and funding rates before signing a contract.

In recent years, rising reinsurance costs and litigation risks have led to an increase in condo insurance premiums nationwide, which pressures management budgets and can result in more special assessments. If a building cannot absorb the increase in insurance premiums solely through management fee hikes, the difference may ultimately be charged to unit owners in the form of special assessments.

This family ultimately decided to proceed with the contract but aimed to reflect the special assessment in their purchase price negotiations. If the assessment is confirmed, it can actually be used as a negotiation tool; however, the issue is that they only learned about it just before signing because they did not check the board meeting minutes in advance. Buildings with poor reserve funds or pending litigation can be classified as non-warrantable under Fannie Mae standards, which could cause issues again during the loan application process, requiring careful consideration of both the advantages and disadvantages.

Here are the items to check before signing a contract:

• Recent financial statements and board meeting minutes from the last 2-3 years
• Results of the reserve study and funding rates
• Size of any planned or confirmed special assessments
• Percentage of delinquent units and litigation history

Columbus, being a city with a military base, has a steady demand for rentals aimed at military families and deployed personnel, and condos managed by associations tend to be advantageous in terms of management convenience in a market with high tenant turnover. However, it should be noted that buildings with special assessments may pass the burden onto buyers at the time of resale, affecting resale value.

While special assessments cannot be avoided, they can be anticipated. A building without a reserve study can be seen as a warning sign, as it indicates that the management association has not planned for significant expenditures. Requesting recent meeting minutes and financial statements before signing a contract can significantly reduce future burdens. This information is not investment or legal advice, and it is recommended to consult real estate and accounting professionals before finalizing any contracts.