There is a common misconception among first-time condo buyers in Columbus that a building with lower fees is always the better choice. When comparing two properties within the same budget, the story changes. The property with lower fees often has fewer amenities or insufficient reserve funds, while the one with slightly higher fees may actually have a more stable financial structure.

HOA fees for condos in Columbus vary significantly. The average based on 18 reports is $774 per month, but most actually range widely from $85 to $2,222 per month. A few high-end facilities skew the average upward (hoacosts.com). The median HOA fee for condos across Ohio is $368 per month, and in nearby areas like Westerville or New Albany, it is common to see fees between $250 and $400 per month. To determine which option is truly more advantageous within the same budget, one must consider the status of the reserve funds between smaller buildings with fewer amenities and larger buildings with more amenities and higher fees.

HOA fees cover building exterior maintenance, master insurance, common area management, landscaping, trash collection, and contributions to the reserve fund. Some buildings in Columbus, equipped with amenities like pools, gyms, and concierge services, can have fees exceeding $5,000 per month, reflecting the higher costs of maintaining these facilities and the size of the reserve fund allocations.

In 2022, Ohio revised its condo reserve fund regulations through Senate Bill 61. Previously, at least 10 percent of the budget had to be allocated to the reserve fund, but this fixed percentage has been removed, allowing the board to determine the necessary amount for major repairs and reflect it in the budget. If a majority of residents agree in writing, they can also waive contributions to the reserve fund (williams-strohm.com). This is a point that first-time condo buyers often overlook. Even if the fees appear stable, if the board has waived reserve contributions, the actual reserve funds may not have accumulated significantly.

In contrast, the standards set by mortgage lenders are becoming stricter. Fannie Mae has required that at least 10 percent of HOA fee income be allocated to the reserve fund, and starting January 4, 2027, this requirement will increase to 15 percent (governingdocs.dev). Properties that do not meet this standard may be classified as non-warrantable condos, leading to loan denials or less favorable terms.

The national average for HOA fees ranges from $200 to $400, while condos with many amenities can see fees rise to $500 or more, even exceeding $1,000 (nar.realtor). When comparing areas in Columbus, particularly those with school districts favored by Korean families like Westerville and Dublin, it is common to see a correlation between HOA fees and school district ratings. Since school district boundaries frequently change, it is advisable to verify the specific address before purchasing.

Families moving to Columbus from other states may find it easy to overlook the actual burden if they carry over their previous perceptions of property taxes or HOA fees. Property taxes in Ohio can vary by county, so separate verification is necessary. Investors looking for rental income should first check for rental restrictions and the percentage of units available for rent as outlined in the CC&Rs.

Here are some items to compare before signing a contract:

• Comparison of the components of HOA fees for both properties
• Recent board budget reserve fund percentage
• Whether reserve fund contributions have been waived
• Whether a reserve study has been conducted
• Percentage of delinquent units and litigation history

Rather than simply comparing the amounts of HOA fees side by side, it seems prudent to also consider how much of those fees are allocated to the reserve fund to reduce mistakes in the first condo purchase. Tax and loan conditions can vary by region and financial institution, so it is advisable to verify based on individual properties. This article does not constitute investment or legal advice, and consulting a professional before making any contracts is recommended.