You found a condo. Now you need to ask these questions

Boston Condos for Sale and Apartments for Rent

So, you found a Boston condo for sale, and you want to place an offer.

Here are the most important questions moving forward on your purchase:

Financial & Affordability Questions

How much can I afford and what will my total monthly costs be? Buyers need to determine a clear budget, accounting not just for the mortgage but also for property taxes, insurance, utilities, and crucial monthly condo (HOA) fees.
What do the monthly condo fees cover and are there any upcoming special assessments? Fees can range dramatically, and buyers need to know exactly what services (e.g., maintenance of common areas, amenities, professional management, utilities) are included. It is critical to ask about pending or planned special assessments, which are one-time fees for major repairs and can be very expensive.
How much money is in the capital reserve fund? A well-funded reserve (generally at least 10% of the annual budget) indicates the association is prepared for inevitable major capital repairs, reducing the risk of a special assessment.
What is the delinquency rate for association dues? A high rate (over 15% is a red flag) can signal financial trouble within the association and may impact its ability to maintain the building.

What are the rules and regulations? Condo rules can be restrictive, covering everything from pet ownership to the ability to rent out the unit or perform renovations. A buyer’s attorney should carefully review all governing documents, including the master deed and bylaws.
What is the percentage of owner-occupied units versus rentals? A low owner-occupancy rate can impact the community environment and may cause issues with certain types of financing (e.g., FHA or Fannie Mae loans often have owner-occupancy requirements).
Is the condominium involved in any pending legal action or litigation? Lawsuits, whether between owners or with the developer, can signal a poorly run association and result in legal fees that come out of the condo budget.
Is the association professionally managed or self-managed? Professional management often provides more reliable governance and maintenance, though self-management works fine for smaller associations.

What is the age and condition of the building’s major systems (roof, plumbing, electrical, HVAC)? Older buildings may have charm but often come with more maintenance issues. Knowing the condition of the roof and systems can help a buyer budget for future repairs.
What is the parking situation? Parking in Boston is a premium, so buyers need to clarify if a spot is deeded to the unit, an exclusive right-to-use common area, or if only street parking/permits are available.
Why is the owner selling? Understanding the seller’s motivation (e.g., job relocation, upgrading, or divorce) can provide insights into their timeline and negotiation flexibility.
What does the master insurance policy cover? Buyers need to know the extent of the master policy’s coverage and should always purchase an individual HO-6 policy to cover the interior of their unit and personal belongings.