In Quebec, buying a condo comes with an unavoidable financial reality: condo fees, also known as condominium fees or common expenses. Paid monthly by every co-owner, these fees cover the building’s maintenance, finance mandatory reserve funds and help anticipate future work.
With the sharp rise in these fees over recent years and the introduction of new legal obligations, it has become essential to understand how they work before committing to a purchase.
Here is what you need to know.
In brief
- In Quebec, condo fees are a legal obligation for every co-owner and serve to finance the building’s maintenance and the mandatory reserve funds.
- Median fees have doubled in ten years, climbing from $1,716 in 2015 to $3,432 per year in 2025.
- Bill 16, in force since January 2020, requires a minimum of 5% of common expenses to be allocated to the contingency fund.
- By August 14, 2028, every condo must have a contingency fund study and a maintenance log.
- Abnormally low fees can be a warning sign worth watching closely before buying.
What are condo fees?
Condo fees, also called condominium fees or common expenses, are the monthly amounts each co-owner contribute to the building to the syndicate of co-owners to ensure its smooth operation. They cover shared expenses, such as the maintenance of common areas and the funding of the mandatory reserves.
In Quebec, condo fees are a legal obligation. All co-owners must contribute to common expenses according to their relative share, that is, the portion calculated based on the relative value of their unit within the building. This distribution, set out in the declaration of co-ownership, ensures a fair contribution from each property.
What do condo fees cover?
Condo fees finance every expense needed for the smooth operation and maintenance of a building under co-ownership. In practical terms, they allow the syndicate of co-owners to maintain the quality, safety and durability of the common areas on a daily basis.
Typically, condo fees include:
- Regular maintenance cost of common areas, whether lobbies, hallways, elevators, the pool or the gardens;
- Occasional repairs to common areas to preserve the safety and proper functioning of the facilities;
- Administrative management, which includes staff salaries, accounting, financial management and legal fees in the event of a dispute;
- Common services such as heating, air conditioning, electricity and water used in the common areas;
- The building’s insurance, which covers damage to common areas;
- Security, which can include surveillance cameras, security guards or alarm systems.
How are condo fees calculated?
Condo fees are calculated in two steps: first, the total amount needed each year is determined, then it is divided among the condo owners.
1. Setting the total amount
The total cost of condo fees is set each year by the board of directors of the syndicate of co-owners. It corresponds to the annual budget planned for all common expenses: maintenance of common areas, salaries, insurance, as well as contributions to the mandatory reserve funds.
This projected budget is presented and discussed at the annual general meeting of co-owners, then adopted by the board of directors.
2. Distribution among co-owners
Once the total is established, the amount is divided among co-owners based on the relative value of each unit within the building. This value, stated in the declaration of co-ownership, is expressed as a percentage or a fraction of the entire co-ownership.
The relative value is determined according to several criteria:
- The intended use of the unit: residential or commercial;
- Dimensions: surface area or volume of the unit;
- Location within the building: view, floor, proximity to an elevator or a garbage chute;
- Specific features: presence of a balcony, terrace, storage space, etc.
What is the average condo fees amount in Quebec?
According to the most recent data from the Quebec Professional Association of Real Estate Brokers (QPAREB), condo fees have risen sharply in recent years. Median fees have doubled in ten years, going from $1,716 per year in 2015 to $3,432 in 2025, roughly $286 per month.
The exact amount, however, varies based on several factors: the region, the age of the building, the size of the co-ownership and the services offered. The better equipped a building is (pool, gym, concierge, security), the higher condo fees tend to be.
Good to know!
Carefully analyzing these fees before buying a condo is therefore essential, since they can weigh heavily on the future owner’s fixed monthly expenses. A real estate agent familiar with the local condo market can also help you put these figures into perspective.
Mandatory reserve funds in co-ownerships
In Quebec, condo fees do more than cover day-to-day expenses. They also feed two mandatory funds that play a key role in a building’s financial health: the contingency fund and the self-insurance fund.
Both mechanisms, governed by law, largely explain the recent rise toward higher condo fees across the province.
1. The contingency fund
The contingency fund is a reserve of money built up from co-owner contributions, intended to finance major repairs in the common areas (roofing, structure, parking, elevator, etc.). This fund belongs to the syndicate of co-owners and is not refundable when a condo is sold.
Since Bill 16 came into force in January 2020, this fund must represent at least 5% of common expenses. Experts often consider this threshold insufficient, and instead recommend an amount equivalent to 0.5% to 1% of the building’s reconstruction value.
The contingency fund study and the maintenance log
To better regulate condo management, an additional regulation adopted in 2025 introduced two new obligations: the contingency fund study and the maintenance log.
Both tools aim to give the syndicate and the co-owners a clearer and more sustainable view of the building’s financial and physical condition.
- The contingency fund study: must be carried out by an authorized professional (engineer, architect, professional technologist). It evaluates the building’s financing needs over a period of at least 25 years and recommends the amount the fund should hold year after year, as well as the sums to be contributed. It must be renewed every five years.
- The maintenance log: lists the common areas, evaluates their current condition and remaining service life, and plans major repairs over a period of at least 25 years. It must also be kept by an independent professional and updated at least once a year.
For existing co-ownerships, the deadline to comply with these obligations is set on August 14, 2028.
2. The self-insurance fund
Since the reform of the Civil Code of Quebec, the self-insurance fund is mandatory for every divided co-ownership. It allows the syndicate of co-owners to quickly cover the cost of the insurance deductible in the event of a claim, whether for the building’s insurance or for the syndicate’s civil liability insurance.
Without this fund, the syndicate of co-owners would have to draw from the contingency fund or impose a special assessment to cover these costs. It therefore offers an extra layer of protection for co-owners.
Why be wary of condo fees that are too low?
In light of all these funds and obligations, abnormally low condo fees should always raise questions. They may look attractive at first glance, but they often hide significant risks. This undervaluation is sometimes a strategy used by developers to attract buyers, without accounting for the real long-term costs.
Fees that are too low can also point to a lack of maintenance of common areas, postponed major work or an underfunded contingency reserve.
The result is almost always the same: noticeably higher condo fees, sometimes sharply, in the years following the purchase.
In these situations, the risk of a costly special assessment becomes very real. Fortunately, there are several ways to reduce this risk, provided you know what to watch for.
How to avoid special assessments?
Special assessments, also called extraordinary contributions, are large amounts co-owners must pay on an occasional basis when the contingency fund is not enough to cover a major or unexpected expense.
For future buyers, the best way to avoid this unpleasant surprise is to carefully assess the financial health of the co-ownership before committing. A trusted real estate agent or broker can also help you decode the key documents.
Here are the main warning signs to watch for before buying a condo:
- The state of the contingency fund: does the current amount match the recommendations (between 0.5% and 1% of the reconstruction value)?
- The existence of an up-to-date contingency fund study and maintenance log.
- The history of special assessments in recent years (a good indicator of past management).
- The content of recent AGM minutes: do they announce major work to come?
- The consistency of condo fees with the size, age and services of the building.
Reviewing these elements before buying allows you to make an informed choice and limit unpleasant surprises a few years after the purchase.
FAQ — Condo fees
Are condo fees mandatory in divided co-ownership?
Yes. In Quebec, condo fees are a legal obligation set out in the Civil Code. All co-owners of a divided co-ownership must contribute monthly, according to their relative share.
Do condo fees increase every year?
Fees do not necessarily increase every year, but higher condo fees tend to appear over time. According to the QPAREB, median fees have doubled in ten years in Quebec, going from $1,716 in 2015 to $3,432 in 2025.
Do condo fees cover personal home insurance?
No. Condo fees only cover insurance for the building and the common areas. Each co-owner must purchase a separate home insurance policy for their unit, covering personal belongings and civil liability.
What is the difference between condo fees and a special assessment?
Condo fees are regular monthly contributions that finance day-to-day upkeep and feed the mandatory reserve funds.
Special assessments are one-time amounts imposed by the syndicate of co-owners when the contingency fund is not enough to cover a major or unexpected expense.
What happens if condo fees are not paid?
If fees are not paid, the syndicate of co-owners can impose various measures, ranging from a simple notice to legal proceedings, depending on the seriousness of the situation.
In extreme cases, the board of directors may even obtain authorization to sell the property of the defaulting co-owner to recover the amounts owed.
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