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HOME OWNERS ASSOCIATION (HOA) FEES

In-law Suites: What Are They and What You Need to Know

In many new communities in Calgary the developer will create a Home Owners Association (HOA). Generally, HOAs are established to maintain community amenities that are not the responsibility of the City, such as signage, parks, ponds and lakes, and boulevard landscaping. The HOA may also enforce community architectural guidelines (ex. roofing, fencing, colors etc.). A property owner in the community is required to be a member of the HOA and must pay a compulsory annual fee.

The existence of an HOA can be determined by visiting the community website, or by conducting a land title search. The HOA fee will be registered on the title as an Encumbrance. The amount of the fee will vary depending on the particular community – they generally range between $200 and $300 per year. If fees are not paid you may be denied access to community facilities, and the arrears plus interest can be collected when the property is sold by virtue of the Encumbrance on title.

When you purchase a property with HOA, you will want to confirm the amount of the annual fee, and that the current fees have been paid in full by the seller. Your lawyer will make adjustments with the seller’s lawyer so that each party pays their pro rata share of the current annual HOA fee.

The developer will usually determine the initial amount of the HOA fees. Eventually the HOA will be transferred from the developer to the Community, and property owners can volunteer to serve on a self-managed HOA Board.

Federation of Calgary Communities

Please contact us if you have any questions about HOA fees.