Every quarter, the arrival of a call for funds reminds co-owners of the cost of managing a multi-unit building. Maintenance of common areas, insurance, heating, equipment maintenance, managing agent's fees: condominium charges cover numerous expenses essential to the proper functioning and upkeep of a residence.

Yet, it is not always easy to understand how these amounts are calculated, why two apartments in the same building do not necessarily pay the same amount, or what levers make it possible to reduce expenses.

The apportionment of condominium charges is governed by the Law of July 10, 1965 and by the condominium regulations. These rules determine each unit's contribution to common expenses. Condominium owners also have means of action to monitor accounts, compare contracts, and improve the management of their residential building.

This guide explains how general charges and special charges work, the role of the provisional budget and calls for funds, the main legal obligations as well as solutions for sustainably controlling expenses.

What do condominium fees cover?

Condominium fees correspond to expenses collectively borne by the co-owners to administer, maintain, and preserve the building, as well as to operate the common services and facilities.

They can notably finance:

Building insurance.
The cleaning of common areas and the maintenance of green spaces.
The professional property manager's fees or costs related to managing the condominium.
The maintenance and upkeep of common facilities.
Collective water and energy consumption.
Routine repairs and certain interventions on common areas.

It is necessary to distinguish between ordinary expenses and exceptional expenses. The former are generally included in the forecast budget. The latter, in particular certain works, are subject to specific decisions and calls for funds.

This distinction is important: a one-time increase in the amounts charged to co-owners may correspond to work voted on or a contribution to the reserve fund for major repairs and does not necessarily reflect an increase in daily operating expenses.

Why can charges increase?

Several factors can explain an increase in condominium fees:

The increase in energy and water rates.
The revaluation of maintenance and servicing contracts.
An increase in insurance premiums.
The aging of equipment or deterioration of the building.
The emergence of new maintenance needs.
An increase in management fees or expenses related to unpaid payments.

To determine if an increase is justified, you must compare expenses over several fiscal years, examine invoices, and verify the services actually provided. Annual amount alone does not allow you to conclude whether a condominium is well or poorly managed.

General charges and special charges: what distribution?

Article 10 of the law of July 10, 1965 distinguishes between two main categories of charges, according to the nature of the expenses involved.

General Expenses

General charges finance the preservation, maintenance and administration of common areas.

They include in particular:

The building insurance.
The cleaning of halls and stairways.
The maintenance of common areas.
The managing agent's fees.
The costs associated with holding general meetings.
Certain repairs concerning the roof, facades, or building structure.

These charges are apportioned among the co-owners based on the relative value of their unit, determined in particular by its composition, its area, and its location. The percentage shares listed in the co-ownership regulations generally serve as the basis for this calculation.

Consequently, a co-owner possessing an apartment representing a significant share of the common areas contributes more to general expenses than an owner whose unit represents a smaller share.

The situation may seem counterintuitive: the owner of a ground-floor apartment also contributes to the costs of roof maintenance, even though they do not directly benefit from it on a daily basis.

Special Charges

Special charges correspond to expenses related to collective services and common facility elements.

It may include in particular:

On the maintenance and operation of the elevator.
Collective heating and hot water production.
Of certain access control equipment.
Common facilities whose utility concerns only certain units.

Their distribution depends on the objective utility that the service or equipment presents for each unit, in accordance with the condominium bylaws.

This utility does not necessarily correspond to actual use. Thus, a co-owner who lives on the fourth floor generally cannot refuse to participate in elevator charges solely on the grounds that they always take the stairs.

Conversely, a lot for which the elevator presents no objective utility may not be subject to this category of charges.

However, the condominium bylaws and the exact configuration of the building must be examined before drawing a conclusion for a particular unit.

How to verify the breakdown of your charges?

The reference document is the co-ownership regulations, which specifies the categories of charges and the allocation keys applicable.

To verify their statement, a co-owner can:

Identify the nature of each expense.
Verify the allocation key used.
Compare this key with the one provided in the regulations.
Check the unit entitlements or coefficients allocated to your lot.
Request explanations from the property manager in case of inconsistency.

A distribution that seems unfair is not necessarily illegal. However, a calculation error or the application of an unsuitable allocation key deserves to be examined.

The modification of an existing apportionment is legally regulated and generally requires a unanimous vote, except for exceptions provided by law. A judicial challenge may also be considered in certain situations.

Provisional Budget and Capital Calls

The condominium's provisional budget is established to anticipate the current expenses necessary for the building's operation. It is subject to a vote by the general assembly.

It includes in particular recurring maintenance expenses, maintenance contracts, insurance, collective utilities, and management fees.

Once the budget is adopted, contributions are called from the co-owners according to the terms provided by the regulations and applicable decisions. In principle, the provisions of the budget forecast are due on the first day of each quarter, unless another frequency is set by the general assembly.

The amount due depends on the voted budget and the allocation key applicable to the lot.

An example of calculating charges

Simplified example: a condominium provides for €12,000 in annual expenses for a category of general charges. A unit representing 100 share units out of a total of 1,000 share units in this category will bear 10% of these expenses, or €1,200 per year.

If the calls are quarterly and no other element modifies the required amount, this represents €300 per quarter for this category of expenses.

This calculation does not mean that all capital calls are distributed according to a single key. A building may include several categories of charges, each with its own percentage shares or coefficients.

How to Read a Call for Funds?

The call for funds indicates the sum requested from the co-owner and the period or expense to be financed.

It may in particular concern:

The periodic provisions of the forecast budget.
Works voted on in general assembly.
A contribution to the maintenance fund.
Other sums due under the conditions provided for by the regulations and the decisions of the co-ownership.

It is therefore useful to verify the nature of each call before comparing it to that of the previous quarter. A higher sum may correspond to an exceptional expense rather than an increase in regular charges.

To better monitor their budget, each co-owner can reconcile the calls for funds with individual account statements and accounting documents presented by the property manager.

# Legal Obligations to Know

The financial management of a condominium is governed by several legal texts, in particular the law of July 10, 1965 and its implementing decree of March 17, 1967.

These rules govern the voting of the budget, the payment of provisions, the keeping of accounts, the financing of certain works, and the control of management.

The works reserve fund

The works fund is a financial reserve intended to contribute to the financing of certain future expenses related to the building's maintenance, safety, or renovation.

Since January 1, 2025, the reserve fund for works is mandatory for condominiums intended in whole or in part for residential use and over ten years old, regardless of their size, except for legal exceptions. When no multi-year works plan has been adopted, the minimum annual contribution is 5% of the budgeted amount. When a plan has been adopted, it must reach at least 5% of the budgeted amount and 2.5% of the amount of works provided for in this plan. The minimum corresponds to the higher of these two thresholds and not to their addition.

Special rules apply depending on the situation of the co-ownership. The reserve fund should not be confused with the budget forecast intended for ordinary expenses.

The amounts paid are attached to the lot and remain acquired by the condominium association. The seller therefore cannot claim their reimbursement from the association when selling their property.

The multi-year work plan project

The multi-year work plan project (PPPT) makes it possible to identify and prioritize the work necessary for the building's upkeep, the safety of its occupants, and the improvement of its energy performance.

As of January 1, 2025, the preparation of a PPPT concerns all co-ownerships intended wholly or partly for residential use that are over fifteen years old, regardless of their size. This project must be updated every ten years. The co-ownership is exempt if its overall technical diagnosis (DTG) reveals no need for work over the ten years following its preparation. The co-ownerships concerned must also comply with the rules applicable to the presentation and adoption of the plan at the general assembly.

The plan does not mean that all proposed work must be carried out immediately. It provides a basis for anticipating expenses, organizing priorities, and preparing their financing.

# Supervision of the Syndicate Council

The syndical council assists the syndic and oversees their management under the conditions provided by law. It may in particular examine contracts, invoices and service provider proposals.

The general assembly also sets the threshold from which competitive bidding for contracts and purchase orders becomes mandatory, within the applicable legal framework.

This inspection is useful for identifying services that have become unsuitable, unnecessary options, or rate increases that warrant an explanation.

How to Reduce Your Condominium Fees?

Reducing condominium fees requires identifying expenses where action is possible, taking into account the cost, usefulness, and quality of each service.

Compare contracts and services

Maintenance and servicing contracts constitute a first area of work.

It is useful to regularly compare offers concerning:

Building insurance.
The cleaning of common areas.
The maintenance of green spaces.
The maintenance of the elevator.
The heating and ventilation equipment.
Property management services and complementary services.

The comparison must be based on equivalent services. A cheaper contract may be less advantageous if it excludes services previously included or provides for additional fees.

It is also necessary to examine the termination conditions, the renewal terms, and the decisions that the property manager is authorized to make.

Monitor energy consumption

In buildings equipped with shared facilities, monitoring consumption levels makes it possible to identify deviations.

The possible courses of action include notably:

The adaptation of the operating hours of the facilities.
The replacement of energy-consuming lighting fixtures.
The control of heating temperatures.
Maintenance and adjustment of installations.
The detection of energy losses and regulation defects.

Larger investments must be studied taking into account their initial cost, expected savings, and their payback period.

A technically appropriate intervention can reduce consumption, but its result depends on the condition of the building, the installations, and usage habits.

Limit Water Loss

Leaks in common areas or private facilities can lead to avoidable expenses.

Regular monitoring of meters, when they exist, helps detect unusual consumption. Prompt repair of leaks and maintenance of installations can limit losses.

The installation of individual meters or remote reading devices can also be studied when the building's configuration allows for it. Its financial benefit, however, depends on the installation cost, the current apportionment method, and the savings that can realistically be achieved.

It is necessary to verify the technical feasibility and applicable regulations before proposing this type of investment.

Anticipate Repairs and Maintenance

The postponement of essential maintenance can generate greater expenses in the long term.

A deteriorated roof, aging plumbing, or poorly maintained equipment can lead to urgent repairs, sometimes more costly than a planned intervention.

The co-ownership therefore has an interest in distinguishing urgent repairs, routine maintenance, and work to be scheduled. This approach makes it possible to compare quotes, prepare financing, and avoid certain decisions made in haste.

The objective is to control the total cost of the building over several years, not just to reduce expenses for a single accounting period.

Check the invoices and accounts

Each invoice must correspond to an actual service or expense and be charged to the correct expense category.

A regular review can help detect a duplicate invoice, a service billed but not provided, an unexplained price increase, or an allocation error.condominium accounting softwarefacilitates the monitoring of invoices, accounting entries, and bank transactions.

The syndicate council and co-owners have means of control within the legal framework. Accounting records and contracts are therefore essential for understanding expenses and asking the property manager specific questions.

# The Voluntary Syndic for a Small Condominium

In a small condominium, resorting to a volunteer property manager can be an option to reduce certain management fees.

The volunteer manager is a co-owner elected by the general assembly. He or she performs the manager's duties within the framework established by law: administrative management, contract oversight, execution of collective decisions, accounting, and collection of charges, among others.

The main financial advantage is not having to pay the fees of a professional property manager for day-to-day management. However, this solution is not entirely free: building operations, insurance, contracts, maintenance work, and any management tools still need to be funded.

The volunteer manager must also dedicate time to their duties and comply with legal obligations. Poor management can lead to delays, accounting errors, or difficulties in tracking unpaid amounts.

This option should therefore be particularly considered when the condominium is of modest size, its equipment remains simple, and a co-owner has the necessary availability.

Choose an Appropriate Management Tool

Self-management becomes easier when documents, invoices, calls for funds, and banking operations are tracked in an appropriate tool.

Specialized software can help organize accounting entries, apply allocation keys, prepare calls for funds, and control bank transactions.

I notice the text you've provided appears to be incomplete. It starts with "Copriciel est un" but doesn't include the full content to translate. Could you please provide the complete text you'd like me to translate from French to English?property management software for voluntary syndicand small co-ownership buildings. It notably allows you to track accounting entries, prepare assessment calls, apply allocation keys, and facilitate bank reconciliation.

The choice must be made according to the building's needs: number of units, invoice volume, complexity of apportionment keys, payment tracking, and preparation of accounting documents.

Software does not replace either the legal obligations of the property manager or the oversight of co-owners. It facilitates organization and the reliability of monitoring, provided it is used correctly.

How to Manage Unpaid Service Charges?

Unpaid fees can weaken the financial position of the condominium association. Even if expenses are budgeted for, invoices must be paid on the agreed due dates.

The syndic must track the sums called and payments received. When a co-owner is in arrears, it is useful to verify his accounting situation, then proceed with appropriate collection procedures.

The procedure may begin with a friendly reminder and continue with a formal notice. Under certain conditions, after a formal notice remains unsuccessful for thirty days, the provisions not yet due from the provisional budget may become immediately due and be subject to an expedited judicial procedure before the civil court.

The exact terms depend on the nature of the debt and the conditions provided by law.

Regular monitoring of outstanding payments allows for earlier intervention, preserves cash flow, and limits payment difficulties for suppliers.

Better track your condominium budget

Condominium fees are not limited to a sum deducted each quarter. They reflect the costs necessary for the operation, maintenance, and upkeep of the building.

To better control them, you must start by understanding the breakdown between general charges and special charges, verify the keys applicable to each unit and examine the expenses actually incurred.

Competitive tendering for contracts, monitoring consumption, controlling invoices and anticipating works constitute concrete levers. In certain small residential complexes, the volunteer property manager can also reduce management fees, provided they have the necessary time and tools.

Transparent management and regular monitoring allow co-owners to better control their budget while preserving the quality and value of their building.

Frequently Asked Questions About Condominium Fees

How are condominium fees calculated?

The calculation depends on the approved budget, the co-ownership regulations, and the key applicable to each expense category. General charges are allocated according to the relative value of the lots, while charges related to collective services and facilities are based on their objective utility for each lot.

Can one challenge the allocation of charges?

Yes, under certain conditions. You must first check the condominium bylaws and the allocation keys. A calculation error, a clause contrary to law, or a share meeting the legal criteria for revision can justify taking action. The timeframes and remedies depend on the situation.

What charges can the landlord recover from the tenant?

For a landlord, certain expenses can be recovered from the tenant within the limits set by regulations. Expenses that are not listed among recoverable charges remain the responsibility of the landlord. The distinction depends on the precise nature of the expense and not solely on the fact that it appears in the condominium accounts.

Does the maintenance fund form part of current charges?

The contribution to the works fund constitutes a distinct contribution from provisions intended for current expenses. It is mandatory for the co-ownership properties concerned and is used to finance certain work expenses provided for by regulations. It can therefore increase the amounts requested from co-owners without corresponding to an increase in current operating costs.

Does a volunteer property manager allow you to reduce charges?

He can reduce the management fees charged by a professional property manager. In return, a co-owner must take on the tasks of the property manager and comply with legal obligations. The other building expenses remain and the management time as well as any necessary tools must be taken into account.

What happens if charges remain unpaid?

The property manager must monitor the unpaid amount and initiate appropriate collection proceedings. A friendly reminder can be followed by a formal notice and then, if legal conditions are met, by legal action. The consequences and amounts due depend in particular on the nature of the debt and applicable provisions.

Note: this article provides general information and does not replace the analysis of condominium bylaws or legal advice tailored to a specific situation.

# Condominium Fees: The Complete Guide to Understanding and Reducing Your Expenses