What are special assessments in real estate? – David Reecher
There are two definitions for special assessments. The first definition refers to fees that homeowners associations charge homeowners to cover the costs of building repair that exceed the amount in the current budget. Special assessments are required to be included in the resale certificate for a condominium unit, so read it carefully to make sure you understand what you could pay if you decide to buy a unit. The authority to impose special assessments will also be included in the Covenants, Conditions & Restrictions (CC&Rs). Buyers typically receive the CC&Rs within a week after submitting an offer on a unit in the building.
A second definition for special assessments refers to dues that the local city government charges homeowners for utilities, road maintenance, and other services like fire protection and street lighting.