Community Fees – Introduction
In Spain a large number of properties share certain services and other elements with other properties. Owners of such properties must pay community fees towards the upkeep, improvement and maintenance of these shared components. These obligations are governed by Spain’s Ley de Propiedad Horizontal (Horizontal Property Law), which sets out the rules for managing shared properties and the responsibilities of each owner within a community (comunidad de propietarios). For example, you may share a lift up to your apartment which will incur running costs and require regular maintenance. You may live on a resort with communal gardens which need to be kept or communal swimming pools and so on. Whether you are looking at apartments for sale in Spain or villas to buy in Spain it is important that you check whether or not you will have to pay community fees.
Failure to pay your community fees can result in serious consequences. Initially, you may face interest charges or legal action from the community of owners. If payments continue to be missed over a prolonged period, the community can pursue a court order to place a charge (embargo) on the property.
In extreme cases, this can lead to a forced public auction of the property to recover the debt. While this is typically a last resort, it highlights the importance of paying your community fees on time and in full.
The frequency and dates payments are due varies from community to community. Some may require a monthly payment whereas others may ask for the money quarterly or even bi-annually.
What do Community Fees Cover in Spain?
It is important that you are aware of what your community fees cover. What is covered will depend on the community but in general they will cover any of the following.
- Electricity and water for communal areas
- Maintenance of shared facilities such as swimming pools, gardens, gyms
- Cleaning of communal areas (hallways, entrances, garages)
- Lift servicing and maintenance
- Security, concierge, or gated access systems (if applicable)
- Communal insurance (not to be confused with your private home insurance)
How Much are Community Fees in Spain?
When purchasing a property in Spain the cost of community fees will depend on a number of factors including the size and age of the property and of course what services are on offer within the community. Therefore it is impossible to say how much community fees will be. They could be as little as €400 a year or as much as €4000.
A small one bedroom apartment in an older development with community gardens is clearly going to cost significantly less than a high end development of luxury apartments with communal swimming pools, gyms, play areas and 24 hour security. Several communal swimming pools which require daily maintenance for example will of course contribute to higher fees.
Because community fees vary as much as they do it is important you are aware how much they are before purchasing a property in Spain so that you can take the cost into account.
Your agent in Spain will be able to tell you how much community fees are for any community properties you may be interested in.
Can Community Fees Change?
Yes, community fees can change. Any changes must be proposed and approved by a majority vote of property owners at the community’s Annual General Meeting. While increases are usually modest (e.g., to reflect inflation), larger changes may occur if additional services or repairs are agreed upon.
How to Check the Community Fees Before Buying
Before committing to a purchase, your agent or lawyer should request the most recent copy of the community’s financial report and fee breakdown. This will show:
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Current annual fee
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Any upcoming special levies or extraordinary expenses
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Whether the seller is up to date with payments
We hope you have found this information about community fees in Spain informative. If you have any additional questions about this or anything else then please do not hesitate to contact us at Movehappy. We are always here to help.
