Quick answer
HOA dues are regular fees that a homeowners association — or a condo or co-op association — charges owners to maintain shared property and services. They are usually paid directly to the association, not included in the payment you make to your mortgage servicer.
How dues affect what you can borrow
Lenders add HOA dues to your housing payment when they figure your housing ratio and debt-to-income ratio, even though the dues don’t pass through the servicer. Say your budget for total housing costs is $2,500 a month, with 10% down and a 30-year loan at 7.24%. With no HOA, that supports a home of about $323,000. With $300 a month in dues, the same budget supports about $284,000 — $39,000 less. The affordability calculator has an HOA field to test your own numbers.
What to check before you buy
- The amount and history. Dues range from a few hundred dollars a month to more than a thousand, and they can rise.
- Reserves and special assessments. A thin reserve fund can mean one-time charges for big repairs.
- The rules. Covenants can limit rentals, pets, parking and exterior changes.
- Collection rights. Unpaid dues can become a lien on the home, and in some states the association can foreclose.
Unlike PITI, dues aren’t usually in escrow, so budget for them as a separate bill.
Sources
- Freddie Mac Primary Mortgage Market Survey — 30-year fixed rate, national weekly average (Week of Oct 29, 2026)
- US Census Bureau, American Community Survey 2024 1-year — Effective property tax rate (median taxes ÷ median home value) (2024 ACS 1-year)
- Freddie Mac Research — Average homeowners insurance premium per $1,000 of home value (2023 data)
- Freddie Mac My Home — Typical PMI cost, low end; Typical PMI cost, high end (Oct 28, 2026)
- CFPB: Are condo/co-op fees or homeowners’ association dues included in my monthly mortgage payment?
Last reviewed Figures are checked against the sources above. Read our editorial policy. This page is general information, not financial advice — see the disclaimer.