06/23/2026
A special assessment is an additional fee charged to condo owners when the association needs money for a major expense that isn’t fully covered by its reserve fund.
Common reasons for a special assessment:
✨ Roof replacement
✨ Facade or masonry repairs
✨ Elevator upgrades
✨ Parking lot or garage repairs
✨ Plumbing or mechanical system replacements
✨ Unexpected building damage
How are they paid?
Special assessments can be:
✨ A one-time lump sum payment
✨ Monthly installments over a set period
✨ A combination of both
Why should buyers be concerned?
A special assessment can significantly impact the true cost of owning a condo. For example, a unit with a lower monthly assessment may still require owners to contribute thousands of dollars toward a building project.
That’s why buyers should review:
✨ Condo budgets
✨ Reserve balances
✨ Meeting minutes
✨ Current and planned capital improvement projects
✨ Any pending or recently approved special assessments
Important to know:
A special assessment isn’t always a red flag. Sometimes it means a building is proactively maintaining the property and making necessary improvements. However, frequent special assessments could indicate that reserve funds aren’t keeping pace with the building’s needs.
If you’re buying a condo in Chicago, don’t just look at the purchase price and monthly assessments. Understanding the building’s financial health can help you avoid unexpected costs after closing.
