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When Will Property Management Fees For New Residential Developments Start Being Collected

2025-12-12 07:46:00   0次

When Will Property Management Fees For New Residential Developments Start Being Collected

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Property management fees for new residential developments in the United States typically begin being collected once the property reaches operational status, which often occurs 6–12 months after initial completion. Developers may start charging fees earlier in some cases if units are partially occupied or if a phased occupancy plan is in place.

The timing of fee collection is tied to the activation of common amenities, maintenance responsibilities, and the establishment of a governing structure for the community. In most jurisdictions, fees are required to cover costs for ongoing services such as security, landscaping, snow removal, and reserve funds for long-term repairs. The National Association of Home Builders (NAHB) reports that 70% of new residential developments initiate fees within 6–12 months of completion, aligning with the time needed to finalize infrastructure and secure necessary permits. The Community Associations Institute (CAI) notes that fees are legally binding once a homeowners’ association (HOA) is formed, which often coincides with the start of occupancy. Delays can occur due to regulatory hurdles or funding shortages, as highlighted by the Urban Land Institute (ULI), which estimates that 15–20% of projects experience fee collection delays exceeding six months. Additionally, state-specific laws influence timelines; for example, Texas requires HOAs to collect fees once 50% of units are sold, while Florida mandates fees upon full occupancy. These frameworks ensure developers recover costs while maintaining community standards, balancing financial feasibility with resident expectations.

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