Section 18 of the Condominium Act requires co-owners to share common expenses in proportion to their ownership ratio, and the rate is set by the co-owners at a general meeting. Payment is enforced firmly. Late payers face a surcharge of up to 12% a year, rising to up to 20% after six months, and can lose the use of facilities and their vote. A unit cannot be transferred until the juristic person certifies that nothing is owed.
For an investor the fee comes straight off rental income, so it belongs in any net yield calculation. Rates vary widely with the level of service: branded and hotel-serviced buildings charge considerably more than a standard condominium.
Before buying, ask what the rate is, when it last changed, whether the building runs a surplus or a deficit, and how much other owners owe. A fee that looks low for the facilities on offer is often a rise waiting to happen.
Villa estates charge a similar fee, but usually under contract with the developer, not under the Act. See rental yields in Thailand.
