Alert – Where HOA fees are soaring across the US… and where they are expected to skyrocket next

For many who have managed to purchase a home and pay a mortgage, it’s the mandatory Homeowners Association (HOA) fees that are now draining their bank accounts.

HOAs are paid – typically monthly – by residents in communities with shared amenities, like a pool, a clubhouse or a fitness center. 

The fees cover maintenance, cleaning and repairs in the shared areas, and they’re practically unavoidable for condos or homes in modern developments.

‘They’re popular because the money takes care of infrastructure in the community,’ Jacob Gold, director of programs at the Foundation for Community Association Research, told the Daily Mail. 

‘HOAs are actually a helpful thing. You could make the argument it’s the most local democracy in action,’ he said.

But what about when you get a notice saying your community’s HOA will be doubling or even tripling?

HOAs are soaring in many states – with Florida particularly hit hard. In one instance, a luxury building in downtown Miami recently saw a $538 jump in monthly dues when their HOA went from $1,735 to $2,318, Realtor.com economist Joel Berner said.

Here, experts break down the reason for the increase in these fees blighting millions of Americans, and the areas where homeowners are about to see their charges surge.

HOA fees are practically unavoidable for condos or homes in modern developments 

HOAs are paid – typically monthly – by residents in communities with shared amenities, like a pool, a clubhouse or a fitness center like this one in Atlanta, Georgia

Douglas Elliman agent Laura Barrera, pictured

Florida gets hit hard 

While the median increase is not in the hundreds of dollars yet, Berner says ‘there are places out there where the HOA fees have doubled in the past few years.’

In 2024, Tampa saw its median monthly HOA fee jump 17.2 percent over the year, according to Redfin.

That same year, Orlando’s median HOA fee soared by an average of 16.7 percent.

In Fort Lauderdale they rose by 16.2 percent, Redfin found.

The decision to raise dues comes down to the HOA board, which determines projected expenses and budget.

HOA boards must consult their official budgets, which often have provisions that dictate how to compute fees and limit their increase. 

HOAs also have rules that dictate the process they must follow before raising the monthly dues. 

For example, Arizona’s Revised Statutes Section states that HOAs cannot raise fees by more than 20 percent per year without a majority vote from the membership.

Luxury buildings in Miami are seeing HOAs rise, too

HOAs are set to increase in communities like this one in South  Carolina

HOAs are expected to rise in Dallas, Texas, among other areas

Redfin’s Daryl Fairweather, pictured

HOAs increased in many areas – especially Florida – because of expensive new safety requirements, inspections and upgrades. In the case of this southern state, the need for those rose in the wake of the 2021 Surfside condo collapse outside of Miami.

As a result, Florida law now requires stricter structural inspections for condos, and additional money to be set aside for repairs. Residents need to foot the bill, as burdensome as it is.

Redfin’s chief economist Daryl Fairweather pinpoints the exact areas with the fastest rising HOAs in the state as Tampa, Orlando and Fort Lauderdale.

‘HOA dues often cover insurance for common areas and structures, such as the roof, which is becoming more and more costly,’ she said. 

Luxury buildings and exclusive residences in developments in Miami Beach are hitting residents with higher HOA fees for extra storm protection in addition to high-end amenities. 

‘Resort-style amenities, concierge services and private dining experiences are driving up HOAs,’ says Laura Barrera, who works in luxury real estate at Douglas Elliman in Miami.

‘Smaller, high-end buildings with fewer units also mean higher costs per owner.’

Where else are HOA fees rising?

Georgia, North Carolina, South Carolina, Alabama, Louisiana, Mississippi and Texas are also getting hit with massive increases. 

These are mostly hitting areas that sit on or near the water, and are home to many new builds and condos. 

‘New construction and condo homes are more likely to be subject to HOAs than older single-family homes, and these states all have relatively high shares of both new builds and condos,’ Berner told the Daily Mail.   

Approximately 30% of the US population lives in HOA communities, according to a report by Ruby Home.

Houses with HOAs are worth 5-6 percent more than similar homes outside of HOAs.

Typical HOA membership fees for single-family homeowners across the US is around $150 to $500 per month, sometimes much more.

‘New construction activity is heavily concentrated in the South region, and condo buildings are especially popular along the southeastern coasts, so it’s not surprising to see that HOA fees are more prevalent in these states.’

He adds that rising insurance and maintenance costs in these areas due to environmental concerns and general inflation are also raising HOAs. 

‘New construction and condo homes are more likely to be subject to HOAs than older single-family homes,’ said Joel Berner, senior economist at Realtor.com (Pictured: A new home construction in Denver, North Carolina)

Homeowners in a Texas development pay HOAs to maintain common areas

Charleston, South Carolina is expected to see a rise in HOA fees due to severe flooding

In the Gulf states and the Carolinas, intensifying natural disasters, including flooding and hurricanes, are sending insurance rates skyrocketing. These increased costs are then passed on to homeowners. 

‘At the same time, as HOAs become more common, they can keep their fees high because the properties they’re competing against on the market also have high HOA fees,’ he says.

If the housing market does eventually shift to a more balanced, less seller-friendly territory, high dues will become a detriment to selling a home and communities will have to compete with each other by making them more affordable. 

‘For now though, HOAs feel comfortable charging more without hurting the value of the homes in their community,’ he says.

Where are HOAs set to soar? 

California – specifically Sacramento, Riverside and other high fire-risk metro areas – are going to see HOA fees increase in the coming months because of the natural disaster risk, said Redfin’s Fairweather. 

The disasters lead to substantial property damage, pushing insurance companies to reassess risks and increase premiums, which then trickles down to HOAs.

California also requires homeowners in a community with HOAs to continue paying HOA fees even after their property is damaged or destroyed by a fire because maintenance, insurance and property taxes continue even if individual units are uninhabitable. 

Florida residents are getting hit with soaring HOA fees

A development in Charlotte, North Carolina where homeowners pay an HOA for common uses

Myrtle Beach, South Carolina will see HOAs rise due to hurricanes and natural disasters

Following the 2025 California wildfires, HOAs are expected to rise due to extra fire safety and prevention measures and rising insurance costs.

Plus, higher insurance premiums are rampant across the US, especially for properties in areas prone to extreme weather. 

The current median HOA fee in California is $291, according to Zillow. 

In Maryland, homeowners are also set to see increases this year due to new state legislation, which is based on the new Florida law, said Barrera.

With the average Maryland HOA hovering at around $4,800 annually, that equals an increase of over $1,400. 

The new Maryland state law mandates that all condominium HOAs conduct a reserve study. This is a cost analysis that assesses an HOA’s current and future expenditure needs, including for roofing, shared structures and pools. 

‘The laws requiring reserve studies and repairs are already causing HOA increases of 30% or more in some areas,’ according to Barrera, who notes that this mainly affects areas, like California and Florida, that are often in the path of natural disasters. 

It’s important to note that, in general, maintenance costs have risen due to inflation. The cost of materials and labor for maintenance, landscaping, repairs and infrastructure has increased.

Hurricane Irma slammed Florida in 2017 with winds over 100 mph and caused massive damage

Community services like gated security and property management have also increased due to inflation and rising labor costs.

Many HOAs raise fees to catch up with previously unmet costs or to build up reserves to address future repairs.

But the increases won’t be as bad as in the South, Berner says.

‘California and Maryland have less new construction than the South,’ she says.

‘This means HOA fees there will likely continue to grow due to environmental risks, but the share of homes subject to an HOA is not expected to grow as much as the southeastern states.’