How does an association know if its reserves are adequate? Is $1,000 per apartment enough? Is $500 per apartment?
Document Actions
Every condominium is different and has different expenses and reserve
requirements. Each board must make a reserve study (or analysis) of
the project to determine if the association has sufficient reserves. A
reserve study requires the board to determine: (i) which parts of the
project the association is responsible for (e.g. walls, roof, parking log):
(ii) when they will need replacement, maintenance, or repair; and (iii) how
much that will cost.