As Hawaii continues to feel the effects of the economic downturn, many of us are faced with the double whammy of having to face rising costs at the same time. So it was good to hear Paul Brewbaker say that Hawaii’s mortgage foreclosure rate was the 7th lowest in the country.
But just because the bottom hasn’t fallen out, that doesn’t mean that things are just fine. For example, I own a one-bedroom condo and on the 10th of every month, my maintenance fee is automatically deducted from my bank account. So that’s the significance behind me putting this post up today.
Today, my maintenance fee of $361.55 was debited, and that’s how much I will pay every month this year. That’s the highest it’s ever been. Although, I assume these things never go down, right?
- For 2009, it is $361.55, or a 10% increase over 2008
- In 2008, it was $328.68, or a 15% increase over 2007
- In 2007, it was $285.82, or a 20% increase over 2006
- In 2006, it was $238.18
That means from 2006 to 2009, my maintenance fee increased 52%! Part of the reason I point this out is that the low maintenance fee was one big selling point for buying the condo. It’s close location to town and the dishwasher were also high on the list.
To many others, it’s a steal, but that steady increase and the whopping 52% total increase hasn’t gone unnoticed. And I should point out that my maintenance fee covers my electric, water, and gas. I’m fortunate in that I still have a job and can still afford these increases. But I wonder how many people out there, who are already struggling to get by, would find these increases too much to handle.
I think a few of my fellow owners may be in that boat because there are currently five units for sale, out of about 70. And prior to buying here, our Realtor had to look back three years to get comparable sales (“comps”) data. To do that today, I think she’d only need to go back 6-12 months.
So, are annual double-digit percentage increases common for Hawaii condos? Or would you start looking for a new place to live?
Mahalo!
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