Average HOA fees in California: Understanding cost, coverage, and more

What are average HOA fees in California?

Average homeowners association (HOA) fees in California typically range between $300 and $400 per month, but the actual amount can vary significantly depending on location, property type, amenities, and community size. Some communities (particularly those in urban or luxury areas) report HOA fees that can exceed $500 per month.

Several factors may influence these figures:

• Urban vs. suburban vs. rural: HOA fees in densely populated areas like San Francisco, Los Angeles, or San Diego tend to be higher than the average HOA fees in other parts of California.
   
• High-rises and luxury buildings: Properties with doormen, pools, gyms, and 24/7 staff generally have elevated costs.
   
• Older buildings: Structures requiring more frequent maintenance or major renovations often carry higher fees.

It’s important to remember that average HOA fees in California may reflect not just operating costs, but long-term planning and compliance obligations. Communities that take a proactive approach to maintenance and reserves may see more stable assessments over time.

This article is not intended to provide and does not constitute legal advice or create an attorney-client relationship. Board members should consult their association’s attorney to discuss the legal implications of their decisions or actions prior to proceeding.
 

What are HOA fees?

HOA fees are recurring payments that homeowners make to their homeowners association to cover the costs of maintaining and operating shared community elements.

These fees are typically paid monthly and are essential for managing common areas, funding repairs, maintaining amenities, and building reserves for future projects. If you live in a condominium, townhouse, or a single-family home within a planned development, it’s likely you’re paying HOA fees as part of your ownership.

These fees are not arbitrary; they are based on the association’s annual budget, which outlines operating costs, reserve contributions, insurance, utilities, and vendor contracts. HOA fees are approved by the board and must align with the community’s governing documents and California state laws.
 

What do HOA fees cover?

HOA fees cover a variety of services, from day-to-day operations to long-term capital planning, and may vary depending on your community’s specific needs and amenities.

Some of the most common line items included in average HOA fees in California are:

• Maintenance of common areas: Landscaping, lighting, sidewalks, shared roofing, and driveways.
   
• Amenity upkeep: Pools, gyms, clubhouses, and tennis courts.
   
• Utilities: Water, gas, and electricity for shared spaces.
   
• Insurance: Master policy coverage for common structures and liability.
   
• Security: Gated access, cameras, guards, and intercom systems.
   
• On-site staff: Concierge, janitors, resident managers, maintenance crews.
   
• Reserve contributions: Funds set aside for future repairs or replacements, such as elevator modernization or roof replacement.

In well-managed communities, HOA boards often work with professional property management companies like FirstService Residential to budget strategically, obtain competitive vendor pricing, and maximize reserve contributions.
 

Do you have to pay HOA fees?

Yes, if you live in a California community governed by an HOA, you are typically required to pay HOA fees.

When you purchase property within an HOA, you automatically become a member of that association and are legally obligated to follow its rules and pay required assessments. These obligations are outlined in the community's governing documents.

Failure to pay HOA fees can result in late fees, interest, and eventually liens or foreclosure proceedings. California law allows HOAs to take legal action to recover unpaid assessments, though there are specific procedural requirements to protect homeowners' rights.
 

Why are HOA fees in California so high?

HOA fees in California are often higher than in other states due to the cost of living, regulatory requirements, and the premium placed on amenities and property value preservation.

Some factors contributing to inflated average HOA fees in California may include:

• Labor and services: California's labor laws and wage standards may increase the cost of services like security, landscaping, and building maintenance.
   
• Insurance costs: Property and liability insurance premiums are higher due to natural disaster risks (e.g., earthquakes, wildfires).
   
• Regulatory compliance: California HOAs must meet stringent state and local regulations, including mandatory reserve studies and energy benchmarking.
   
• Amenities and expectations: Many communities offer high-end features like spas, rooftop decks, EV charging stations, and concierge service, all of which require consistent funding.
   
• Aging infrastructure: Some communities may face higher costs due to aging buildings that require more frequent repairs and capital improvements.

While the fees may seem high, they are typically structured to protect property values and help prevent unexpected assessments in the future. A robust reserve fund, for instance, can reduce the likelihood of needing a sudden one-time charge for major repairs.
 

Is there a cap on HOA fees in California?

There is no fixed dollar cap on monthly HOA fees in California, but there are limits on how much an association can raise fees year-over-year without a vote.

Under California Civil Code Section 5605, HOA boards may have the authority to increase regular assessments by up to 20% over the previous year without a vote. Any increase beyond that typically requires approval from a majority of homeowners. For example, if your HOA dues were $300 per month last year, the board could theoretically increase dues to $360 per month this year without requiring a community vote. Of course, it’s essential to review your HOA’s governing documents for the rules specific to your community.

California law also typically requires that members be given at least 30 days' written notice before any increase in fees takes effect.

Other protections may include:

• Requirements for detailed annual budgets
   
• Mandatory reserve studies every three years
   
• Transparency in board decision-making

As California's property landscape evolves, so too will the cost and structure of HOA fees. If you're a board member looking to streamline operations or prepare for future expenses, it can help to partner with a property management company that offers transparency, cost controls, and long-term planning.

At FirstService Residential, we work closely with HOA boards across California to develop budgets that reflect community goals, preserve property values, and simplify financial planning. If you have questions about your community’s fees or need support aligning your assessments with your long-term vision, contact a member of our team today.