HOA fees vs. club membership: what you actually pay

Two different things

• HOA or association fees pay for the community: security, roads, landscaping, common areas, and reserves. In some communities there is a master association and a neighborhood association, each with its own fee.
• Club membership gives access to amenities such as golf, beach club, spa, and dining. It may be required, optional, or by invitation, and usually has an initiation fee plus annual dues.

At closing

Closings in these communities often collect association dues in advance, a reserve or capital contribution, and club initiation or dues. They can exceed the government closing costs. Our closing cost calculator has fields for each.

The questions

• Is club membership required with this property, and is it transferable from the seller?
• Initiation fee, annual dues, and any food and beverage minimum
• Master and neighborhood association fees, and what each covers
• Reserve balance and any planned special assessments
• Rules on rentals, renovations, and guests

Questions

Is club membership required to buy in Puerto Rico's resort communities?

It depends on the community and sometimes the property. Some require it, some make it optional, and some offer it by invitation. Ask before making an offer.