-- Reserve Study Requirements
Who needs a Reserve Study.
In Massachusetts, there is no legal requirement for homeowners associations (HOAs) or condominium associations to conduct reserve studies.
How often do you need to update a Reserve Study.
While not mandated by law, industry best practices recommend updating reserve studies every 3 to 5 years to ensure financial stability and adequate planning for future capital improvements.
Additional Information
Massachusetts law requires condominium associations to maintain an adequate reserve fund, collected as part of common expenses and deposited into a separate account from the operating fund.
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Concord
- 21 Foundry St
2nd Floor
Concord NH 03302 - Phone: 888.315.2843
Fax: 888.316.4587
Email: mail@reservestudygroup.com
We focus on the detail and the big picture.
Our reserve study approach is simple. We provide you with the insight needed to make fast, accurate and informed decisions. We focus on understanding your situation and providing funding solutions that are designed with your goals in mind.
-- Reserve Study Requirements
Legislation
Massachusetts law does not require condominium or homeowners associations to conduct reserve studies. However, under Chapter 183A, Section 10(i) of the Massachusetts General Laws, condominium associations are required to maintain an adequate replacement reserve fund as part of the common expenses. This reserve fund must be kept in a separate account from operating funds. While there is no legal obligation to perform a reserve study to determine the appropriate funding levels, many associations use them as a best practice to ensure financial preparedness. Associations may also adopt bylaw amendments requiring contributions to the reserve account at the time of unit sales.
Sample Reserve Study Report
Our reports are designed to create an accurate and clear illustration of the Association’s financial and physical standing. We simplify the complex issue of reserve planning by giving you the entire picture in one easy to understand report.
-- Reserve Study
Our team of reserve study professionals work with associations throughout New England.
- Baltimore
- Baltimore
- Baltimore
- Baltimore
- Baltimore
- Baltimore
- Baltimore
- Baltimore
- Baltimore
- Baltimore
Frequently asked questions
Is a reserve study required in Massachusetts?
No, Massachusetts does not legally require reserve studies, but associations must maintain an adequate replacement reserve fund under Chapter 183A, Section 10(i).
How much do reserve studies cost?
Reserve studies in Massachusetts typically cost between $2,500 and $10,000, depending on the property's size and number of components.
How long does it take to do a reserve study?
A reserve study usually takes 2 to 6 weeks, including the site visit and preparation of the final report.
How often should a condo association do a reserve study?
Although not required, best practices suggest conducting a reserve study every 3 to 5 years to ensure adequate funding for future repairs.
What is the purpose of a reserve
A reserve study helps associations plan for major repairs and replacements, ensuring sufficient funds are available over time and reducing the need for special assessments or loans.
If you have any questions, our team of reserve study professionals will contact you immediately.
