Condo Fees vs. POTL Fees: What’s the Real Difference?

Feb 4

If you’ve been exploring different homeownership options in Ottawa, you’ve probably come across Condo Fees and POTL Fees—but what do they actually mean, and how do they impact your monthly costs? Let’s break it down in a way that’s easy to understand so you can make the right decision for your budget and lifestyle.

What Are Condo Fees?

When you buy a traditional condominium, you’re purchasing a unit within a shared building. Along with your purchase, you agree to contribute to the cost of maintaining shared spaces and amenities. This is covered by condo fees, which typically include:

Building maintenance (lobby, hallways, elevators, etc.)
Amenity upkeep (pools, gyms, party rooms, etc.)
Landscaping & snow removal
Reserve fund contributions (for future repairs and replacements)
Building insurance (but not your personal unit insurance)
Utilities (some condos include heat, water, and even hydro in the fees)

Cost Range: Condo fees vary widely, typically from $0.50 to $1.00 per square foot in Ottawa. That means for an 800 sq. ft. condo, you could be paying $400 to $800 per month in fees. These fees can go up based on amenities, the size of the building, and the overall maintenance needs. Be sure to check what’s included in your condo fees before committing, as some fees can include utilities and others may not.

What Are POTL Fees?

A Parcel of Tied Land (POTL) is a hybrid between freehold and condo ownership. You own your home and the land it sits on, but you also share responsibility for certain common elements—like a private road, snow removal, or garbage collection. The cost of maintaining these shared elements is covered by a POTL fee.

POTL fees typically cover:

Road maintenance and snow removal
Visitor parking upkeep
Common green space maintenance
Possibly garbage and recycling collection

Cost Range: POTL fees are usually much lower than condo fees, ranging from $50 to $200 per month, depending on what’s included. These fees are often more affordable because there are fewer amenities to maintain and fewer shared spaces.

Example: Comparing a Condo vs. a POTL Townhome

Let’s say you’re deciding between:

A condo apartment in Centretown with a $600/month condo fee.
A freehold townhome in a POTL community with a $120/month POTL fee.

Even though the townhome’s mortgage payment might be slightly higher, the overall monthly cost could still be lower because you’re not paying for expensive condo amenities and full building upkeep. In addition, the townhome may offer more freedom, such as not being bound to strict condo rules or shared spaces.

Which One is Right for You?

Choose a condo if you want a maintenance-free lifestyle, enjoy amenities like a gym or concierge, and don’t mind higher fees for these conveniences.
Choose a POTL property if you want more control over your home, prefer lower fees, and don’t need shared amenities like a gym, pool, or party room.

Want to Learn More About Buying Your First Home?

Understanding real estate terms like POTL, CEC, and condo fees is just one piece of the puzzle when buying a home. If you’re a first-time homebuyer, you probably have more questions—and I’ve got answers!

Join me for my Free First-Time Homebuyer Seminar, where I’ll break down everything you need to know about buying your first home in Ottawa.

Buying a home doesn’t have to be confusing—let’s make it simple! Hope to see you there.

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