What is a condominium storage tax? Is it just another fun way to pay more taxes? The answer is: kind of! Condominiums often have storage units, and these units may be legally part of the condominium itself, not a separate property that can be bought or sold independently of the condo. However, some condominiums have storage units or parking spaces that are a separate piece of property from a legal standpoint. Usually, when a storage unit is its own separate property, it can be bought and sold without the condominium it originally was tied to.
A condominium storage tax is a property tax assessed on a storage unit that is legally separate from the condominium unit itself. When the storage unit is created as a separate legal parcel or tax lot with its own tax account, it is also taxed separately from the condominium. When that occurs, the owner receives a separate property tax bill for the storage unit in addition to the taxes assessed on the condominium.
When a real estate listing includes a condominium storage tax, it informs prospective buyers that ownership of the storage unit carries an additional annual property tax obligation. Buyers should review the listing carefully to determine whether the storage space is included with the condominium, whether it is deeded separately, and whether the quoted property taxes include both the condominium and the storage unit. Understanding this distinction helps buyers accurately estimate their ongoing ownership costs and ensures there are no surprises after closing.
Condominium Storage Tax
