The bill that arrives after you own it
Condo special assessments
on the Grand Strand.
By Devin Day, Operations Officer & licensed MLO, NMLS 2721275 · Reviewed by Timmy Fredrick Nash, Broker-in-Charge · Updated August 29, 2026
A special assessment is the charge an association levies when it needs money it does not have. Here is what triggers one, how to spot it coming before you buy, and who pays when a unit changes hands.
If you have any questions while reading, call 854.333.2135.
The direct answer
What a special assessment is
Regular dues cover the running of the property. A special assessment is what happens when something costs more than the association has saved: a roof, an elevator, structural repair, a jump in the master insurance premium, or litigation.
The board levies it on every unit, usually as a lump sum or over a set number of months. On a coastal condo building it can run into the thousands per unit. It is not optional, and it does not care that you only just bought.
What causes them
What triggers a special assessment here
- ✓Deferred maintenance catching up. Roofs, elevators, balconies, siding. Salt air shortens the life of everything on this coast.
- ✓Master insurance. Coastal windstorm premiums have risen sharply. When the premium jumps mid-year and the budget cannot absorb it, the difference is assessed.
- ✓Structural and safety repairs. Scrutiny of condo building safety tightened across the country after 2021, and inspections now surface work that was previously deferred.
- ✓Litigation. Legal costs the association did not budget for.
- ✓Reserves that were never funded. The most common underlying cause, and the most visible in advance. See reserves and reserve studies.
Seeing it coming
How to spot one before you make an offer
A special assessment is almost never a surprise to the board. It is only a surprise to the buyer who did not read.
- ✓Board meeting minutes, 12 to 24 months. This is the single best document. A coming assessment gets discussed, priced and argued over for months before anyone is billed.
- ✓The reserve study against the building's age. If the roof has eight years left and the reserve has a fraction of what a roof costs, you are looking at the assessment already.
- ✓The current budget. If the association only just breaks even each year, there is nothing to spare when something goes wrong.
- ✓Recent dues history. Several years of flat dues in a period of rising insurance costs is not good news. It usually means the shortfall is waiting.
This is exactly what we read when a client asks us to look at a building. It is also why we ask for the minutes, which sellers and listing agents often do not think to provide.
Want us to look at it for you?
Who pays
Who owes it when the unit sells
The general expectation is that an assessment already charged before closing belongs to the seller, and one charged afterwards belongs to the buyer. But that is a contract term, not a law of nature, and the line gets blurry when an assessment has been approved but not yet billed.
Two things protect you. Put the allocation in the contract in writing, and get an estoppel or resale statement from the association confirming what is owed on that unit as of closing. If you are selling, the same document protects you from a charge appearing after you have gone. Related reading: selling a condo in Myrtle Beach.
Sources. South Carolina Department of Consumer Affairs, 2026 Homeowners Association Annual Report (calendar year 2025 data), and the South Carolina Homeowners Association Act, S.C. Code Title 27, Chapter 30. Verified July 2026. This is general information about how associations work, not legal advice.
Worried about an assessment on a building you like?
Send us the name. We read the minutes and the reserve study and tell you what is being discussed.
Common questions
Special assessment FAQ
What is a condo special assessment?
A one-time charge on top of regular dues, charged when the association needs money it does not have. Roofs, elevators, structural repair, an insurance shortfall or litigation are the usual causes. It is billed per unit, and it can be thousands of dollars.
Who pays a special assessment when a condo sells?
It depends on when it was charged and what the contract says. An assessment already voted and charged before closing is normally the seller's, but that is a contract term, not an automatic rule. Get it in writing, and get an estoppel or resale statement from the association confirming what is owed.
How can I tell if a special assessment is coming?
Read the last twelve to twenty-four months of board meeting minutes, the reserve study, and the budget. Minutes are where a coming assessment is discussed long before it is charged. Thin reserves against an ageing roof or elevator is the classic setup.
Can a special assessment stop my loan?
It can. Lenders review a condo project as well as the borrower, and an unresolved assessment tied to safety, structural or habitability repairs can make the whole building ineligible for a conventional loan. Our non-warrantable condos page explains that review.
Can I refuse to pay a special assessment?
Not realistically. A properly charged assessment is a debt on the unit and can become a lien. If you believe it was charged improperly, that is a question for a South Carolina attorney, not something to settle by withholding payment.
Legal notice. Chapter3 Realty Corp is a licensed South Carolina real estate brokerage. We are not attorneys and nothing on this page is legal advice. Homeowners association documents, South Carolina law and the facts of your situation all differ, and only a licensed South Carolina attorney can advise you on your rights or obligations. Statutes and association rules change; information here was verified in July 2026 and may not be current when you read it. Always read the association's own recorded documents and, where the stakes warrant it, consult an attorney.