Community Fees in Mallorca Explained: What Foreign Buyers Need to Know

If you are buying an apartment, townhouse, or villa within a development in Mallorca, you will almost certainly pay gastos de comunidad — community fees. These monthly or quarterly charges fund the maintenance of shared areas and services, and they vary enormously depending on the property type, location, and amenities. This guide explains exactly what community fees cover, what they typically cost, and — crucially — what to check before you sign anything.

What Are Community Fees?

In Spain, any building or development with shared elements (stairwells, lifts, gardens, swimming pools, facades, roofs) is legally required to form a comunidad de propietarios — a community of owners. This is governed by the Ley de Propiedad Horizontal (Horizontal Property Act), which sets out the rights and obligations of every owner within the community.

Each owner must contribute to the upkeep of these shared areas in proportion to their cuota de participación — a percentage assigned to each property when the building was first divided into individual units. This percentage is based on the relative size and value of your property compared to the others in the building. It is fixed in the escritura de división horizontal (the deed of horizontal division) and cannot be changed without the unanimous agreement of all owners.

Your community fee is calculated by multiplying the total annual budget of the community by your cuota de participación. So if the annual budget is €50,000 and your participation share is 4%, you pay €2,000 per year (€167 per month).

What Do Community Fees Cover?

The specific items covered depend on the facilities in your building or development, but typical costs include:

Basic Maintenance

• Cleaning of communal areas: hallways, staircases, entrance lobby, garages, bin stores
• Lift maintenance and insurance: annual servicing contracts are legally mandatory if the building has a lift
• Communal lighting: electricity for hallways, car parks, and exterior lighting
• Building insurance: the community must insure the building structure (your contents insurance is separate)
• Water supply: for communal gardens, cleaning, and sometimes a shared water tank
• Pest control: periodic treatments, particularly for cockroaches and rodents (standard in Mediterranean climates)

Amenities (Where Applicable)

• Swimming pool: maintenance, chemicals, water, pool attendant (if required by local regulations), annual inspections
• Gardens and landscaping: gardening staff, irrigation, tree pruning, replanting
• Security: 24-hour concierge, CCTV systems, gated access, security patrols
• Tennis courts, gym, spa: maintenance, equipment replacement, cleaning
• Children’s play area: annual safety inspections, equipment repairs

Administration

• Community administrator (administrador de fincas): a professional who manages the finances, organises meetings, chases unpaid fees, and coordinates maintenance. Their fee is typically €3–€8 per property per month, included in your community fees.
• Bank charges and accounting
• Legal fees: if the community needs to take action against non-paying owners or resolve disputes

Typical Community Fee Costs in Mallorca

Community fees in Mallorca vary widely. Here is a realistic breakdown by property type:

Property Type	Typical Monthly Fee	Notes
Basic apartment (no pool, no lift)	€30 – €80	Older buildings in Palma, small blocks
Apartment with communal pool & gardens	€80 – €200	Most common in resort areas like Calvià, Alcúdia
Luxury apartment with concierge & spa	€200 – €500+	Premium developments in Palma, Portals Nous
Townhouse in a small community	€50 – €150	Shared costs usually limited to street lighting, communal areas
Villa in a gated urbanisation	€100 – €400	Shared roads, security, communal pool, garden upkeep
Detached villa (no community)	€0	No shared elements = no community fees (but all maintenance falls on you)

Important: Low community fees are not always a good sign. A community that charges €40/month for a building with a pool and gardens is almost certainly underfunding maintenance, which means a large special levy (derrama) is likely around the corner. Well-managed communities charge enough to cover routine maintenance and build up a reserve fund for future repairs.

Extraordinary Levies (Derramas)

A derrama is a one-off special assessment charged to all owners when the community needs to fund a major expense that exceeds the reserve fund. These can be substantial and are one of the most significant financial risks when buying into a Spanish community of owners.

Common Reasons for a Derrama

• Roof replacement or major waterproofing works: €20,000–€100,000+ for the whole building, divided among owners
• Facade renovation: especially in older Palma buildings where the local council may order repairs
• Lift replacement or modernisation: a new lift can cost €30,000–€60,000
• Pool reconstruction: relining, new filtration systems, structural repairs
• ITE remedial works: the Inspección Técnica de Edificios (building inspection report) may identify mandatory repairs for buildings over a certain age
• Energy efficiency upgrades: insulation, solar panels, or heating system replacements, sometimes partially funded by government grants

How Derramas Are Approved

Ordinary maintenance and repairs can be approved by a simple majority at the annual general meeting (junta de propietarios). However, improvements or modifications that go beyond basic maintenance require higher voting thresholds — often three-fifths or three-quarters of the participation shares, depending on the nature of the work.

Key point for buyers: Even if a derrama was approved before you bought the property, you may still be liable for unpaid instalments. Spanish law is clear that debts attach to the property, not just the person. Your lawyer should verify that all community debts are paid up before completion — and ideally obtain a certificate from the community administrator confirming this.

Your Legal Obligations as an Owner

Under the Ley de Propiedad Horizontal, every owner has the following obligations:

• Pay community fees on time. Non-payment can result in the community obtaining a court order against you, with your property liable for the debt. In extreme cases, the community can place an embargo (charge) on your property.
• Contribute to the reserve fund. Spanish law requires communities to maintain a reserve fund of at least 10% of the annual budget. This is included in your regular fees.
• Attend or be represented at general meetings. You have the right (and to some extent the responsibility) to participate in community decisions. If you cannot attend, you can delegate your vote via a proxy.
• Comply with community rules (estatutos and normas de régimen interior). These may include restrictions on noise, pets, renovations, and short-term letting.
• Allow access for necessary repairs to communal elements that pass through or adjoin your property.

For non-resident owners: You should appoint a representative in Spain (typically your lawyer or gestor) to receive community correspondence and attend meetings on your behalf. Spanish communities send notices by post, and missing a meeting does not exempt you from decisions taken in your absence.

What to Check Before Buying

Before committing to purchase any property within a community of owners, your lawyer should obtain and review the following:

1. Minutes of the Last 3 Years of General Meetings

These reveal what has been discussed, approved, or planned. Look for mentions of major works, disputes between owners, persistent non-payment issues, or upcoming projects that could result in a derrama. The minutes (actas) are an invaluable window into the health and management of the community.

2. Certificate of Debt Status

Request a certificado de deuda from the community administrator, confirming that the seller is up to date with all community fees and that there are no outstanding derramas. The notary will typically require this certificate at the time of signing the escritura (purchase deed).

3. The Annual Budget and Accounts

Review the current annual budget and the most recent annual accounts. Check whether the budget is realistic, whether income matches expenditure, and whether the reserve fund is healthy. A community with €500 in its reserve fund and a 30-year-old roof is a red flag.

4. Community Statutes and Internal Rules

The estatutos (statutes) set out the rules of the community. Check for any restrictions that might affect your plans — particularly regarding:

• Short-term letting: Some communities have voted to prohibit or restrict tourist rentals, regardless of whether the municipality allows them. A community vote against holiday lets can override your ETV licence in practice (even if the legal position is complex).
• Renovation restrictions: limits on structural changes, terrace enclosures, or external modifications
• Pet policies: some communities restrict the number or size of pets
• Use restrictions: rules about commercial use, home offices, or professional activities

5. The ITE Report (If Applicable)

For older buildings, check whether an Inspección Técnica de Edificios has been carried out and what it found. If the building has not yet undergone its ITE but is required to (buildings over a certain age in the Balearics must pass an ITE), this could mean significant future costs.

6. Insurance Policy

Verify that the community has adequate building insurance and that the policy is current. Check the coverage limits — some communities are underinsured, which could leave you exposed in the event of fire, flooding, or structural damage.

Community Fees and Holiday Rental Properties

If you plan to let your property to tourists (with a valid ETV licence), community fees take on additional importance:

• Higher wear and tear: Holiday lets generate more use of communal areas (pool, lifts, gardens) than a property occupied by a single family. Some communities charge a supplement for properties with tourist licences, or impose specific rules about guest behaviour.
• Noise and nuisance complaints: Tourist guests may not always respect community noise rules, which can create tension with permanent residents. If complaints escalate, the community can vote to restrict or ban tourist lets.
• Check the statutes carefully: Before buying a property for holiday rental, confirm that the community statutes do not prohibit or restrict short-term letting. A three-fifths majority can vote to ban it, and several communities in popular areas of Mallorca have done exactly that.

Can Community Fees Be Reduced?

If you feel your community fees are unreasonably high, you have options:

• Attend meetings and vote: Changes to the budget require majority approval. If enough owners agree that costs need to be cut, you can vote to reduce services or renegotiate contracts with service providers.
• Request competitive tenders: Many communities stick with the same cleaning, gardening, and maintenance firms for years without reviewing prices. Requesting quotes from alternative providers can often reduce costs by 10–20%.
• Challenge the administrator: If the administrator is not performing adequately or charging too much, the community can vote to replace them. Administrator fees vary, and shopping around can save money.
• Review the insurance policy: Building insurance is often one of the largest single items in the community budget. Getting competitive quotes annually can yield savings.

What you cannot do is simply refuse to pay. Even if you disagree with a decision taken at a community meeting, you must pay the fees while you challenge the decision through the courts. Non-payment is never an acceptable response.

Community Fees: A Summary for Foreign Buyers

Community fees are a normal, unavoidable part of owning property in a Spanish community. They are not something to fear, but they do require due diligence. Here is a quick checklist:

• Ask for the current monthly/quarterly fee before you make an offer
• Request 3 years of meeting minutes and annual accounts
• Obtain a certificate confirming the seller has no outstanding debts
• Check for approved or planned derramas
• Read the community statutes, especially regarding rentals and renovations
• Factor community fees into your total cost of ownership
• Appoint a representative if you will be a non-resident owner

A well-run community with transparent finances and a healthy reserve fund is a sign of a building that is well maintained and a sound investment. A community with low fees, no reserve fund, and deferred maintenance is a property you should think very carefully about.