When it comes to real estate investment—or even homeownership—co-ownership charges (known in France as charges de copropriété) are too often overlooked. Yet they can significantly erode both long-term asset value and the actual return on investment, especially when they rise faster than inflation.
A Real Example: When Professional Syndics Inflate the Bill
A specific case in France illustrates this well. An apartment building that successively experienced various forms of management—from a developer-associated professional syndic (a setup that should always be avoided to ensure independence and protect warranty claims), to a cooperative board, to a volunteer-led structure, and finally to a professional syndic under Foncia—has seen its fees explode over time.
Since Foncia took over the building’s management (with no major change to the property’s scope or size), co-ownership charges and management fees have increased by 47.2%—compared to just 19.9% inflation according to INSEE over the same period (2016–2024). That’s more than double the general inflation rate.
Lack of Transparency and Accountability
These increases are rarely flagged or explained transparently by syndics. In this case, the syndic stopped updating the mandatory maintenance logbook (carnet d’entretien), making it difficult to track building issues and hiding years of inaction. To fill the gap, a shared Google spreadsheet was set up by one of the owners to record and share maintenance activity with co-owners and residents.
This log has revealed a worrying pattern: major issues such as water leaks were not handled by the syndic but by residents themselves, fed up with delays and the often inflated quotes charged by the professional management.
Why These Costs Are Often Ignored
Real estate agents, banks, and even government communication rarely emphasize these charges. Why? Because underestimating costs makes properties easier to sell or finance. But the reality is that professional syndics—especially large firms—tend to increase charges steadily, outpacing inflation and eroding your return without you even noticing at first.
The Hidden Impact on Profitability
These creeping expenses cut into rental profitability and can reduce or even eliminate real capital gains at resale. What looks like a sound investment on paper quickly becomes a burden when annual fees, unexpected works, and poorly handled maintenance eat away at income.
How to Protect Yourself
To avoid unpleasant surprises:
- Always request a detailed history of charges over the past 5–10 years before purchasing a condo unit.
- Investigate who manages the property: cooperative or volunteer-run syndics tend to be more cost-efficient.
- In any profitability simulation, include a buffer for significant increases in shared costs.
A Word of Caution for Landlords
This case illustrates one important principle: owning a rental unit within a condominium in France can be financially hazardous. Even for experienced owners, high and rising co-ownership fees combined with passive or opaque management are a red flag. For many, it has become a decisive reason to avoid investing in such properties altogether.