Massachusetts Condominium Master Deed and Trust: What Condo Buyers Need to Understand
The master deed and trust agreement control everything about your condo — what you own, what you pay, and what rules you must follow. Here's what to look for before you buy.
The Short Version
- • The master deed defines what you own (your unit) vs. what's shared (common areas) and your percentage of common interest.
- • The condo trust manages the property, collects fees, and enforces rules — review its bylaws, budget, and reserves.
- • Check for rental restrictions, pet rules, parking assignments, and pending special assessments.
- • A 6D certificate is required at closing — it confirms all fees are paid up to date.
- • Have your attorney review all condo documents before signing the P&S.
What Is a Master Deed?
The master deed (formally called a "declaration of condominium") is the foundational legal document that creates a condominium. It's recorded at the registry of deeds and defines the entire condominium structure. Without a master deed, a building is just a building — with one, it becomes a condominium with individually owned units and shared common areas.
The master deed specifies:
- • Unit boundaries: Exactly what you own — typically the interior surfaces of the walls, floors, and ceilings. Everything outside those boundaries is common area.
- • Common areas: Shared spaces — hallways, elevators, roofs, foundations, parking lots, gardens, and amenities.
- • Limited common areas: Spaces used exclusively by one unit — like a balcony, deck, or assigned parking space — but still owned by the association.
- • Percentage of common interest: Each unit's share of the common expenses. This determines your condo fee and your voting power.
- • Use restrictions: Rules on rentals, pets, businesses, alterations, and other uses of the units.
What Is a Condominium Trust?
In Massachusetts, most condominiums are organized as trusts. The condominium trust is the legal entity that manages the property on behalf of all unit owners. It's governed by trustees — usually unit owners who are elected at annual meetings — and operates according to the trust agreement (also called the bylaws).
The trust's responsibilities include:
- • Collecting monthly condo fees and special assessments
- • Maintaining and repairing common areas
- • Maintaining master insurance coverage
- • Enforcing the rules and bylaws
- • Managing the reserve fund
- • Hiring property managers, contractors, and attorneys
Key Documents to Review Before Buying
When you buy a condo, you're not just buying a unit — you're joining an association. Review these documents carefully with your attorney:
- 1. Master deed: Unit boundaries, common areas, percentage interests, and use restrictions.
- 2. Bylaws / trust agreement: How the association operates — elections, meetings, fee collection, and enforcement.
- 3. Annual budget: Revenue from condo fees, expenses, and how much is allocated to reserves.
- 4. Reserve study: A professional assessment of the remaining life of major components (roof, siding, elevators) and the funding needed to replace them.
- 5. Meeting minutes: The last 12–24 months of trustee and association meeting minutes reveal ongoing issues, disputes, and planned projects.
- 6. Master insurance policy: What the association covers and what you need to cover with your HO-6 policy. Check the deductible — you may be responsible for a portion.
- 7. 6D certificate: Confirms all fees and assessments are current. Required at closing.
Red Flags to Watch For
- ⚠ Low reserves. If the reserve fund is small relative to the age and size of the building, expect special assessments.
- ⚠ Pending litigation. Lawsuits involving the association can mean financial liability and difficulty obtaining financing.
- ⚠ High rental concentration. If many units are rentals, financing can be harder to get and the building may be less well-maintained.
- ⚠ Recent or pending special assessments. These are one-time charges for major repairs — they can be thousands of dollars.
- ⚠ Deferred maintenance. Meeting minutes that repeatedly mention the same unresolved repair issues are a warning sign.
Buying a Condo on the North Shore?
Condo purchases require a different level of due diligence than single-family homes. I'll help you understand the documents, identify red flags, and negotiate protections — so you buy with confidence.
The Bottom Line
The master deed and condo trust are the rulebooks for your investment. They determine what you own, what you pay, and what restrictions apply. Before buying a condo on the North Shore, review every document with your attorney — especially the budget, reserves, and meeting minutes. A well-run association with healthy reserves protects your investment; a poorly run one can lead to special assessments, financing problems, and headaches for years.
