Kentucky does not require reserve studies for any association, but condominiums face reserve-related obligations. For horizontal property regimes (condos created before January 1, 2011), KRS 381.870 binds all co-owners to contribute pro rata toward 'replacement reserves of the general common elements,' and for all Kentucky condominiums KRS 381.9203 requires resale certificates to disclose the amount of any reserves for capital expenditures. Non-condo HOAs have no statutory reserve rules, and no Kentucky statute sets a study cycle or funding minimum.
Verified against the statute 2026-07-06
Condominiums only. Condos created before January 1, 2011 are governed by the Horizontal Property Law (KRS 381.805–381.910), including the KRS 381.870 replacement-reserve contribution duty; condos created after that date fall under the Kentucky Condominium Act (KRS 381.9101–381.9207). The resale reserve-disclosure certificate (KRS 381.9203) and reserve-budget powers (KRS 381.9167) apply to all condos via KRS 381.9103(2). Non-condo HOAs and planned communities have no statutory reserve requirements.
No statutory cycle — Kentucky law never requires a reserve study for condos or HOAs.
For pre-2011 horizontal property regimes, KRS 381.870 obligates every co-owner to contribute pro rata toward replacement reserves of the general common elements, but the statute sets no dollar amount, percentage, or methodology. Under the 2010 Condominium Act, associations 'may' budget for reserves (KRS 381.9167(1)(b)) — funding is discretionary with no minimum and no waiver mechanics. Non-condo HOAs have no statutory funding rule.
For all Kentucky condominiums, the seller's resale certificate under KRS 381.9203 must disclose the amount of any reserves for capital expenditures and any portions designated for specific projects, anticipated capital expenditures for the current and next two fiscal years, the current operating budget, and recent financial statements. The contract is voidable by the purchaser until the certificate is delivered and for five days after, or until conveyance, whichever occurs first.
Requires all co-owners to contribute per their percentage of common interest 'toward the expenses of administration and of maintenance, repairs and replacement reserves of the general common elements'; owners cannot exempt themselves by waiving use of the common elements. Applies to horizontal property regimes (pre-2011 condominiums).
Resale certificate must state 'the amount of any reserves for capital expenditures, if any, and of any portions of those reserves designated by the association for any specified projects' (subsection (1)(e)), plus anticipated capital expenditures for the current and next two fiscal years (1)(d); the association must furnish the certificate within 10 days of a unit owner's written request.
Subsection (1)(b) authorizes the association to 'adopt and amend budgets for revenues, expenditures, and reserves, and collect assessments for common expenses' — permissive budget authority with no reserve minimum.
The Condominium Act applies to condominiums created after January 1, 2011, but subsection (2) extends KRS 381.9167 and 381.9203 (among others) to all pre-2011 condominiums for events occurring after that date.
Extracted and read the full official PDF texts from apps.legislature.ky.gov: KRS 381.870 ('maintenance, repairs and replacement reserves of the general common elements' contribution duty with no exemption by waiver of use), KRS 381.9203(1)(d)–(e) (resale-certificate reserve and anticipated capital-expenditure disclosures, 10-day certificate deadline in subsection (2), five-day voidability in subsection (3)), KRS 381.9167(1)(b) (permissive reserve-budget power), and KRS 381.9103(2) (extension of 381.9167 and 381.9203 to pre-2011 condominiums for post-2011 events) — all four cites and claims confirmed verbatim. Informational only — not legal advice. Confirm with the primary source and a community-association attorney licensed in Kentucky. Report an issue.
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