Is a reserve study mandatory in Washington State?

Yes - in Washington State, a reserve study is mandatory for most condominium and homeowners associations that have significant assets. 

Associations must prepare a reserve study, update it annually, and complete a full study based on a visual site inspection at least every three years, unless doing so would impose an unreasonable hardship. Washington is one of only a handful of states that legally require reserve studies, making it one of the strictest in the country.

That's the short answer. Which statute applies to your community - and the narrow exemptions that may release you from the requirement - depends on what type of association you are and when it was formed. 

In this guide, we’ll explore all of the requirements in Washington State so you can quickly determine what you need to do.

The Three Laws That Govern Washington Reserve Studies

Washington reserve study requirements come from three statutes, and knowing which one applies to your community is the first step:

• RCW 64.34 - the Washington Condominium Act. Governs condominium associations, with reserve study requirements set out in RCW 64.34.380.
• RCW 64.38 - the Homeowners' Associations Act. Governs HOAs and planned communities formed before July 1, 2018, with reserve study requirements in RCW 64.38.065.
• RCW 64.90 - the Washington Uniform Common Interest Ownership Act (WUCIOA). Governs most common-interest communities formed after July 1, 2018, with reserve requirements in RCW 64.90.545.

All three set essentially the same schedule, so for most associations, the practical requirement is the same regardless of which law applies.

What the Law Requires: Condominiums (RCW 64.34.380)

Under RCW 64.34.380, a condominium association with ‘significant assets’ must prepare and maintain a reserve study. 

The initial study must be based on a visual site inspection conducted by a reserve study professional. From there, the association must update the reserve study annually, and at least every three years a new updated study must again be based on a visual site inspection by a professional.

A reserve study under this section does the core work of reserve planning: identifying the association's major components, estimating each one's remaining useful life, and calculating the funding needed to repair or replace those components when the time comes.

What the Law Requires: HOAs (RCW 64.38.065)

For homeowners associations, RCW 64.38.065 sets the same standard. An HOA with significant assets must prepare a reserve study and, unless it would impose an unreasonable hardship, update it annually - with a full study based on a visual site inspection by a reserve study professional at least every three years. The decisions about preparing and updating the study rest with the board of directors, exercised in the board's reasonable discretion.

In other words, the requirement applies to both condos and HOAs alike. The standards are the same; only the governing statute differs.

Communities Formed After July 1, 2018 (RCW 64.90 / WUCIOA)

Communities created after July 1, 2018 are generally governed by RCW 64.90, the Washington Uniform Common Interest Ownership Act. WUCIOA aligns closely with the older Condominium Act, and its reserve provisions (RCW 64.90.545) carry the same core schedule: prepare a reserve study, update annually, and complete a full visual-inspection study at least every three years.

A major change is coming. The older sections of the Condominium Act and the HOA Act are scheduled for repeal, and all Washington associations transition fully to WUCIOA on January 1, 2028. RCW 64.38 expires December 31, 2027. For boards, the practical takeaway is that the reserve study schedule itself isn't changing - but the governing law your community cites will, so any documents or budgets referencing the older statutes should be reviewed ahead of the transition.

When Is an Association Exempt?

Washington law provides narrow exemptions. Under RCW 64.38.090, an association is not required to follow the reserve study requirements if any of the following apply:

• The cost of the reserve study would exceed five percent of the association's annual budget
• The association does not have significant assets
• There are ten or fewer homes in the association

A broader "unreasonable hardship" standard also runs through the statutes - an association is excused from the annual update and three-year study obligations where meeting them would impose an unreasonable hardship. For communities governed by WUCIOA, separate exemptions exist for certain small or nonresidential communities.

Two cautions on exemptions. First, qualifying for an exemption from the legal requirement does not eliminate the financial need - small associations often benefit most from a reserve study, because a single major repair can hit each owner hardest where there are few owners to share the cost. Second, the exemption thresholds are precise, and whether your association qualifies is a board decision best made with professional input rather than assumed.

Reporting and Disclosure Requirements

Washington doesn't just require the study - it requires associations to share the results. Both condominium and HOA boards must annually disclose a reserve fund summary to owners and members (RCW 64.34.308 for condos, RCW 64.38.025 for HOAs), provided as part of the budget summary. 

That disclosure covers, among other things, the current amount budgeted for reserve contributions, the contribution rate recommended by the reserve study, the funding plan behind that recommendation, any scheduled special assessments, and whether projected reserve balances will be sufficient to meet the association's obligations each year.

This disclosure obligation is one of the reasons a current reserve study matters even beyond compliance: the board has to report the study's recommended contribution rate to owners every year, so an out-of-date or missing study leaves a visible gap.

Beyond Compliance: Why It's Worth Doing Anyway

Even setting the law aside, maintaining a current reserve study is one of the best investments a board can make. 

A professional study every three years, paired with annual updates and transparent communication with members, helps boards anticipate large expenses, avoid financial surprises, and ensure every owner contributes their fair share over time. Whether your community is governed under RCW 64.34, RCW 64.38, or RCW 64.90, proactive reserve planning protects the community's long-term financial health.

For more on how often studies should be updated and what each level involves, see our guide to how often you should do a reserve study, and our overview of reserve study costs.

Frequently Asked Questions

Is a reserve study legally required in Washington State? Yes, for most condominium and homeowners associations with significant assets. Under RCW 64.34.380 (condos) and RCW 64.38.065 (HOAs), associations must prepare a reserve study, update it annually, and complete a full visual-inspection study at least every three years - unless an exemption or unreasonable hardship applies.

How often must a Washington reserve study be updated? Annually, with a full study based on a visual site inspection by a reserve study professional at least once every three years.

Can a Washington HOA be exempt from the reserve study requirement? Yes, in narrow cases - if the study would cost more than five percent of the annual budget, the association lacks significant assets, or there are ten or fewer homes (RCW 64.38.090). An "unreasonable hardship" standard also applies. Even when exempt, most associations still benefit from a study.

What is changing in 2028? All Washington associations transition fully to the Washington Uniform Common Interest Ownership Act (RCW 64.90) on January 1, 2028, when the older HOA Act expires. The three-year reserve study schedule itself stays the same.

Who can perform a reserve study in Washington? The study must be based on a visual site inspection conducted by a qualified reserve study professional. Reserve Study Group works with condominium and homeowners associations throughout Washington State - request a proposal for your community.

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