By Michael Diamond · Updated June 2026

Short answer: Budget 1% to 2% of purchase price per year in carrying costs for a non-club Park City second home, and 1.5% to 3% for a club property. On a $5M home that's roughly $87,000/year non-club, or ~$120,000/year with a club membership — before any mortgage. The biggest surprise for out-of-state buyers is property tax: Utah gives primary residences a 45% exemption that second homes don't get, so a $5M second home runs $35K–$55K in tax alone.

On this page: Property taxes · HOA dues · Club fees · Insurance · Utilities · Management · All-in examples · FAQ

Key takeaways

• Plan 1–2% of price/year for a non-club home, 1.5–3% for a club property — before mortgage.
• Utah taxes second homes ~83% higher than primary residences (no 45% exemption): $35K–$55K on a $5M home.
• Club initiation (Promontory, Talisker, Glenwild) can run $200K–$400K+, with $20K–$35K annual dues.
• Branded resort-condo HOA dues can reach $15K–$60K+ per year.
• In nightly-rental-approved zones, rental income can offset much of the carry — in residential zones it can't.

Buyers tend to focus on purchase price, but the truer measure of a Park City second home is total cost of ownership — and it can swing by tens of thousands per year depending on neighborhood, club, and property type. Here's a realistic line-item breakdown for a $4M–$8M second home in 2026.

Property Taxes

Utah's structure penalizes second homes: primary residences receive a 45% tax exemption; non-primary properties do not. On a $5M Park City second home, expect $35,000 to $55,000 per year, depending on Summit vs. Wasatch County and the specific mill levy. This is the single biggest surprise for out-of-state buyers — Utah's headline rate looks low until you remove the primary-residence exemption. Full detail in the Park City property taxes guide.

HOA and Condo Association Dues

Property type	Typical annual HOA
Branded resort condos (Stein Eriksen, Montage, St. Regis, Pendry)	$15,000–$60,000+
Promontory & similar club communities (HOA only)	$3,000–$8,000
Standalone homes in Old Town or Park Meadows	$0–$2,000

Club Initiation and Annual Dues

Club	Initiation	Annual dues
Promontory	~$250,000–$400,000+	$25,000–$35,000
Glenwild	Low six figures	~$20,000s
Talisker Club (Tuhaye & Empire Pass)	~$200,000–$400,000	~$20,000–$30,000

In many luxury communities these aren't optional — they're effectively required for the lifestyle the community sells. Verify current numbers directly with each club; they move. See how the clubs compare in the gated communities guide and Deer Valley vs. Promontory vs. The Colony.

Insurance

Mountain insurance is its own world, and wildfire risk modeling gets stricter every year. Plan for $5,000 to $25,000+ annually on a luxury Park City home, higher at more remote addresses. Specialty carriers (Chubb, AIG Private Client, PURE) dominate.

Utilities

Heating a large home in a high-altitude winter is meaningful: expect $8,000 to $20,000/year on electricity, gas, water, and sewer for a 6,000+ sq ft home, plus $3,000 to $8,000 for snow removal.

Property Management and Maintenance

If you're not in town for weekly snow checks, deliveries, vendor coordination, and pre-arrival housekeeping, plan for a property manager: $500 to $2,000+ per month depending on scope, plus $5,000 to $15,000/year in routine maintenance, deck staining, snow guards, and seasonal service.

If you offset costs through nightly rentals, full-service management runs 25–40% of gross rental revenue; resort-branded programs can run 50%+ but handle everything end-to-end. Understand the zoning first — see the nightly rental zones guide and Are Short-Term Rentals Still Profitable?.

Furnishing and Initial Setup Costs

Most cost breakdowns stop at recurring expenses, but furnishing is a real front-loaded cost buyers underestimate. Park City second homes are typically sold and shown fully furnished and turnkey, so budget for furniture packages, kitchenware, linens, and technology and security systems (smart locks, cameras, monitoring) as part of your initial setup, on top of the annual carrying costs above.

Rough All-In Annual Carry Examples

Line item	$5M non-club (Park Meadows / Silver Springs)	$5M Promontory w/ club
Property taxes	~$40,000	~$40,000
HOA dues	—	~$5,000
Club dues (annual)	—	~$30,000
Insurance, utilities, maintenance, management	~$47,000	~$45,000
Total	~$87,000/year	~$120,000/year + amortized initiation

Both figures are before any mortgage costs.

The Takeaway

Plan on 1.5% to 3% of purchase price per year in carrying costs for a club property, and 1% to 2% for a non-club property. If you intend to rent, gross rental income can offset a meaningful portion in nightly-rental-approved zones — but net it carefully against management and tax. For where these costs land by budget, see What $1M–$10M Buys in Park City.

Frequently Asked Questions

How much are property taxes on a $5M home in Park City?

Roughly $35,000 to $55,000 per year for a non-primary residence, depending on Summit or Wasatch County and the specific levy. Utah's 45% primary-residence exemption does not apply to second homes.

What are HOA fees in Park City?

Highly variable. Branded resort condos can run $15K–$60K+ annually, club-community HOAs run $3K–$8K, and many single-family neighborhoods have minimal or no HOA.

How much is the Promontory initiation fee?

Promontory membership initiation has typically ranged from approximately $250,000 to $400,000+ depending on tier, with annual dues around $25K–$35K. Verify current pricing directly with the club.

Can rental income cover the cost of a Park City second home?

In nightly-rental-approved zones with the right property, yes — gross income on a well-located 3BR condo can offset most or all carrying costs. In residential-only zones, no.

Which area fits my investment goal?

It depends on what you're optimizing for. Deer Valley, especially the expansion areas, tends to favor buyers prioritizing long-term appreciation and luxury positioning. Canyons Village offers the best blend of rental income potential and walkability. The Jordanelle and East Village corridor is more of a long-term upside play as that area continues to build out. Promontory and other golf communities suit lifestyle-and-legacy buyers more than cash-flow investors. Most buyers are weighing some mix of cash flow, appreciation, and lifestyle, and the right area shifts depending on which of those matters most to you.

Run Your Numbers

Want a line-item carry estimate for a specific property or community before you offer? Reach out to Park City Brokers — we model this on every transaction. Start with Is It a Good Time to Buy in Park City? and the Definitive Guide to Park City Real Estate.