If it happens above the ground you'll get clouds. Dew Point - the temperature at which water condenses. When the dew point is close to the current air temperature then humidity is high. If the air temp drops down to the dew point, condensation will occur. The dew point can tell us how high clouds will form.
Clouds form where condensation is occurring.
When the moist air is cooled below the dew point temp, the water condenses into clouds. If the condensation continues, the mists will combine into drops that fall as precipitation. Precipitation cleans the atmosphere. Particles are removed as condensation nuclei and gases dissolve into the water. As air rises, it cools.