High HOA fees can be very off putting when you buy a home. They can also make a property you intend to let out appear to be a bad investment, as the fees have to be passed on to tenants. Read the article………………
Be sure to know the rules — and fees — for the homeowner association before you buy
Editor
/ Owner - July 29, 2019
For many buyers in the expensive D.C. area, a townhouse or a condo can be a more affordable option than a single-family house. According to data from Bright MLS, the median sales price for a condo in the region was $340,000 in April, compared with $454,508 for a townhouse and $585,000 for a single-family home. […]
Disclosers for prospective purchasers (IL)
Editor
/ Owner - July 29, 2019
I have been receiving a lot of inquiries about the disclosures required to be provided to prospective purchasers under Section 22.1(a) of the Illinois Condominium Property Act. Section 22.1 describes the information that the unit owner must obtain from the board for inspection by a prospective purchaser, upon demand, in the event of any resale […]
So you want to use your condo for short-term rentals? Association and city have a say (VA)
Editor
/ Owner - July 27, 2019
Short-term rental services, such as Airbnb, HomeAway and VRBO, have become a controversial hot topic in communities, especially in condominiums. Many owners want to rent their homes and earn a profit, but they must first consult their governing documents as well as city ordinances. Read the article………………………
What Are HOA Fees? Average Cost and What They Cover
Editor
/ Owner - July 22, 2019
A homeowner’s association or HOA fee is another expense that some homeowners should be prepared to pay annually in addition to paying their mortgage and property taxes. Before you purchase a house, townhome or condo, determine whether there is a HOA fee assessed to the homeowners. The fee may be paid annually, such as a […]
What Do I Do With an HOA Demand Letter?
Editor
/ Owner - May 31, 2019
When buying or selling a home or condo within an HOA-run community, there are certain particularities and processes that aren’t necessarily in place when buying or selling in a non-HOA community. These processes are usually accompanied by certain fees. One such expense is the HOA Demand Letter. Read the article………………………
First-Time Homebuyers Guide to HOAs
Editor
/ Owner - May 12, 2019
Community associations—HOAs, condos, co-ops, and mixed-use communities—offer choices, lifestyles, amenities, services, and efficiencies that people value. An estimated 70 million Americans choose to live in 350,000 planned communities, and that number continues to grow. Many community associations offer services and amenities that most Americans can’t afford on their own—swimming pools, tennis courts, playgrounds, lakes and ponds, […]
Do HOA Buyers Know What They’re Getting Into?
Editor
/ Owner - May 1, 2019
Part of the allure of HOA living is that communities are maintained to a specific quality standard, helping maintain property values. It’s in everyone’s best interest for units to sell quickly and for top dollar, but selling an HOA home can be tricky if prospective buyers’ agents present questions you’re not ready for. Read the […]
HOA Initiation Fees: Everything You Need to Know (TX)
Editor
/ Owner - April 25, 2019
An HOA initiation fee, also known as a buy-in fee or a contribution to working capital, is a set amount charged upon the transfer of a property within an HOA community from one owner to another. The initiation fee is paid at the time of closing, and the initiation fee and the owner’s obligation to […]
5 Things to Expect When You Purchase a Home in an Association
Editor
/ Owner - April 16, 2019
Purchasing a house, condominium, or townhome is a significant financial decision. Location, design, and amenities are all important factors to consider before making a commitment, especially if the property is part of a community association. Read the article……………………………
How to Obtain the Release of an HOA Lien
Editor
/ Owner - April 1, 2019
HOA liens are powerful tools used to enforce assessment obligations. Every homeowner should know and understand their state’s laws regarding HOA liens and foreclosure, as they can vary from state-to-state. Read the article…………………….
Estoppel Certificates – A Requirement of Condominiums, Cooperatives, and Homeowner Associations (FL)
Editor
/ Owner - March 29, 2019
Some associations are not complying with the new laws on Estoppel Certificates which is required of condominiums, cooperatives, and homeowners associations. Prior to July 1, 2017, the association only had to provide the prospective purchaser with information about the monies owed to the association attributable to the unit being purchased. Now, the association must provide […]
Meth lab at GR condos sparks question: Is disclosure required? (MI)
Editor
/ Owner - March 23, 2019
Methamphetamine lab explosions usually harken images of rural shacks and rundown mobile home parks. But on Saturday, the scene of the crime was a high-end condominium development in the heart of Grand Rapids’ West Side. Union Square Condominiums on Broadway Avenue is a hot spot to live for upwardly mobile young professionals. But on Saturday […]
How new condo owner can get redress for seller and association’s failure to disclose problem in unit
Editor
/ Owner - March 22, 2019
Q: Our condo in Chicago has no cold (or potable) water in the kitchen. The condo fee covers water. From my conversations with the condo’s management company, fixing the problem entails replacing a major valve in this large building and is a major undertaking. They give no estimate about when the work might be done, […]
18 things to know before you buy a home governed by an HOA (SC)
Editor
/ Owner - March 17, 2019
Covenants, by-laws and community regulations vary widely among homeowners associations, and it’s wise to carefully study the rules if you’re thinking of buying into a community governed by an HOA. For example, a Simpsonville man has been in a protracted dispute with his homeowners association about infractions to neighborhood covenants. He has come out on […]
What an HOA “Transfer Fee” Is—And What It Is Not (NC)
Editor
/ Owner - February 2, 2019
The term “transfer fee” is used in North Carolina incorrectly all the time. Misuse is common even among professionals. Recently I’ve heard both real estate brokers and real estate attorneys refer to items as “transfer fees” that were not. Since there is a statute that regulates and can even prohibit improper transfer fees, it’s important […]
Community Associations – What Realtors and Home Buyers Need to Know (NJ)
Editor
/ Owner - January 21, 2019
Residential community associations are multi-family, attached or detached: Individually owned residences, or residences for which one acquires an exclusive right to occupy (in the form of a long term lease in the case of a cooperative), or a time-limited ownership (in the case of a time-share) with an undivided fractional interest in the whole of […]
FHA Condo Financing: Still a Positive for Potential Buyers
Editor
/ Owner - January 15, 2019
FHA condominium approvals (in their current form) emerged in the months following the housing crisis of 2008. It’s hard to believe that took place over 10 years ago, but because of the most challenging housing crisis since the great depression, the process for which condominium associations get approved for FHA changed significantly and lead to […]
Can You Refuse to Join an HOA?
Editor
/ Owner - January 10, 2019
Chances are, if you build a new home or purchase a house that was built within the last decade or so, you will live in a community that is run by a homeowners’ association. A homeowners’ association fulfills several functions within the community, including maintaining a certain aesthetic pertaining to neighborhood architectural and landscaping standards, […]
Are you cut out to live in a gated community?
Editor
/ Owner - January 3, 2019
Years ago, you’d visit your grandparents in a gated community and think, “I’d never want to live here.” Now that you’re nearing (or past) retirement, you think, “I may move to a gated community.” That’s the cycle of life. Read the article…………………
Lagoon blues: Homeowners say promise of paradise broken (TX)
Editor
/ Owner - December 15, 2018
Hayley Arceneaux and her husband discovered a rare turquoise lagoon lined with white sand and palm trees in a suburb just 20 miles from downtown Houston. They believed it would be a private refuge for their young family of five, shared only with other residents of a new development called Balmoral off the North Sam […]
Here’s how Homeowners Associations get their considerable, sometimes subjective, control over residents (NC)
Editor
/ Owner - December 10, 2018
Realtors use their absence as a selling point. Bad ones are often described as “rogue.” They can put a lien on your property, demand fees, and issues fines with little notice. No, it’s not the feds, it’s a homeowners association. They’re seemingly everywhere, and wield a lot of power. But where does that power come […]
Am I liable for association debt accrued by previous owners? (FL)
Editor
/ Owner - December 2, 2018
Q: After I purchased my home, the association sent me an invoice for $10,000 claiming that I was responsible for the delinquency accrued by the former owners. Do I owe the money? Read the Q&A………………..
Condominium Unit Buyer’s Check List – Due Diligence Needed Prior to Purchasing in a Condominium Association (IL)
Editor
/ Owner - November 30, 2018
During my tenure in the community association industry, I have touched in one way or another probably over 6,000 director and officer (“D&O”) Liability claims. I have sat back and thought at length what, if any, commonality there is between and amongst these claims. I have come to these conclusions and I presume that there […]
Your Guide to HOAs
Editor
/ Owner - November 28, 2018
When searching for your next home, the neighborhood or community you choose matters when it comes things like affordability and its proximity to work and the right schools for your kids. If the neighborhood you like best is governed by a homeowners association, you’ll have a few more factors to consider, from the additional monthly […]
HOA Resale Certificates – What to Know
Editor
/ Owner - November 15, 2018
A resale certificate and copy of a community’s governing documents are part of the package of paperwork that is exchanged during the process of buying or selling a home. The resale certificate provides transparency about the community and the seller’s financial obligations to the association. Read the article……………..
HOA vs. POA: What’s the Difference?
Editor
/ Owner - November 5, 2018
A Homeowner Association and a Property Owners’ Association sound similar, and they can be, but they can also function very differently depending on the situation. This article will outline the main differences between an HOA and a POA. Read the article…………..
Check HOA Rules When Looking to Buy a Pet-Friendly Condo
Editor
/ Owner - November 2, 2018
If you’re an animal lover choosing a house, be attentive to what rules might restrict what pets you can have, where they can go within the community, and how they (and thus you) are expected to behave. Read the article………………
3 Tips for Reviewing Homeowners’ Association Disclosure Documents
Editor
/ Owner - November 1, 2018
Whether you are buying a new Condo or moving into a Homeowners’ Association, you must review the disclosure documents provided. Most people see the hundreds of pages of documents handed over, roll their eyes, and move on. But you’re not most people! You’re a winner who wants to be an engaged and involved owner. Or […]
HOA Transfer Fees: What You Need to Know
Editor
/ Owner - October 19, 2018
When buying or selling a home, it is expected that all sorts of fees will pop up at closing. However, the HOA transfer fee is one that sometimes takes people by surprise. This is a one-time fee that occurs when a property is transferred from one owner to another. The HOA transfer fee is mandated […]
New to the Community? Take These Steps to Get Acclimated
Editor
/ Owner - September 27, 2018
You’ve finally made the jump and moved into an HOA. From increased home values to a general sense of community, living in an HOA has proven to be a very positive experience for many homeowners. The adjustment can be intimidating, but being the new kid on the block doesn’t have to be so bad. If […]
Condos Continue to Cause Reverse Mortgage Headaches
Editor
/ Owner - September 24, 2018
The Federal Housing Administration approval process for condominiums continues to be a headache for loan originators who have prospective clients interested in Home Equity Conversion Mortgages. Currently, an entire condominium community must be approved by the FHA for a resident to open a HECM. But many originators said they are met with resistance from condo […]
HOA Living Tips
Editor
/ Owner - September 7, 2018
If you own a single family home, it’s likely that you’re also part of a homeowner’s association. In fact, over 20% of the U.S. population lives in private communities governed by an HOA. While many people tend to association homeowner’s associations with just fees and rules, there are actually a lot of great things about […]
5 Tips for Creating a HOA Welcome Packet
Editor
/ Owner - August 29, 2018
Developing HOA welcome packets for new homeowners is a positive, pro-active approach for association boards and management teams. Moving to a new home is an incredibly stressful time. Many homeowners feel overwhelmed by the amount of community information, such as fees, schedules, rules, and regulations. A welcome packet containing this information and more is a […]
HOA rules: Check your CC&Rs early to avoid buyer’s remorse
Editor
/ Owner - July 9, 2018
If you fall in love with a home in a homeowners association (HOA), check the HOA rules as soon as you can. There may be deal-breaking provisions in that document. For instance: Many associations ban outdoor smoking They may also tell you what kind of plants you’re allowed to have in your yard It is […]
HOAs: How Homeowner Associations Work
Editor
/ Owner - June 7, 2018
HOAs, or homeowner associations, can be an unexpected factor when considering the affordability of a home. They’re formed to enforce architectural guidelines, maintain common areas and amenities, and prohibit or authorize particular activities, uses and improvements of certain residential developments. The fees — and authority — of an HOA can be significant. Read the […]
Three Realities of Community Associations
Editor
/ Owner - May 29, 2018
All community associations have three things in common: Membership is mandatory. Buying a home in a community association automatically makes you an association member—by law. Governing documents are binding. Association governing documents can be compared to contracts. They specify the owners’ obligations like following the rules and paying assessments and the association’s obligations, including maintaining […]
How to Avoid “Gotcha!” HOA Scenarios
Editor
/ Owner - May 10, 2018
Most people have a love-hate relationship with their homeowners’ association, or HOA. There are definitely benefits to having one, but there can be some big negatives as well. It’s key to know how to make your HOA work for you — and when you should avoid buying into a neighborhood that has one. Here are […]
What Is an Estoppel Letter From a Homeowners Association?
Editor
/ Owner - May 1, 2018
When you buy or sell a property that has a homeowners association, you need an estoppel letter. It explains to everybody involved what the monthly dues are, what special assessments may be coming and whether the owner’s payments are current. It also explains whether the association will have to approve the new owner. This estoppel […]
Misconceptions about HOA Property Values
Editor
/ Owner - March 23, 2018
Almost every homeowners association in the country feels the highs and lows of the housing market. Drawing on our years of experience consulting and managing HOAs, here are a few common misconceptions about what contributes to the rise and fall of HOA property values. Read the article………….
Pros and Cons of a Homeowners Association Every Buyer Should Consider
Editor
/ Owner - March 15, 2018
Home shoppers weigh a laundry list of factors before purchasing a single-family home or condo. Location, price, size, and style are all taken into consideration. But for some, a home in a community with a homeowners association, or HOA—a board of residents who help ensure that your community looks its best and functions smoothly—could either […]
New Condominium Defect Inspection: An Expert Interview
Editor
/ Owner - February 26, 2018
Buying your property, getting your home loan is only the first part of your home ownership tasks. What happens when home owners collect their keys to their condominiums when it achieves Temporary Occupation Permit (TOP) status? Home owners will conduct new condominium defect inspection before the start of any renovation work. Read the article…………….
Condo boards are asking for more and more of buyers. How much documentation are they allowed to require? (NY)
Editor
/ Owner - February 13, 2018
One of the most attractive aspects of purchasing a condo in New York City has long been the comparative ease of buying relative to co-ops, given that condo buyers are spared the invasive board approval process. “A condo board has a right of first refusal,” real estate lawyer Adam Stone of The Stone Law Firm […]
Condo owner forbidden to rent the unit sues former real estate broker and agent (PA)
Editor
/ Owner - February 8, 2018
In a newly filed lawsuit against his former real estate broker and agent, an owner of a Bethel Park condominium unit says he never would have purchased the property if he had been made aware that he could not rent it out. Harshit Seth of Venetia filed suit on Feb. 5 in the Allegheny County […]
What co-ops, condominiums should consider when reviewing potential buyer’s application (NY)
Editor
/ Owner - February 6, 2018
The last few months, I have had an inordinate amount of inquiries from prospective purchasers of co-ops and condos, as to what the management as well as the co-op boards are looking for in income, credit scores and most important debt/income ratios (all your debts over your income, provides a ratio, that many or most […]
Everything You Need To Know Before Joining An HOA (CA)
Editor
/ Owner - February 5, 2018
We have all heard of homeowners associations (HOA), but I am willing to bet that fewer people actually know about them in the detail they should. How do homeowners associations work? Why do HOAs exist? Better yet, what’s in it for the homeowner? The answers to all these questions, and more, can be gleaned below. […]
Is There a Difference Between a POA, HOA, COA? Understanding Owner Associations
Editor
/ Owner - January 18, 2018
Whether you are a first-time home buyer or looking to move, understanding the difference between a POA, HOA, and COA is important. The first step is to understand how each one is defined: Read the article……………….
Condo owners fight hefty document fees with class-action lawsuits (IL)
Editor
/ Owner - December 3, 2017
Several Chicago and Illinois condominium owners – fed up with being ripped off by management companies charging excessive fees to access legal documents – are fighting back with class-action lawsuits. On November 20, CondoCerts.com Inc., a national web database that sells statutorily mandated certification documents to owners selling condos in Illinois, was hit with a […]
Homeowners Associations: Join Or Pass?
Editor
/ Owner - November 16, 2017
Like many prospective homeowners, I’ve looked at properties that fall under the jurisdiction of a homeowners association (HOA), and I’ve had to carefully analyze whether the value of those HOA services outweighed the costs. HOA fees are hard for many new home buyers to swallow. These fees are incremental costs that typically aren’t planned for […]
Buying in a Shared Ownership Community
Editor
/ Owner - November 13, 2017
Are you looking to purchase in a Shared Ownership Community? A shared ownership community is one where the owners not only have a deed for the property that they own, but share ownership in common areas of their community as either common property or as part of a corporation. Individuals who are considering purchasing in […]