Properly funded reserves are a fundamental aspect of financial health for homeowners associations (HOAs) and condominium associations. Reserve funds ensure communities are able to address major capital expenditures without relying on special assessments or deferred maintenance. The concept of “adequate reserves” is often subject to differing interpretations, and many boards struggle to establish a clear, […]
Tariff Talk: Planning Beyond the Price Hikes: How Reserve Studies Can Shield Your Association from Tariff-Driven Cost Surges
With tariffs on imported materials like steel, aluminum, and lumber on the rise, construction and repair costs are rapidly increasing throughout the country. For HOAs, co-ops, and community associations, this antagonizes an ever present challenge: how can you budget effectively when prices are anything but predictable? At Building Reserves, we understand the key lies in […]
BrainyBoard
Brainy Board is a streaming service and educational resource for community association board members. Watch the webinars……………………….
The Rise in Judicial Sale Surplus Cases and the Role of Illinois Condominium and Homeowners Associations
In recent years, there has been a notable increase in foreclosure sales resulting in surplus funds due to rising property values. This trend presents opportunities and challenges for Illinois condominium and homeowners associations (HOAs) seeking to recover unpaid assessments and other charges. Read the article…………………………….
Enforcing HOA Rules in Illinois: Are Unrecorded Regulations Valid?
In community associations, there is often a tension between a property owner’s desire to keep and maintain their lot in the manner that they see fit and the community’s desire, acting through a community association, to preserve a common set of community standards and expectations. In 2019, the Illinois Court of Appeals provided significant guidance […]
After the Honeymoon: What I Wish I’d Known When Buying into a Condominium Association
At first, buying a condo can feel like a dream come true, filled with excitement, pride, and new beginnings. However, much like a marriage, that initial sparkle fades as the realities of shared living set in. The article highlights the importance of staying actively involved in your condo association, especially once the “honeymoon phase” ends. […]
When Boards Go Silent: What to Do When Your Association Becomes ‘Headless’ (IL)
What happens when your condo or HOA board stops functioning—when board members resign, stop responding, or disappear altogether? This situation, sometimes referred to as a “headless association,” can leave communities in limbo—without leadership, financial oversight, or the authority to make essential decisions. The recent article from CooperatorNews sheds light on this increasingly common issue, and […]
Income tax filing requirements for community associations (IL)
It comes as a surprise to some, but condominiums and other forms of community associations are entities that must file income tax returns. Even though community associations are “not-for-profit” corporations in Illinois, income tax filing is required. Here is a brief summary and explanation of the filing requirements relating to the taxation of community associations. […]
Engaging New Condo Owners: Filling Board Vacancies After a Board Member Sells (IL)
When a board member sells their condo, it creates a vacancy that needs to be filled. This transition is a valuable opportunity to engage new owners early and help them understand their role in the community. With the right tools and support your association can streamline the transition and empower new owners to become actively […]
Video Doorbells in Community Associations: Privacy, Policies, and Legal Considerations (IL)
With the rise of smart home technology, video doorbells like Ring and Nest have become a common security feature for homeowners. These devices offer added safety and convenience, allowing residents to monitor visitors and deliveries in real time. However, in community associations where shared spaces and privacy considerations come into play, video doorbells can present […]
Frequently Asked Questions Related to the Accessible Parking Policies for Condominium Associations (IL)
Section 18.12 was recently added to the Illinois Condominium Property Act and was effective as of January 1, 2025. Section 18.12 requires all condominium associations that have parking to adopt a policy to reasonably accommodate a unit owner who is a person with a disability who requires accessible parking. Many boards understandably have questions about […]
Embracing Native Landscaping: A Smart Move for Your Community Association (IL)
As shared in a recent article by Condo Law Watch, Illinois homeowners and community associations now have a unique opportunity to enhance their properties while supporting local wildlife. With the Illinois Homeowners’ Native Landscaping Act in effect, associations are encouraged to adopt native plants that promote biodiversity, reduce maintenance costs, and create more sustainable environments. […]
How to Combine Condominium Units Under the Illinois Condominium Property Act
As property values rise and unit owners look for ways to customize their living space, combining adjacent condominium units has become increasingly popular in Illinois. Whether creating a more prominent primary residence or expanding investment potential, the Illinois Condominium Property Act provides a pathway for combining units. If you’re a unit owner considering this option […]
Navigating Community Association Elections: Six Considerations for Board Members
Elections play a vital role in maintaining a well-governed condominium, homeowner (HOA), and townhome community associations. These elections, which typically involve choosing board members or voting on significant issues, can vary in type from annual board member elections to special elections called to address urgent matters (ex. filing a board vacancy). Understanding the nuances of […]
Supporting Wildlife with Native Landscaping: What the Illinois Homeowners’ Native Landscaping Act Means for Your Community Association (IL)
Spring is finally here! Illinois homeowners are eager to spruce up their yards and now have more freedom to cultivate native plants on their property. In recent years, there has been a push for more sustainable, eco-friendly living which in turn has influenced both private and public sectors. The need for pollen and nectar-rich plants […]
Vendor Contract Essentials: How Community Associations Can Avoid Costly Mistakes
As spring approaches, community association boards are gearing up to tackle long-awaited projects—from landscaping improvements to major repairs. While selecting the right vendor is a critical first step, having a well-structured contract and a strong management strategy can make all the difference in ensuring a smooth process and avoiding costly mistakes. From choosing reliable contractors […]
Building a More Respectful Condo Community (IL)
In today’s diverse condominium communities, fostering a culture of mutual respect and open dialogue is essential for harmonious living. Recognizing this need, the Community Associations Institute (CAI) introduced the Community Association Civility Pledge, a framework designed to promote civility within community associations. Read the article…………………………….
Top 10 Ways Community Associations and Board Members Can Increase Homeowner Resale Values
One of the best ways to increase net worth is to invest in real estate. As a result, it is very important that board members of condo association communities keep in mind the best ways to increase the resale value of the homes within the community association. All too often, board members focus on saving […]
Condo Reserve Study Chicago: Ensuring Long-Term Financial Health
In Chicago’s dynamic real estate market, maintaining the financial health of your condominium association is crucial. One of the most effective ways to ensure long-term stability is through a comprehensive condo reserve study. Here’s why a reserve study is essential and how it can safeguard your property’s future. Read the article…………………………….
Illinois Appellate Court Decision Demonstrates Illinois Condominium Associations Must Follow Strict Legal Procedures for Board Meetings, Voting, and Governance
Illinois condominium boards often overlook minor procedural details—until a lawsuit forces costly reversals. A recent Illinois appellate court case underscores why compliance with governing documents is critical to avoid legal trouble. In Gunnison Commons, LLC v. Alvarez, 2024 IL App (1st) 232176 (2024), an Illinois appellate court reinforced the importance of following condominium declaration requirements […]
Is Your Condo Association Compliant with Illinois’ New Accessible Parking Law?
On January 1, 2025, Section 18.12 of the Illinois Condominium Property Act went into effect. This new section, which applies only to condominium associations, requires all condominium associations that have parking to adopt a policy that addresses how to reasonably accommodate a unit owner who is disabled and requires an accessible parking space to ensure […]
Emotional Support Animals: Balancing Reasonable Accommodations and Access Restrictions (IL)
Navigating the complexities of reviewing and responding to requests for an emotional support animal can be challenging enough but the difficulty in responding to the requests can be further heightened in community associations that prohibit certain animals or prohibit the presence of animals altogether. How can a community association respond to a request for an […]
Budget and Reserve Reminders for Associations
As we close out the books for 2024 and begin audits, it is a good time to take a second look at our budget and financials for 2025. Here are some items that the associations should take a second look at before 2025 gets away from us. Read the article…………………………….
Slip and Fall: Community Associations and Liability Claims
Condominium, homeowner (HOA), and townhome community associations have a responsibility to maintain common areas according to their governing documents. However, accidents can happen. Slip, trip, and fall claims are among the most common liability issues associations face. These claims can lead to costly litigation, increased insurance premiums, and potential financial strain on the community. Read […]
Construction Defect Claims and Insurance Defense: What Community Associations Need to Know
Condominium, homeowner (HOA), and townhome community associations can face construction defect issues that can lead to costly legal disputes. Defects in design, workmanship, or materials can cause significant property damage and safety concerns that can leave associations to navigate repair costs, resident complaints, and potential litigation. Read the article…………………………….
Illinois Court Rules Cumulative Late Fees in Condo Associations Are Unenforceable
Assessments are a community association’s lifeblood, and community associations should ensure that they are timely receiving assessments from owners. Generally, community associations will levy late fees on owners who fail to timely pay their assessments. However, Hidden Grove Condo. Ass’n v. Crooks, 318 Ill. App. 3d 945, 744 N.E.2d 305 (3d Dist. 2001), is an […]
Who Pays for EV Charging Stations in Chicago Condos?
As electric vehicle (EV) adoption grows, more condominium associations in Chicago are grappling with the question of how to handle EV charging stations. The primary concerns are installation costs, ongoing electricity usage, and maintenance. Who bears financial responsibility? At HausFS, we are beginning to encounter this challenge with our clients. Read the article…………………………….
Illinois Court Rules Condominium Declaration and Zoning Ordinance Prohibiting Short-Term Rentals Are Enforceable (IL)
In the past few years, there has been a rise in issues with owners, condominium associations, and short-term renters. The Seventh Circuit’s decision in Mogan v. City of Chicago, 115 F.4th 841 (7th Cir. 2024) has significant implications for condominium associations and their ability to regulate short-term rentals within their communities. The court’s ruling not […]
Understanding Community Association Committees
Condominium, homeowner (HOA), and townhome community associations rely on a volunteer board of directors to oversee the governance and operations of the community. However, managing a community effectively often requires additional support, which is where committees come in. While the structure, authority, and requirements for committees can vary by state laws and individual association governing […]
The Importance of Reading Your Emails and Monitoring Your Association Account
Living in an association comes with shared responsibilities and the necessity of staying informed about association matters. One of the most effective ways to do this is by regularly checking your emails and monitoring your association account. Failing to do so can result in missed deadlines, violations, or unexpected fees. Here’s why paying attention to […]
Fighting the Fight Without Losing Your Mind and Breaking the Bank (IL)
One topic of discussion at the seminar was addressing legal fees incurred by associations as a result of the actions (or inactions) of unit owners. The presentation focused on the financial challenges this presents for community associations when the claims asserted against the association (or its agents) are without merit. We heard stories of unit […]
Illinois Court Orders Condo Owner to Install Carpeting Due to Noise Complaints
A condominium association’s governing documents contain restrictive covenants that can help preserve property values, protect shared resources, and ensure a harmonious living environment. A condominium association should enforce these restrictive covenants uniformly to ensure there is no disparate treatment of unit owners. Board of Directors of Plum Creek Condominium Ass’n v. Oleg Lorman, 2013 IL […]
The Fair Housing Act (FHA): Impact to Community Associations
The Fair Housing Act (FHA), enacted as part of the Civil Rights Act of 1968, prohibits discrimination in housing based on race, color, national origin, religion, sex, familial status, and disability. FHA provisions also impact condominium, homeowner (HOA) and townhome community associations. Read the article…………………………….
Mandatory Parking Policies for Condominium Associations Must be Adopted by April 1, 2025 (IL)
On August 9, 2024, Governor Pritzker signed SB 2740 into law. The Bill creates a new Section 18.12 of the Illinois Condominium Property Act (the “Act”) that went into effect on January 1, 2025. This update to the Act addresses accessible parking for individuals with disabilities within condominium associations. This does not apply to associations […]
Supreme Court Allows Enforcement of Corporate Transparency Act; FinCEN’s Website Says Filing Requirements Still on Pause
On December 3, 2024, a federal court in Texas issued a nationwide preliminary injunction in Texas Top Cop Shop, Inc v Garland, No. 4:24-CV-478, 2024 WL 4953814, at *37 (ED Tex, December 3, 2024), temporarily halting the enforcement of the Corporate Transparency Act. Unfortunately for community associations, the Fifth Circuit delivered a lump of coal […]
Working with Your Community Association’s Professional Team: Management, Insurance Agent, Legal Counsel, and More
Effective collaboration and communication with your professional team is vital for the smooth administration of a condominium, homeowner (HOA), or townhome community association. From day-to-day management to long-term strategic planning, board members must work with a variety of professionals to maintain the community’s property, finances, and legal compliance. Read the article…………………………….
Examining Granville Tower Condominium Association v. Escobar (IL) – A Cautionary Tale on HOA Special Assessments
In 2010, the Granville Tower Condominium Association passed an HOA special assessment of $4 million to be collected from the owners immediately or over the next 13 years. Monthly, each owner paid off their part of the assessment, which was proportional to their ownership. Ana Cruz defaulted on her payments to the special assessment and […]
A 3 Step Process for Collecting Condominium & HOA Assessments in Illinois
Assessment payments are the lifeblood for a community association as these payments are generally the sole source of income for most community associations. The income received from assessment payments is used to fund association operations and provide essential services. A community association that fails to collect monthly assessments from its members could find itself in […]
Your Meeting Minutes Could Sink a Sale! Read These Best Practices for Condo Board Meeting Minutes.
In our work processing sale documentation for clients, Haus Financial Services is finding that buyers and lenders are scrutinizing information more and more. This includes your meeting minutes. Recording meeting minutes is essential for ensuring transparency and providing a clear record but to avoid misunderstandings, minutes should focus on decisions, not discussions. Read the article…………………………….
Higher Insurance Costs and Your HOA: What You Need to Know
Are rising HOA fees about to hit your wallet harder than you expected? Let’s talk about why HOA fees keep going up and what it means for people like you who own a home. It’s likely that you’ve observed an increase in various living expenses lately, with costs such as housing, food, and insurance on […]
How Reserve Funds Protect Your HOA and Boost Property Value
Have you ever wondered what happens when your HOA faces a significant expense it didn’t see coming? Whether it’s a sudden roof repair or a planned road repaving, the answer lies in a little something called reserve funds. These funds keep your community running correctly, protect your property value, and give everyone peace of mind. […]
2025 Illinois Condo and HOA Legal Updates
KSN attorneys Omar Malik and Joshua Weinstein discuss important 2025 legal updates impacting Illinois community associations. Topics include changes to state law, federal law, accessible parking, native landscaping, board member responsibilities, best practices, and more Listen to the podcast…………………………..
765 ILCS 160/1-50: 4 Things Every Illinois Common Interest Community Association Board Needs to Know About Developer Turnover
Developer turnover is a pivotal phase for any Illinois Common Interest Community Association. 765 ILCS 160/1-50 of the Illinois Common Interest Community Association Act (“CICAA”) governs the requirements for transitioning a common interest community association from developer control to homeowner control. Ensuring a smooth transition requires preparation and an understanding of the legal requirements under […]
The Importance of Homeowners in an Association Following The Rules and Regulations
Living in a community offers a unique blend of private homeownership and shared responsibilities. Associations are typically governed by rules and regulations outlined in documents such as the bylaws, covenants, conditions, and restrictions (CC&Rs). These rules are designed to maintain order, protect property values, and ensure a harmonious living environment for all residents. Read […]
Understanding Insurance Defense for Community Associations
Lawsuits against condominium, homeowner (HOA), and townhome community associations can be complex, costly, and time-consuming. For volunteer board members, receiving legal notices can also be an intimidating and stressful experience. Read the article…………………………….
‘Overreaching’ Federal Financial Disclosure Law Blocked by Appeals Court (IL)
New financial disclosure requirements that would sweep in many medical professionals were temporarily put on hold under an order from a panel of the Fifth Circuit Court of Appeals. The Biden administration rule required an estimated 33 million small businesses, including some nonprofit entities, to report personally identifying information about their “beneficial ownership or interest” […]
Legal Updates Impacting Illinois Community Associations in 2025
Illinois condominium, homeowner (HOA) and townhome community associations must navigate an evolving legal landscape. Here are the latest updates and their implications for board members, property mangers, and community leaders in 2025. Read the article…………………………….
New Laws Impacting Illinois Community Associations with Employees
Starting January 1, 2025, several new laws in Illinois will impact employers across the state, including condominium, homeowner (HOA) and townhome community associations that directly employ staff. These association employees may include maintenance workers, cleaning personnel, door staff, and administrative personnel. Read the article…………………………….
How to Resolve the 5 Most Common Violations of Illinois Condo Bylaws
Each condominium association has governing documents which set forth the contractual relationship between the association and the unit owners. One of those governing documents is the condominium bylaws. A condo association’s board of directors is obligated to enforce the declaration and the bylaws to ensure that each member of the condominium association is abiding by […]
Tips to Avoid Common Condominium Board Member Mistakes
Serving on a homeowners association board can be rewarding but comes with significant responsibilities and potential pitfalls. Common mistakes include holding undocumented or improperly noticed meetings, failing to adhere to governing documents, mismanaging association funds, making hasty decisions, and neglecting to seek legal advice when needed. Read the article…………………………….