condo fee

[lxgdale]

What is the name of your state? MA
a year ago my son bought a condo with condo fee 250$. Now the condo fee is increasing by 150$ a month for the next 18 month. Condo managment explains it by making reserve for roof changing.
1. Is it legal to increase fee for that big percent?
2. What my son has to do if he unable to increase a payment?

[nextwife]

When buying a condo, and important step is the review the condo association minutes, budget and long term repair reserves and repair/maintenance schedule. In other words, if a roof or gutters need replacing, will everyone get socked, or have they been providing for the eventual replacement by allocating an amount monthly into a reserve for replacement? Is the reserve sufficient?

When buying a condo, the quality of the owner's association is just as important as the unit itself. If they need a roof, they need to pay for it. If the reserve is not there, the HO Association does need to assess to cover it. Otherwise the structure will be further devalued because of leakage and water damage. Yes, he's obligated to pay whatever the association assesses, presuming the assessment was established in accordance with the condo by-laws. If not (% of owners who voted, notice of meeting, etc.) he can challenge on that basis. But it will likely need to happen eventually.

[nextwife]

"2. What my son has to do if he unable to increase a payment?"

Seriously? Consider finding a roomate. I did that for a while with my 2 br, 2 bath condo. Roomate was an engaged elementary teacher who would be getting married in 10 months. Worked out great. Run a credit and previous landlord check first and get references.

[lxgdale]

Thank you for advice, but my son is married and has a kid. They do not have extra room. Regarding increasing payment by 150$ a month, it does not seem to my son such a small amount of money, as may be it seems to you. So, it is pretty seriouse question for them. Actually $1800 a year - it is a vacation for two.

[nextwife]

And where did I say it was a small amount? I said it will likely be necessary to pay it. Else he may find a lien from the association slapped gainst his place.

You also did not say that your son AND his wife bought a condo. If she is not working, she may need to do so to help cover this temporarily. It's not going to go away.

As to the legality of the assessment, he will need to review his condo docs and see whether he believes it was levied in accordance with the bylaws and condo rules.

[lxgdale]

Originally posted by nextwife
And where did I say it was a small amount? I said it will likely be necessary to pay it. Else he may find a lien from the association slapped gainst his place.

You also did not say that your son AND his wife bought a condo. If she is not working, she may need to do so to help cover this temporarily. It's not going to go away.

As to the legality of the assessment, he will need to review his condo docs and see whether he believes it was levied in accordance with the bylaws and condo rules.

The only thing I had to find out, it is, if my son must to pay anyway. You answered my question. Thank you.
How to get money - it is another question and everybody solves this problem different way. Thanks again.

[nextwife]

" What my son has to do if he unable to increase a payment?"

Sorry for having attempted to address this question you also posed.

Many times these emergancy repair escrows are short term. He may wish to find out how long they anticipate the extra fee will be collected.

[lxgdale]

It is 18 month term.

[nextwife]

If so, it sounds like they likely had almost NO reserve on the books before to cover a major repair item such as this.

[lxgdale]

I am going to have my son to check all condo document.
Earlier, he mentioned, that it is a very good managment condo and, that they have a good reserve.

Thank you for help.

[nextwife]

There are some associations that are reticent to touch reserves. If there is plenty of reserve, he should see if he may be able to challenge the assessment, or at least the durartion of it.. In my mom's condo, a number of unit owners successfully challenged an assessment. There had been no notice of the meeting and it had been agreed in a closed door session. The assessment process had not been in compliance.

[HomeGuru]

[quote]Originally posted by lxgdale
[b]I am going to have my son to check all condo document.
Earlier, he mentioned, that it is a very good managment condo and, that they have a good reserve.

Thank you for help.

**A: if the HOA is assesing each owner for reserve money to fix the roof, then the HOA does not have enough money in their reserve account period.