Ten Questions To Ask The Home Owners Association

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Ten Questions to Ask the Homeowners Association
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Buying a high-rise condo or loft can be the
entryway to a new and exciting lifestyle
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However, one of the most common problems of
condominium living is a dispute with the
homeowners association, and unexpected increases
in fees that can occur.
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You should look into a number of issues before
making the decision to purchase your condominium.
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Here is a list of questions you should ask to
determine how well the association is being run
and how your expenses will be affected as a
resident
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1 What are the covenants, bylaws and
restrictions of the association?
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The condominium homeowners association should
provide you with a current book of rules.
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Read these over carefully to ensure that you
understand the restrictions on renting the unit,
number of residents and other issues that could
come into dispute.
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Ask the association if any changes in the rules
are pending that could affect you.
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2 What percentage of the units is
owner-occupied, and what percentage is
tenant-occupied?
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The number of units that are occupied by owners,
instead of being rented out, can have a
significant effect on the marketability of your
unit, when and if you wish to resell it.
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3 How much money does the association keep in
reserve?
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Associations that keep a sizeable cushion for
unexpected expenses will not need to impose
special assessments frequently. This foresight
will help to keep your expenses lower.
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4 What does the association assessment cover,
and what isnt covered?
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Find out exactly what the period assessments
cover.
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Most assessments cover such services as trash
collection, snow removal, pool maintenance and
upkeep of public areas.
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However, some condominiums may cover additional
services in their fees.
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5 Are the association assessments keeping pace
with inflation?
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Periodic fees can rise significantly in
condominium associations that have not determined
a reasonable budgeting process for the property.
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Ask how frequently fees have been raised and
whether increases are expected in the near future.
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6 Over the past five years, have special
assessments been mandated, and how much did each
owner pay?
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Frequent special assessments are a sign that
the association is not planning realistically for
possible expenses, and could be a sign that you
could be responsible for additional payments in
the near future.
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7 What is the rate of turnover in the building?
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If the building changes residents more frequently
than every 4 to 5 years, it could mean that there
are problems that make it unpleasant to live
there.
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Is there any litigation pending concerning the
building or association?
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Legal problems could mean additional assessments
for residents in the future. Find out if any
litigation is pending and the nature of the
problem.
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9 Does the developer have a good reputation in
the industry?
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Some condominiums have been converted from other
types of property. Find out if the developer has
a good reputation for quality construction and
reliability.
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10 Is the property handled by multiple
associations?
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Larger properties may be covered by multiple
homeowners associations. This situation can lead
to multiple assessments for various expenses.
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If you are looking for a condo to buy in Arizona,
We Know Urban Realty will help you find the
perfect place.
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Their realtors are experts when it comes to urban
living.
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Visit the site to see what's available right now
www.weknowurban.com
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Will Daly, Broker We Know Urban Realty, LLC 834 E
Claremont Street, No 3 Phoenix, AZ 85014 (480)
510-8755