Another critical thing to look for in the HOA.....special asessments! Be sure to request a copy of the last two years meeting minutes and review carefully. It will give you an idea of ongoing issues, and may alert you to assessments that could come down the road. Read these documents carefully and ask questions!

Wed May 7 2008, 23:59

Thanks for the info Nancy! What is the regulatory agency for HOA"s? I was trying to sell a property but could not get specific HOA info from this complex because I had already asked two questions of them and any more they wanted to charge me for the answers. Literally. Does one have to absolutely wait for an open escrow to find out info about the HOA or can it be obtained pre-escrow? (Not sure if my ? is the correct format here but wanted to stay in the post) Thanks in advance. Cindy Vedder

Wed May 7 2008, 23:54

Do you plan on purchasing a property in the desert, and are you currently working with a Realtor in our area? If not, I would be happy to assist you. If you already have a Realtor, they should be able to assist you with any of your realty-related conserns. I represent quite a few Canadian buyers, and it's a concern many Canadian's have............so you are not alone.

Mon May 5 2008, 14:52

Thanks for this info. I'll be sure to check everything related to the HOA. It's much the same as here it seems, where we own a rental condo.

Mon May 5 2008, 13:50

If the homeowner stops paying the HOA payments and then the property goes into Foreclosure, any monies that is owing the HOA prior to the foreclosure is a loss for the HOA, however, once the bank takes over the property, the bank will pay the HOA fees. Most HOA's have reserve funds in their budgets to allow for things of this nature to happen.

If you are a buyer, it is very important that you not only review the HOA budget, but also their reserve fund. In California, the Escrow company orders this documentation from the HOA management company when Escrow opens, and once you receive ithe HOA docs, you have (5) days to review. If you are dissatisfied, you are able to cancel your escrow at that time.

The normal time to remove all contingencies in California is (17) days after the offer is accepted, however, if you have not received the HOA docs in the 17 day period, you still have (5) days after receiving them to act on this contingency.

I served on the Board of our HOA with 370 properties as Treasurer and President, so I am quite familiar with this situation. I hope this answer has been helpful.

Mon May 5 2008, 12:18

Hi Vicki,

Yes the bank pays the arrears left by the previous owners. That is why it harder to make a deal on condos than SFR because the margin is very slim if you consider that the bank has to pay for back taxes, HOA, electricity and other unpaid utilities. This is my experience here in California.
Laarni

Fri Apr 25 2008, 22:04