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Post Reply How much is your HOA fee ?
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Posted 8/15/17 , edited 8/16/17
Where is money going in Chandler HOA community?
https://www.youtube.com/watch?v=SSD4_zWkE84

I thought $46/month is already a rip off for my area.. but $222/month -- This is what you get when you hire some landscape company that will price gouge you for the most basic work!!

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27 / M / Leanbox, Gameindu...
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Posted 8/15/17 , edited 8/16/17
Wow that is pretty high, this is why I will never live in a HOA. Things are bad enough with property taxes why pay another useless fee on top of it, I can cut my own lawn and paint my own house, etc.
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70 / M / Columbia, MO
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Posted 8/15/17 , edited 8/16/17
ditto

Two years ago I asked some painters that were canvassing the neighborhood (cold calling) how much to paint a near new perimeter fence built on a corner lot. Thinking it would run $900 I was taken aback when their quote was $3081. Hell, the replacement fence only cost $2500, wtf? Needless to say they didn't get the job. Their quote for our 1 story house with 10% faux brick frontage was $12K.....again, wtf?

We found someone local who did the fence for $1500: washing first, spraying many gallons of $50/gallon cover over 3 day period. I plan to paint fenceline again this year myself, but only on areas that see 100% direct exposure to sunlight most of the time.

HOA: we looked at 2 old folks' homes last weekend. The higher end 1 wanted $150-$350/mo. HOA (depended upon sq footage of cabin: 900-1700 sq ft) with guaranteed incremental 3-5% annual price hike. Guess we'll die at home when that time comes.....
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29 / M
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Posted 8/15/17 , edited 8/16/17
None thank God.
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Posted 8/15/17 , edited 8/16/17
A $40,000 deficit is a lot and reading further down in the letter, the reason is common. Your letter stated "begin adequately funding the reserve account". Also, the Board has already raised dues a couple times over the years, but it doesn't say how much each time. That clues me in that the Board has been aware of the problem and has been trying to remedy it. I'll give the current board the benefit of doubt and assume they know what they're doing.

A well-managed HOA will have yearly dues increases to cover inflation. That's normal.

When you bought your unit, did you review the financial statements and did you ask for the percent funding of the reserved account. At this buying stage, you should be looking for a percentage close to 100% or a little bit over. That means that in the opinion of an independent auditor and accountant, for whatever future non-regular maintenance is needed (i.e. building painting, repaving driveways, roof replacement, things that don't occur every year), the reserve fund has adequate money to cover all expenses over the period of analysis. In California, the period is 30 years. In other words, there won't be a special assessment or dues to do these things for the next 30 years as long as nothing unexpected happens.

If the percentage is less than 100%, it spells trouble. It means that at some point, an special injection of money is needed to cover these expenses. By California law, when the board approves the yearly budget, the budget is distributed to all owners and an analysis of the reserve fund is done too. You should ask your board about that percentage.

Your board should also be up front about explaining what happened. It could be a series of issues. In my case, we had bad luck with our emergency generators. One literally blew up. Our insurance paid for the replacement, but we had to pay our deductible of $10k. In another generator, rodents ate the wiring and we had to get it repaired. It was below our deductible. Unexpected things happen.

Another scenario: Years ago, the board at that time was short-sighted and never raised dues. They kept covering up shortages in the operating fund with reserve fund money. They thought they were doing everyone a favor, but now, years later, you're paying the price of large increases. This happened to a friend. He didn't check the financial statements when he bought.

I'm in an HOA and I'm on the Board. The Board are all volunteers and the HOA is a non-profit. There's no incentive to raise dues just to do it. They live there too. I'm responding to this because I'm passionate about this subject and I don't like people not explaining everything and just saying that you should've bought a house. Well... to those people, I hope you like doing things yourself. While you're painting your fence, I'm at the ballgame enjoying a Saturday afternoon. I rather pay for the convenience of having more free time to watch anime.

Sorry for rambling.
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Posted 8/16/17 , edited 8/16/17

kevz_210 wrote:

Wow that is pretty high, this is why I will never live in a HOA. Things are bad enough with property taxes why pay another useless fee on top of it, I can cut my own lawn and paint my own house, etc.


Chandler homeowners upset at HOA over fee hike
https://www.youtube.com/watch?v=osGhzlIPFjs

$222/month is cut throat for this area .

It's hard to find a place without HOA fee now a day. I'm sure they charge you a similar fee when you are renting apartments

HOA fee- cost of maintaining the common areas after all
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21 / F / Dirt land
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Posted 8/16/17 , edited 8/16/17

MysticGon wrote:

None thank God.


Same

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26 / F / PA, USA
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Posted 8/16/17 , edited 8/16/17
Honestly, I treat HOA like it's the plague. I understand things like barring 4+' grass, but HOA are notorious for going beyond the pale. Needless to say, I don't deal with it.
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Posted 8/16/17 , edited 8/16/17
The regulations and laws authorizing HOA's are beyond the Pale and should be changed, it is possible in some States for them to force the sale of your home to satisfy fees and penalties. It is to much power in the hands of unelected individuals.
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27 / M
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Posted 8/16/17 , edited 8/16/17
I live in an apartment. Jokes on you guys.
Banned
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101 / O / bendover
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Posted 8/16/17 , edited 8/17/17
$80.00 a month. $222.00 a month holy crap!
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28 / M / livin in debauchery
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Posted 8/16/17 , edited 8/17/17
Let me put it to you this way.


I don't have to drive far down my road to still find people with farmland.
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28 / M / Louisville, KY
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Posted 8/16/17 , edited 8/17/17
HOA are a scam, I will never ever live in an area with an HOA fee. They say to never say never, but I REFUSE to pay some random association money to do nothing. My aunt pays HOA fees and all they do is snow plow their streets. Where I live it didn't even snow last year, but they still had to pay for it. $200 a month. So, $2,400 a year for the right to live in their own house. It's ridiculous. I don't know why people put up with that crap...
Posted 8/16/17 , edited 8/17/17
I don't have to pay an HOA fee.
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27 / M / Leanbox, Gameindu...
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Posted 8/16/17 , edited 8/17/17

dulun18 wrote:


kevz_210 wrote:

Wow that is pretty high, this is why I will never live in a HOA. Things are bad enough with property taxes why pay another useless fee on top of it, I can cut my own lawn and paint my own house, etc.


Chandler homeowners upset at HOA over fee hike
https://www.youtube.com/watch?v=osGhzlIPFjs

$222/month is cut throat for this area .

It's hard to find a place without HOA fee now a day. I'm sure they charge you a similar fee when you are renting apartments

HOA fee- cost of maintaining the common areas after all


Region pending I suppose, they are rare out where I am.
I'm throwing most of my salary in a bank to buy a house outside of a Homeowners Association. Any room I rented I subleased from the main tenant so wouldn't know that either tbh, just cut a check every month and I was done.
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