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Subject:  Re: intercst a Homeowner Date:  10/14/2012  8:14 PM
Author:  intercst Number:  45834 of 116911

SeattlePioneer asks,

Did you do any research on the Condo Association, intercst? What percentage of their condos are defaulting on paying dues, what kind of reserves has the condo association accumulated against future repairs, and how old is the development?

Absolutely! I've rescinded offers on five other condos over the past year after reviewing the HOA financial statements and Board Meeting minutes. The Treasurer of one HOA was renting his garage to the HOA for $360/month -- you can almost get an apartment for that.

This place doesn't have all the amenities that I no longer use like a pool and tennis court, so the HOA fees are just $90/month. Their reserves area little low, so I'm expecting a $30 or $40/month increase in dues on Jan 1st, though I'm sure most homeowners will resist it. Development was built in 2001. About 15% of the units are in arrears on dues. Foreclosures are selling quickly, so I expect that to come down over the next year.

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