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MarilynC (South Carolina)
Posts: 16
Posted:
We are a community with two HOA groups. Therefore two budgets. The master budget has 251 single family homes and the sub-budget has 24 units. I have been frozen out by the board because I expect fair and honest treatment for all owners. First I have found that the regime fee in 2005 for the master budget was $2,160.00 per year and now for 2011 its $2,700.00 per year. And thats a 25% increase for the 6 years. Now the sub-budget in 2005 was $1,020.00 per year and now for 2011 its $3624.00 per year. That is a 255% increase for the 6 years. YES I have been told they don't know what to do about it but will form a committee to study this. WHAT? So in the meantime I am expected to pay this and nothing I can do? Anyone else stealing from me I can call the police and have them arrested. There are some other issues but this one is the most outrageous. I live in SC and would like some feedback--please. The condo owners do need to pay for the common expenses and this is spelled out in the by-laws. But they also have some big expenses which apply only for their homes. For instance for the pool upkeep I say it should be the total doors (275) when figureing the cost to each homeowner but instead they do the cost twice. Example the pool cost is $1,500.00 they divide by 251 homes and then by 24 for the condos. We are supposed to have college graduates on the board!!! This is a 55 and older community and some of my neighbors just afraid because we do have a few BULLIES which I say--bring it on!!! Thank you all for your suggestions.
BarbaraB10 (California)
Posts: 117
Posted:
Marilyn

What do your bylaws and ccr's say about assessment increases?

MarilynC (South Carolina)
Posts: 16
Posted:
No more than 10% per year unless we have a vote. And for any unexpected expenses we need a vote if its 5% over budgeted amount. We have 2 landscaping companies and are charged for both and the same management company but have to pay them on both budgets also. on master budget management charges $35,900.00 and on sub budget management charges $6,300.00. I have suggested that the management company should charge one fee to the community of $42,200.00 which would mean we all pay the same amount for their services but get nothing.
BarbaraB10 (California)
Posts: 117
Posted:

Marilyn - I'm lost on this one. I am not qualified to provide insightful or beneficial answers.

Perhaps someone with more experience in the budget & financial field will give you the answers you seek.

KcW (Florida)
Posts: 14
Posted:
Hummm, you bought into this community knowing the by-laws, did you think they were fair then? Or just now after they raised the rates?

55-and up communities kill me!!!
MarilynC (South Carolina)
Posts: 16
Posted:
When I bought there was only the master budget and the HOA fee was reasonable. Its when they branched to two boards and having two budgets. I had thought this was an honest mistake. I ran for the board and then they decided to decrease number of board members. And why so much anger--they can simply explain this. Our by-laws also state an audit is to be done every year. When I asked I was told it was none of my business. They have $20,000.00 listed on budget as a bad debt charge which is also none of my business. Its my money. And it makes me think that there is something to hide.
JanetB2 (Colorado)
Posts: 4,219
Posted:
Hi Marilynn:

I just want to clarify some information please. From what I am reading you have a Master Association and one other Sub-HOA under the Master Association, is this correct?

Which one do you belong?

In the one you belong, what do the documents state as the HOA responsiblity to maintain? Or, are your documents available via on-line to view.
GlenL (Ohio)
Posts: 5,491
Posted:
Without knowing exactly how your community is set up, the most obvious answer that comes to mind for the difference in assessments is the difference in maintenance of the two communities. The owners of the single family homes most probably are responsible for the majority of the upkeep of their homes. While the condo owners are responsible to pay for their interior repairs out of pocket and exterior repairs from their assessments. With only 24 to pay the fees are going to be higher, plus the reserve costs will be higher for the condo's.

Studies show that 5 out of 4 people have problems with fractions
MarilynC (South Carolina)
Posts: 16
Posted:
I belong to the sub-budget. Actually I had asked the board about a $52,000.00 charge on their budge for painting and pressure washing their homes. We also pay for this on our budget so it is wrong to charge us on their budget too. Common expenses means "items we share" as a community. The condo residents are not included for this expense so its wrong to charge us for it. I'm not receiving any value for the $2,167.00.
JanetB2 (Colorado)
Posts: 4,219
Posted:
Hi Marilyn:

Again, be sure to thoroughly review both the Sub-HOA and Master HOA documents. These should describe exactly what each area is responsible for with regards to their HOA dues.

Usually the Sub-HOA is responsible for all costs within their area and only contributes towards items in the Master HOA that are deemed “community property” for the benefit of both areas.

Unfortunately without us being able to view these other documents, you will need to do this and provide the needed information for us to assist.

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