Owner Occupancy Agreement`

I am checking to see if anyone ever encountered what my development enforced as new owners. At the time I bought my condo, I had to sign an agreement, at closing, regarding owner occupancy. The agreement is with the city and states for the first 10 years of residency the property will be owner occupied. Meaning the property can be sold to a new individual(s) within the first 10 years but no renting would be permited in this period of time. Pretty Simple. It was filed with the city.

the HOA declarations state that at no time may a resident rent out the property unless they meet certain requirments, ie, job took resident out of the area, military, etc.. this is for a period of 2 years and no more.

I signed the document with the understanding that after 10 years renting would be allowed.

The city sponsored and subsidized the development as it was put in a very so so neighborhood and knowing the city didn't want to have the area fall back into decay, the document makes sense.

Which document in enforceable? Does the city agreement supercede the associations?

Many residents had to sign the document to move in, but as time as gone by and foreclusure have dropped the values by over half, in order to keep quality residents, we as a board are trying to determine if we need to make an amendment to allow for renting or if the city's agreement is enough.

Also, we have been told to make an amendment can cost up to $7500, does this even sound right?

Rob

Also Rob … keep in mind while this is the hierarchy there will be times when potentially the state statute or others will say “unless otherwise noted in the Declaration” or other similar language. In these instances the HOA governing documents would control above potential other statute.