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ChuckB (South Carolina)
Posts: 3
Posted:
Our HOA has some 170 lots, of which 50 have been developed, and does not have city water or sewer. Many lots are being held for investment purposes. While some owners bought from the original land developer, many have been purchased as a resale from the first purchaser. Recently some lot owners have found that their lots do not "perk" (test positively) for county septic system approval. They may well have purchased the lots without having first made sure that the lot perked. A few of these lot owners are therefore trying to take a position that they should not have to pay annual HOA dues, since they feel their lot can't be developed. Our Board has taken a position that it will not waiver dues in such situations and is telling such owners they may be able to pursue engineered septic systems (more expensive and complex). At least one owner, however, claims their lot can't be approved even for an engineered septic system. Has any other HOA had experience with or insight into such situations. Chuck B.
hoatalk (California)
Posts: 603
Posted:
Getting a perk test is part of the standard due diligence of buying a lot without city/county sewer service. These owners are effectively asking their neighbors to pay for their mistake by covering their part of the dues. That is not fair to the other owners.

Membership in the HOA and paying dues is part of a legal contract. We can't excuse ourselves from binding legal agreements because we make a mistake and we certainly can't ask others not involved in our mistake (e.g. the neighbors) to pay for it. I don't see why the Board would give these members a waiver.

Let's assume you give them a waiver and 5 years from now the county runs sewer lines to your community. Now those lots are worth many times the value because they can be developed. Will those non-paying members then pay all back dues with interest because they actually benefited from the HOA after all (e.g. the community is still nice enough to build new homes in because of HOA rules)?

Just my 2 cents....

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LindaC3 (Florida)
Posts: 526
Posted:
ChuckB--- Just curious as to what State do you reside in ? Being in the business and married to a plumber there is usually always a way to provide sanitation service to property...Here in Florida we have many lots that do not "perk" so we design a septic system above the water table and use an afluent pump to "lift" the sewage to the drainfield....Depending on where you live there may be an Environmental Engineer or a Civil Engineer that may be able to design such a system... I also agree whole heartedly with the reply posted by HOA Talk.....just because the buyer of the property did not use due diligence and verify the "buildability" of the property does not excuse them from their fair share of HOA dues.Caveat Emptor.....As we always say when purchasing anything......LindaC
BrianB (California)
Posts: 2,820
Posted:
yup, they bought, they pay. buying and then finding out they can't have a cheap septic tank is no different than buying and finding out you can't land an airplane in your yard... the HOA has no part in what beliefs you had when you bought the property, or what you thought you would do with it.
ChuckB (South Carolina)
Posts: 3
Posted:
LindaC: Thanks for reply. We're located in South Carolina. The HOA Board is developing a "policy" statement on this issue, to use in replying to such member inquiries and to put in newsletter. Also, we're trying to be emphathetic and helpful. So have researched with SC some educational reference links to give property owners on alternative engineered systems, the state regs and certified soil testers. As you note, we need to educate such owners that if doesn't perk for regular systems, there may be other alternatives (though more costly and complex). Did have one owner so far, though, who claims property wouldn't even test out for alternative engineered system. ChuckB
RonaldW (South Carolina)
Posts: 901
Posted:
I would say they pay the same as everyone else.

Typically, the assessment is based on owning a lot, not the value of the lot. If you make an exception, a long line will soon form of members wanting other exceptions. My lot is smaller than the others, there's more traffic on my street, my lot doesn't have a view, it's too close (or too far) from the pool, etc.

Ron
SC

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