TinaS (Ohio)
Posts: 2
Posts: 2
Posted:
There is a homeowner who claims she can't pay her special assessment due to the death of a spouse and financial hardship. Any suggestions on what the board should do?
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Homeowner unable to pay special assessment
Started by TinaS • 7 replies • 2329 views
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JC3
Posts: 290
Posts: 290
Posted:
a homeowner who claims she can't pay her special assessment due to the death of a spouse and financial hardship. Any suggestions on what the board should do?
I think this might actually be true, and may be her situation for a while. Have a conversation with her with the intent of helping you both.
How long ago did the spouse die? Do you know that for a fact? Can she verify that the accounts are not useable at this time, via probate rules? Is she working? It really may be that most or even all of her money is unavailable to her until after probate, and that could take a year or more. It really may be that she is just making food and utilities, her mortgage payments. Maybe she could squeeze a dollar or two to be paying on the dues, and if it were me on the collections end, I'd do what I could to find out her actual situation and cut a lot of leeway. Perhaps with the goal of having a portion of the total amount due (with no interest or fines attached because of the extenuating circumstances) within a months time after the will is finished probate AND the money available to her.
If this really is the case, could the board see fit to waive the dues this time, or if paid monthly, waive the next several payments?
Can you consider this is special circumstances, make this a compassionate gift etc?
I think this might actually be true, and may be her situation for a while. Have a conversation with her with the intent of helping you both.
How long ago did the spouse die? Do you know that for a fact? Can she verify that the accounts are not useable at this time, via probate rules? Is she working? It really may be that most or even all of her money is unavailable to her until after probate, and that could take a year or more. It really may be that she is just making food and utilities, her mortgage payments. Maybe she could squeeze a dollar or two to be paying on the dues, and if it were me on the collections end, I'd do what I could to find out her actual situation and cut a lot of leeway. Perhaps with the goal of having a portion of the total amount due (with no interest or fines attached because of the extenuating circumstances) within a months time after the will is finished probate AND the money available to her.
If this really is the case, could the board see fit to waive the dues this time, or if paid monthly, waive the next several payments?
Can you consider this is special circumstances, make this a compassionate gift etc?
JoeW1 (New York)
Posts: 728
Posts: 728
Posted:
TinaS - what's the amount of the special assessment?
RogerB (Colorado)
Posts: 5,067
Posts: 5,067
Posted:
Posted By TinaS on 03/07/2007 11:51 AM
There is a homeowner who claims she can't pay her special assessment due to the death of a spouse and financial hardship. Any suggestions on what the board should do?
There is a homeowner who claims she can't pay her special assessment due to the death of a spouse and financial hardship. Any suggestions on what the board should do?
Verify her situtation; then work out a payment plan with her that is acceptable to both parties.
JM2 (Oregon)
Posts: 439
Posts: 439
Posted:
Hi Tina:
There are a few options:
1) as above, make arrangements if she's in probate and waiting for money to be released.
2) If she can't pay the full amount, set up a payment plan so that she can pay it off within a reasonable amount of time. You may want to charge interest on it - whatever comparable interest the HOA would be receiving on the money if she paid up, or if there's interest on an HOA loan, the rate the HOA is paying.
3) If she absolutely cannot pay and will not be able to, she may have to sell and move. It sounds harsh, but she may need to face that reality if that's the case - one medical bill could push some people over the edge. It's better for her to choose to sell than to be foreclosed on; both credit-wise as well as psychologically to make the choice herself.
4) If she is getting "older" (perhaps retired) she may want to consider a "reverse mortgage," but that should not be rushed into, as there are typically large fees up-front. It's something that she would want to talk to her children and/or a trusted advisor about before doing.
Ulitmately, if the HOA makes a "Compassionate gift" to her by forgiving the amount of the assessment, it's coming out of everybody else's pocket without their consent. It's just not fair to the other members. If some homeowners wanted to help her individually, that would be their choice.
J. Patrick Moore, CMCA
There are a few options:
1) as above, make arrangements if she's in probate and waiting for money to be released.
2) If she can't pay the full amount, set up a payment plan so that she can pay it off within a reasonable amount of time. You may want to charge interest on it - whatever comparable interest the HOA would be receiving on the money if she paid up, or if there's interest on an HOA loan, the rate the HOA is paying.
3) If she absolutely cannot pay and will not be able to, she may have to sell and move. It sounds harsh, but she may need to face that reality if that's the case - one medical bill could push some people over the edge. It's better for her to choose to sell than to be foreclosed on; both credit-wise as well as psychologically to make the choice herself.
4) If she is getting "older" (perhaps retired) she may want to consider a "reverse mortgage," but that should not be rushed into, as there are typically large fees up-front. It's something that she would want to talk to her children and/or a trusted advisor about before doing.
Ulitmately, if the HOA makes a "Compassionate gift" to her by forgiving the amount of the assessment, it's coming out of everybody else's pocket without their consent. It's just not fair to the other members. If some homeowners wanted to help her individually, that would be their choice.
J. Patrick Moore, CMCA
TinaS (Ohio)
Posts: 2
Posts: 2
Posted:
It is $45.00.
WilliamT (Arizona)
Posts: 489
Posts: 489
Posted:
Posted By TinaS on 03/07/2007 2:55 PM
It is $45.00.
It is $45.00.
I suggest either writing in off, or take up a collection. Also, talk to her to determine her needs because she has lost a husband, and he may have been making all the financial decisions and she may be having a very difficult time adjusting.
If there ia an accountant in the community, ask them to volunteer to assist her family.
If it were me, I would just pay the $45 for her. I believe any one of our board members would do the same.
Always be sensitive and helpful to a community member who has suffered the loss of a spouse. Think of her needs before the money.
JC3
Posts: 290
Posts: 290
Posted:
Posted By JM2 if the HOA makes a "Compassionate gift" to her by forgiving the amount of the assessment, it's coming out of everybody else's pocket without their consent. It's just not fair to the other members. If some homeowners wanted to help her individually, that would be their choice. J. Patrick Moore, CMCA
Our HOA has a small "gift" fund. As was also suggested, I too would make a donation to help out. I think many people would.
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