MaureenM1 (PA)
Posts: 344
Posts: 344
Posted:
Sorry to start a new post on this but I tried to find my old one but didn't want to attach this question to an old post....
Our development is 40 townehomes. Our builder wanted out so sold 12 of his homes that he had been renting to a husband and wife investor for 150,000 lower than than what the current homeowners paid for their homes. He sold all size homes for the same price. The builder also left us with many deficiences and feels he has transitioned the development even though there is no formal documentation (which we are requesting through our attorney)
One LLC owns and rents 7 and the other LLC owns and rents 5 (which is over the 10 percent entity requirement by Fannie Mae and Freddie Mac). Because of this and the percentage of rentals homeowners cannot refinance or sell their homes. Many homeonwers are emailing me (President) asking what the Board is doing about this.
At our annual meeting this was brought up and the investors promised they would restructure their properties when they purchased another propery on a short sale. A few months later they decided not to buy the short sale and informed the Property Manager that they would not be restructuring at this time. My thought, and I cannot prove it is that they are mad because the board voted to install gates in the front entrance of the development (which they were opposed) and after seeking advice from our attorney, the board had full authority to make the decision on the gates without membership approval. Our development is a gated community and the builder/developer left us with gates that were fabricated from ibeams. We had to fight with the township for 2 years to recover 18,000 of the 55,000 it would cost for gates.
I consulted with our attorney and he is asking the board to "negoiate" with investors and to "play nice". The Board is opposed to this.
The last email I received from our attorney is that you are in an "unfortunate situation".
I have 2 questions: 1. Is there NOTHING that can be done? I have read on the posts to contact state representatives, attorney general etc.
2. Our Declaration states that the board can amend declaration without the vote of the membership if it affects mortgages such as Fannie & Freddie. Our attorney has suggested that the Board put in wording that a homeowner must own for 2 years before they can rent. All current homeowners would be grandfathered. He is saying that we could do this without the 67 required vote. It could be challenged in the future or not.
Any advice on question 1 and 2 would be appreciated....
thank you,
Maureen
Our development is 40 townehomes. Our builder wanted out so sold 12 of his homes that he had been renting to a husband and wife investor for 150,000 lower than than what the current homeowners paid for their homes. He sold all size homes for the same price. The builder also left us with many deficiences and feels he has transitioned the development even though there is no formal documentation (which we are requesting through our attorney)
One LLC owns and rents 7 and the other LLC owns and rents 5 (which is over the 10 percent entity requirement by Fannie Mae and Freddie Mac). Because of this and the percentage of rentals homeowners cannot refinance or sell their homes. Many homeonwers are emailing me (President) asking what the Board is doing about this.
At our annual meeting this was brought up and the investors promised they would restructure their properties when they purchased another propery on a short sale. A few months later they decided not to buy the short sale and informed the Property Manager that they would not be restructuring at this time. My thought, and I cannot prove it is that they are mad because the board voted to install gates in the front entrance of the development (which they were opposed) and after seeking advice from our attorney, the board had full authority to make the decision on the gates without membership approval. Our development is a gated community and the builder/developer left us with gates that were fabricated from ibeams. We had to fight with the township for 2 years to recover 18,000 of the 55,000 it would cost for gates.
I consulted with our attorney and he is asking the board to "negoiate" with investors and to "play nice". The Board is opposed to this.
The last email I received from our attorney is that you are in an "unfortunate situation".
I have 2 questions: 1. Is there NOTHING that can be done? I have read on the posts to contact state representatives, attorney general etc.
2. Our Declaration states that the board can amend declaration without the vote of the membership if it affects mortgages such as Fannie & Freddie. Our attorney has suggested that the Board put in wording that a homeowner must own for 2 years before they can rent. All current homeowners would be grandfathered. He is saying that we could do this without the 67 required vote. It could be challenged in the future or not.
Any advice on question 1 and 2 would be appreciated....
thank you,
Maureen