Developer and family are only board members and have set very high HOA fees to their benefit

Started by JohnS100 • 5 replies • 719 views

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JohnS100
Posts: 1

Posted:

We are a small association with just 10 lots. The developer still owns 3 and get's 5 votes. So basically the owners have zero say. No one lives on the properties yet and our fees are crazy high at $3,100 a year. almost all of which goes to some form of 1 mile road, ditch, weeds, snow plow, etc. The developer pays himself for about 80% of the work. The board consists of him, his sister and son who both have no fiscal interests in the properties. He only pays 5% of assessed fees per lot as written in the HOA docs. He amends the HOA from time to time to help close deals on these lots. Latest is adding someone but not charging them the full amount as they are at the front of the road. Doesn't seem right.

Thoughts,

John

DouglasM6
Posts: 721

Posted:

I suggest you go talk to an attorney on this. Something doesn't sound right.

AdamD1
Posts: 179

Posted:

Buyer be ware!

JanetB2
Posts: 4,213

Posted:

First question I would have is what State are you from? States vary with what they allow for developers.

Second would be what is the total number of lots? That then will tell us the breakdown of owners vs developer.

JohnC46
Posts: 14,230

Posted:

John

We nneed specifics. Sounds like you are still under Declarant control. Is yes, they can control things.

TimB4
Posts: 20,986

Posted:

Per the post count, it appears that John has resigned from the forum.

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