Roofs and possible reduction of HOA fee

We are a 110 unit Townhouse Community near Albany, NY. Next year the replacement of roofs on our newest building will be completed. The roof shingles are rated for 40 years. They were all paid for from HOA fees. It occurs to the board that these roofs will have a longer useful life than the original roofs.

My question is if anyone has had this issue and opted to reduce the amount put in the HOA fee for roofs? And if so how was the analysis down. We may have 30 or more years before roofs have to start to be replaced.

Not only that, you are a townhouse community, which means there are other replacements you need to think about, not just the roofs. There's also inflation - something everyone seems to forget about. Even if your shingles last 40 years (let's hope they do!), the costs to replace the roofs at that time will still be a lot more than what you paid today.

It's good that you were able to install roofs that will have a longer life than the last ones. Consider doing the same for other components you'll need to replace - it may not change the amount of money you have to put in reserves, but can reduce maintenance costs, so you still get a lot more bang for your buck.

How long did the roofs last before they needed to be replaced?

Even if *all* of your other future replacement needs are fully funded per a reserve study, it would still be unwise to reduce dues. At best, you may be able to postpone increasing them in the future or increase them by a smaller amount.

A professionally completed Reserve Study will dictate how much needs to go to Reserves and whether the assessment should be changed. You will need at least one, and preferably two, board members who are competent at understanding spreadsheets and long-term infrastructure financing. Does your Declaration require a Reserve Study every several years or so? If it does not, have one done anyway.

You don't go by the "30 year roof shingle" as it's going to be good for 30 years. It's also true of the "20 year" paint you may buy. Granite a 20 year paint is more likely going to last longer than a cheaper 5 - 10 year paint it's also not guaranteed the 20. It's a manufacture suggested time line. Many things factor in like weather, exposure, application, and other use factors.

So I wouldn't change anything in the budget. There is still a hail/storm risk. You don't know for sure how long a "30 year" roof is really going to last. My roof was replaced in 2011. It's already starting to show some age and had a few tree limbs go through it. It's rated 20 years atleast. May have a few more years before needs replaced again.

Speaking from experience in my HOA, they will try as hard as they can not to. We had to take ours to court over it.

Moreover, weather-related insurance claims may look quite different in 10 or 20 years as the increased number and dollar value of claims takes their toll on the industry. I wouldn't count on coverage that is available today being available to the same extent in the future. It's important to have a Plan B.