By Barbara Lehrer
Real Talk
Barbara Lehrer
Each condominium association has its own documents – the rules and regulations that pertain to each owner in the complex. A homeowner can basically consider his ownership inside the walls of the condominium. For instance, the homeowner’s insurance included in the condo fee covers if anyone gets injured in the common hallway, driveway, parking lot and laundry area, if there is one.
When you purchase a unit in a development, it is the law that you have a right to review these condo docs and assess if they are comfortable for you. You will sign off on the receipt of this booklet of rules and regulations. It is up to you and your representatives (realtor and attorney) to assist you as you read through and interpret the rules. Your cost to own the property each month includes the principle, interest, taxes and condo fee. The condo fee includes, on average, the maintenance, snow, garage removal, lawn and exterior insurance. Usually each owner contracts with an additional insurance policy to cover their belongings and safety inside the unit.
The association rules reflect subjects such as preventing you from renting your unit and eliminating the unit as investment property. Perhaps there are no motorcycles allowed, or no pets. Animals can have limitations on size and number. Age restricted units do not allow buyers to purchase if they do not meet the age requirement, and may have a rule on long-term guests.
Protecting the buyers begins when you write an offer. The lender is always concerned about the percentage of renters to owner-occupied units. In this manner they are making sure that the development is stable. They will present a questionnaire to the association asking about their budget and perhaps any multi use affiliations, such as commercially rented or sold units.
Rules change over time for many reasons. The condo board, an appointed group, identifies any issues that need repair, for instance. Perhaps flood insurance add-ons or changes could be on the table. This group meets in a timely manner to review estimates and work in the best interest of the complex. Many new owners attend meetings and stay abreast of the agenda following each meeting. In other words, you have a stake in your home and you can share your concerns.
For example, a pool has many rules, and pets are commonly on the agenda. If you are in a huge subdivision, then concerns about dog walking and safety or maintenance issues at the pool are ongoing. Most places post their rules. Loud neighbors, common hall upkeep and parking issues can all be complained about once in a while, too.
Of course, your individual condominium documents should be updated and delivered to you whenever anything changes.
Always read the docs and enjoy the living quarters where families share respect and friendships in an enjoyable community.
If you need more information on these issues, email Barbara.Lehrer@cbmoves.com.