Recently I saw headlines that Florida is seeing new problems with condominiums sinking. Condominium owners in Washington State should be aware that this is not just a Florida problem but the potential is nationwide. There are two reasons for this: first the increasing risks associated with land subsidence and rising water levels due to climate [...]
We frequently get the question of how much does WUCOIA require an association to put into reserves? The requirement of how much should be put into reserves is not explicitly stated in the Washington State Revised Code (RCW) 64.34, which governs condominiums, HOA's and PUDs. However, the following provisions within RCW 64.34 strongly imply this [...]
I have talked to many board members over the years and I get a sense that they don't believe we will have a condominium collapse here in the Pacific Northwest. In our area we do have conditions similar to Florida. We have buildings from the 50's and 60's that were built on the waterfront. The [...]
For the past 6 years we have seen greater price inflation than the past 40 years. More important for associations the cost of major projects such as paint and roofing have grown 10% to 40% outpacing inflation significantly. Previously many associations were limited in what they could increase dues by their CC&Rs. However since 2018 [...]
Thinking about buying a condo in Washington? While a condo can be a great option, monthly dues can be significant concern. Here is a guide a buyer can use to help evaluate the association and the impact that will have if they become an owner. How to Choose a Financially Stable Condo Community Let's focus [...]
Regular Deck Inspections in Condominiums Condominium living offers a unique blend of comfort and convenience, with shared amenities like decks or balconies creating a sense of community. However, these outdoor spaces also come with inherent risks, particularly when it comes to structural integrity and safety. That's why regular deck / balcony inspections by qualified professionals [...]
The Challenges of Raising Assessments to fund association reserves As a board president in Washington State, you've just discovered that your association needs $200,000 to replace the clubhouse roof due to a leak. Your operating budget has no contingency funds, and your reserve fund, which has not had an increase in many years, has a [...]
We have talked previously about reserve fund balances or percent funded. To help you better manage your HOA reserve fund balances, here’s a list of tips to take into consideration: Adjust the budget when needed. Most boards are afraid to increase dues just to fund reserves. Increasing dues incrementally over time is better than asking [...]
Simply put, a Capital Needs Assessment (CNA) is a road map to understanding the life expectancy and cost of major items needed to maintain a property. Many public funding sources require non-profit organizations to have CNA's to prove they have the funds to maintain the properties they have. Our inspectors focus on providing a detailed [...]
Reserve studies are a crucial part of financial management for community associations. Despite this, some communities are hesitant about performing one. The following outlines five misconceptions about reserve studies. Misconception 1: Reserve studies are too expensive The cost of a reserve study typically ranges from $2,000 to $5000, depending on the age and complexity of [...]
