HOA "Injustice"

There are many articles floating around on the internet that speak of the “injustices” that occur within homeowner associations.  Many homeowners feel that they do not have to answer to the association’s governing board, viewing the board as a group of bullies that trample on the rights of homeowners.  However, these homeowners forget that by living in a HOA community, they are agreeing to abide by the governing documents that apply to everyone living within the community.  These bylaws and governing documents try to serve the greater good that would benefit everyone in the most optimal way.  That does not mean that the board of directors will always make the right decision; they are also human beings and make mistakes.  It is not easy for anyone to exercise judgment over their neighbors. 

Homeowners may not always have their way in inevitable issues that turn up in HOA communities, but when the decisions they make about their property affect the home values or other costs of those who follow all the rules, who is really the victim?  A lawsuit between a homeowner and an association where the homeowner wins will likely result in an increased cost for everyone in the community as the association tries to pay for attorney fees.  When one person wins and everyone else in the community loses, is that really justice?

To read more about this topic, click on the following link:

http://constructionlawva.com/big-bad-hoa-not-actually-so-big-definitely-not-so-bad/

HOA Couple Files Lawsuit

One of the biggest concerns for property management companies is keeping up with delinquent payments from homeowners who live within the associations they manage. However, despite the pressure to obtain payments, ethical practices should always be followed. A young couple who are homeowners in an Arizona HOA recently filed a class action lawsuit against their property management company, alleging that they had been charged illegal fees in addition to the amount they owed to their HOA.

To read more about this topic, click on the following link:

http://www.azfamily.com/news/consumer/Class-action-lawsuit-filed-against-some-Arizona-HOAs-179719631.html

Community Woes

Residents who live in an HOA really have a high stake in the effectiveness of both their governing board and their property management company. If either one does not perform their job properly then it is the homeowners that reap the consequences. In the link below, a homeowner living in an HOA sends a letter asking what is the proper way to remove an ineffective president from their governing board. The president here arrived to a board meeting drunk and belligerent, which is no way to represent a community. The response to that letter (also included in the link below) states that a board member position should be one of little power where the board devotes their time and actions in service of the community they represent.


A second letter is included that asks about the proper conduct of a property management company. This letter and the response discusses how property managers should always act professionally by not discussing community related business in a public restaurant or excluding other members of the board in favor of one member. The writer of the response to this letter stated that property management companies lose their “objectivity,” in cases such as that.

To view both letters and their responses, click here: http://www.pe.com/local-news/local-news-headlines/20120910-hoa-homefront-presidential-problems-and-communication-with-management.ece.

Board President Steals $500,000 from HOA

The president of a Florida Homeowners Association is charged with stealing more than $500,000 from the community he was supposed to serve. While David Meadows claims that the charges are beyond his comprehension(see source below), his actions during the past four years leave a lot of questions. Money intended for the HOA community Meadows' administered went, instead, to a number of other places, ranging from Meadows’ own mortgage to businesses he used to run. And if that wasn’t enough, there’s the structure of the board itself. Instead of the traditional officers, the only board members in charge of this community were Meadows and his wife. Allegations show that Meadows did not manage this HOA, he ruled it. Due to his ownership of multiple units in the community, he controlled the votes performed. The property management company performing services to the association also belonged to Meadows. Many community owners also complained about receiving outrageous fines from the association ranging from possessing satellite dishes to having bent screens on their homes. These violations would cause Meadows to charge these homeowners $100 a day. Meadows allegedly used these fees to pay back money he owed through the companies he managed. The homeowners in this HOA can only hope that justice will be served.

Click here to view the source used in this post: http://www.newschief.com/article/20120912/NEWS/209125007/1021/NEWS01?p=1&tc=pg

Florida HOA Charged with Discrimination

A Florida homeowner’s association was recently charged with discrimination concerning one of its residents. Townhomes of King’s Lake HOA Inc. in Gibsonton has been charged with violating the fair housing act by trying to evict a family for having too many kids living in the household. Six, to be exact. The charges against the HOA and its former property management company, Vanguard Management Group Inc., were filed by the U.S. Department of Housing and Urban Development (HUD).

Townhomes of King’s Lake threatened to evict this family unless they reduced the number of people living in the household. Well, that is easier said than done. This is a family with about eight people: six kids, probably two adults. How should a parent feel if they are told that two of their kids can no longer live with them? The HUD determined that policies such as this may prevent families with children from living in their communities with their unlawful discriminating restrictions. They also noted that the town of Gibsonston, where King’s Lake is located, permits up to eleven people to live there. That’s five more people than allowed by King’s Lake.

To view the source used in this post, click here: http://www.mortgageorb.com/e107_plugins/content/content.php?content.12324