The Orlando Condo Blog

Question: Are there state statutes that prohibit the board from using reserves to fund an operating account deficit? Answer: State laws vary on this topic. Most are silent altogether. The governing documents may or may not have something to say about it. But it usually comes down to common sense. If the HOA has a [...]

Question: Our board wants to build a larger pool and upgrade the clubhouse and is considering borrowing $200,000 and use our $50,000 reserve fund. While the expansion concept is supported by the members, I question the wisdom of borrowing money and using reserves earmarked for other things to do it. Answer: A homeowner association borrowing [...]

When you purchase a into a homeowner association (HOA), you automatically become a member and obligate yourself to financially support the operation and obey the rules. That said, few buyers take the time to examine the information to make an informed decision. Here are some of the basic “Know Hows”. HOA Fees. As a member [...]

Question: Can the board offer discounts to members that prepay a special assessment rather than participate in a payment plan?  Answer: No discounts should be offered since they would cause a shortfall. It is appropriate, however, to charge late fees to those that don’t pay as agreed.However, it is a bad idea for HOAs to [...]

In real estate sales, sellers are required to disclose any material fact that any prudent buyer would want to know before completing a purchase. Property located over a toxic waste dump would be an obvious example of disclosure and the need for it. There are less catastrophic issues, like roof condition or a leaking crawlspace [...]

Question: Does the board have the right to grant exclusive use of common areas to one or a few members? Several of our owners have requested to expand the size of their decks or patios. Answer: Common elements available to one or several members (instead of all) are referred to as “limited common elements”. This [...]

One of the advantages of a homeowner association is to keep the hood looking good by enforcing architectural and design standards. These appearance standards are designed to protect the HOA members’ property values. The theory is that if all homes follow the same basic theme, the average home buyer will be willing to pay more. [...]

Question: Our board enacted a resolution stating that all new owners must live in their unit for one year before renting. Is this legal or must the bylaws be amended? Answer: The board does not have the authority to enact this kind of resolution since it negates basic property rights. Typically, only an appropriate vote [...]

Question: What approaches have you seen to boards take to inform their members about other members who are in arrears? Our board likes to post names and amounts in arrears as well as put the information in the minutes. Answer: Do not post delinquent member names! And get rid of that stock and pillary! The [...]

Question: Our board enacted a security policy that requires guests to show identification to entry gate guards. Do they have the authority to deny my invited guest onto the property? The board never provided notice that they would be enacting this policy. Answer: Yes, the board has the authority to enact and enforce this policy. [...]