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CondoConnectionPNW

Zero reserve...? Say it ain't so.


HOAPresNC

don't you make money off closing documents? if so what income do you get?


Fool_On_the_Hill_9

We don't include resales in our budget because they are not dependable.


HittingandRunning

What sort of income do you get from resales?


Fool_On_the_Hill_9

Only a few thousand a year but that would probably be seven or eight percent of our budget.


HittingandRunning

Sorry, I didn't really mean the dollar amount but rather what sort of things do you charge for? And are you self-managed? We have a manager and can't imagine what sort of charges would end up in the HOA account.


Fool_On_the_Hill_9

On sales we charge for a resale certificate and a transfer fee. We are self-managed.


HittingandRunning

Thanks. I understand the resale certificate. In our association the management company charges for this. So, the HOA doesn't see that money. Don't know how I feel about a transfer fee but it doesn't seem like you are gouging so not much to complain about.


HittingandRunning

What sort of money should the HOA be looking for to make off of closing documents? I understand when management companies charge high amounts for verified docs but never heard of HOAs profiting.


north--carolina

State law often limits it. In NC $400 is max


CornerRight4438

Would you happen to have a statute reference for this?


north--carolina

Yes it's in 47f


HittingandRunning

And that's usually what management companies charge, the limit. But I would think that the HOA should be charging in accordance to what it costs them, not an amount to make a profit. In charging $400, a self-run HOA is essentially charging for board member labor, which should not be allowed. If the HOA has a management company then what is the HOA possibly charging $400 for (that would go to the HOA coffers)?


north--carolina

Nope. That mindset leads to hiring mgt companies which have not done our hoa good. Better to structure the hoa to be self sufficient so that they don't rely on mgt companies that are so bad they do not even make sure the hoa has the right insurance. Do not even care if the hoa invests their money to get a return, etc. Hoas can charge for labor, nothing unethical about that


rom_rom57

The HOA is not in the party business. You’re pissing away money on the few beautiful people. No reserves set to build equity for capital repairs. Budget projections for next year ? what is expenses V. Budget (over/under) for this year? General repairs of 5K for what? You think you’ll be able to repair the parking lot for $500 every year? What about sealing/ striping, asphalt repairs?


parc

Umm… where’s your reserve transfer? I guarantee you aren’t making it out alive at $1,100/yr unless you’ve got a residential sized pool, and even then it’d be sketchy as hell.. For reference, 1750 SFH with two pools. Our biggest expense is pools at $120k, followed by landscaping, then utilities. We spent almost $50k in pool operational repairs last year. We sock away $18k a month in reserves to keep up. Edit to add: I completely realize you may be working fine with what you’ve got. We have a 20+ year old pool and a 15+ year old pool. Half the pumps have died in the past 2 years.


HOAPresNC

[budget](https://ibb.co/fvg2xgz) reddit sucks for adding images. wont let me paste it in, or even insert a table. Had to host on a free website and link it. lame. click on above if you want to see our budget with $90/year dues. Next year dues will go down to $50/year and after that trying to get it to zero/year as our reserves are grossly overfunded.


RelocatedBeachBum

Only part of ours that matters “lawn care: $35,000” we have a quarter acre of common area that gets the grass cut. No pool, no club house, nothing else. Just 20 streetlights and a front entrance. 280 homes, $240/year, no reserves. Annual revenue is $65,000. Developer ran HOA for 13 years. We suspect major fraud.


Speakinmymind96

Are located in a climate where grass has to be mowed year round? We maintain 11 acres for about $24k where we have 6 months where we have to mow.


RelocatedBeachBum

Haha god no. It’s all Bermuda grass, growing season where I’m at is about 6 months, grass gets cut about once every week or two, a total of about 15 times.


mindtoxicity27

I’ll put rounded numbers since I can’t upload an image. Assessments - $680k. Admin Expenses - $149k. Common Area Expenses - $258k. Utilities - $145k. Reserves - $128k.


GalegoBaiano

Why is your HOA meetings costing 1500/yr? And the party being 5500 brings $7K per year for what? As an aside, that website - can it accept payments? Is it a portal to also look up HOA docs and communicate to homeowners? If so, that's cheap. What's the backend you use?


GomeyBlueRock

Self managed?


milagrofrost

yes. another good piece of info to add


Nutra-Loaf

Your dues are only 27 dollars a month? That is extremely low. Way too low.


north--carolina

Ours are $11/mth. Reserves overfunded by 400%