[quote=ccutequeen]Thanks everyone for the advise and comment!
The bank just came back and willing to pay $2500 towarding closing cost without reducing the price, which for me is $2500 less cash to pay so end up to be same thing. I was just about to accept the bank’s new offer…its a miracle B of A even considered to do this..and then I got the HOA document.
The HOA document provide another surprise..or is it…that base on last year’s reserve fund study/analysis done by professional reserve fund study company (forgive me if I am using wrong words, not sure what they called), the HOA is currently 24% funded. Is that really low?[/quote]
I don’t know what you mean.
If the answer is “We have in reserve, 24% of the expected costs over the next 5 years”, then it’s fine.
If the answer is “We have in reserve, 24% of the expected costs for the coming year,” that can be an issue
if the answer is “We will have in reserve, 24% of the expected costs for the year by the end of the year”, then it’s just awful.
I’d call a real estate lawyer, show them the report, ask them.
Reserves are a huge problem for Condos if the reserves are poor, you can get a 2K assessment when the sewer pipes start leaking.
