Condo buyers beware

[condogrrl]

Read this before you buy. San Diego is mentioned toward the end of the article.

http://www.nytimes.com/2008/05/15/business/15condo.html?pagewanted=1&ref=todayspaper

[Ex-SD]

And we’re going to see a lot more of this over the next three to four years (and beyond). You couldn’t give me a condo.

[Ex-SD]

And we’re going to see a lot more of this over the next three to four years (and beyond). You couldn’t give me a condo.

[Ex-SD]

And we’re going to see a lot more of this over the next three to four years (and beyond). You couldn’t give me a condo.

[Ex-SD]

And we’re going to see a lot more of this over the next three to four years (and beyond). You couldn’t give me a condo.

[Ex-SD]

And we’re going to see a lot more of this over the next three to four years (and beyond). You couldn’t give me a condo.

[LAAFTERHOURS]

4s Renter

Since this article only speaks to condo’s with HOAs, I assume the same could be said for SFR with HOAs. Take most of the newer homes in SD County that have HOAs. Could the same scenario occur if a 3rd of the homes fall into foreclosure in a tract of homes or subdev in that the other owners will incur the costs as part of an adjustment up in HOAs?

Thats something to consider and or get in writing from the HOAs when buying if thats the case.

[LAAFTERHOURS]

4s Renter

Since this article only speaks to condo’s with HOAs, I assume the same could be said for SFR with HOAs. Take most of the newer homes in SD County that have HOAs. Could the same scenario occur if a 3rd of the homes fall into foreclosure in a tract of homes or subdev in that the other owners will incur the costs as part of an adjustment up in HOAs?

Thats something to consider and or get in writing from the HOAs when buying if thats the case.

[LAAFTERHOURS]

4s Renter

Since this article only speaks to condo’s with HOAs, I assume the same could be said for SFR with HOAs. Take most of the newer homes in SD County that have HOAs. Could the same scenario occur if a 3rd of the homes fall into foreclosure in a tract of homes or subdev in that the other owners will incur the costs as part of an adjustment up in HOAs?

Thats something to consider and or get in writing from the HOAs when buying if thats the case.

[LAAFTERHOURS]

4s Renter

Since this article only speaks to condo’s with HOAs, I assume the same could be said for SFR with HOAs. Take most of the newer homes in SD County that have HOAs. Could the same scenario occur if a 3rd of the homes fall into foreclosure in a tract of homes or subdev in that the other owners will incur the costs as part of an adjustment up in HOAs?

Thats something to consider and or get in writing from the HOAs when buying if thats the case.

[LAAFTERHOURS]

4s Renter

Since this article only speaks to condo’s with HOAs, I assume the same could be said for SFR with HOAs. Take most of the newer homes in SD County that have HOAs. Could the same scenario occur if a 3rd of the homes fall into foreclosure in a tract of homes or subdev in that the other owners will incur the costs as part of an adjustment up in HOAs?

Thats something to consider and or get in writing from the HOAs when buying if thats the case.

[jpinpb]

Good article. We discussed this on a thread I started:
http://piggington.com/hoa_solvency_market_problems

I was taking to a neighbor in my complex about my favorite topic, the RE market. He proceeds to tell me about an acquaintance of his who lives in a condo complex in El Cajon. She has a dilemma. She is one of four people left who are paying HOAs.

Now unfortunately I don’t have details and he didn’t either, as in name of complex or how many units, etc.

The problem is all the other owners have defaulted on their loans, are stil living there, just not paying on the loan or HOAs. Banks have not foreclosed yet.

The real problem is the four owners who are making mortgage and HOAs are paying and are now getting regular special assessments which are getting very expensive.

Apparently they got a HUGE water bill assessment and they are in a bind b/c if they don’t pay, the water will be turned off, is what he was saying.

Can the water department do that?

We discussed this further, that if the bank eventually forecloses, the bank is obligated to pay the HOAs, right? But I guess whichever bank has the first loan, if they sell and get lower than what is owed to them, then the second lien holder and the HOAs are $hit out of luck.

So do these four owners continue every month to pay this very high water bill and other special assessments? They don’t want to walk and f/up their credit.

Very catch-22 situation. One more reason to hate HOAs, besides their military rules and regulations.

If this happened in EC, what’s to stop it from happening in other complexes that get real bad?

Also HOAs mentioned here:
http://piggington.com/escondido_listed_70_below

[jpinpb]

Good article. We discussed this on a thread I started:
http://piggington.com/hoa_solvency_market_problems

I was taking to a neighbor in my complex about my favorite topic, the RE market. He proceeds to tell me about an acquaintance of his who lives in a condo complex in El Cajon. She has a dilemma. She is one of four people left who are paying HOAs.

Now unfortunately I don’t have details and he didn’t either, as in name of complex or how many units, etc.

The problem is all the other owners have defaulted on their loans, are stil living there, just not paying on the loan or HOAs. Banks have not foreclosed yet.

The real problem is the four owners who are making mortgage and HOAs are paying and are now getting regular special assessments which are getting very expensive.

Apparently they got a HUGE water bill assessment and they are in a bind b/c if they don’t pay, the water will be turned off, is what he was saying.

Can the water department do that?

We discussed this further, that if the bank eventually forecloses, the bank is obligated to pay the HOAs, right? But I guess whichever bank has the first loan, if they sell and get lower than what is owed to them, then the second lien holder and the HOAs are $hit out of luck.

So do these four owners continue every month to pay this very high water bill and other special assessments? They don’t want to walk and f/up their credit.

Very catch-22 situation. One more reason to hate HOAs, besides their military rules and regulations.

If this happened in EC, what’s to stop it from happening in other complexes that get real bad?

Also HOAs mentioned here:
http://piggington.com/escondido_listed_70_below

[jpinpb]

Good article. We discussed this on a thread I started:
http://piggington.com/hoa_solvency_market_problems

I was taking to a neighbor in my complex about my favorite topic, the RE market. He proceeds to tell me about an acquaintance of his who lives in a condo complex in El Cajon. She has a dilemma. She is one of four people left who are paying HOAs.

Now unfortunately I don’t have details and he didn’t either, as in name of complex or how many units, etc.

The problem is all the other owners have defaulted on their loans, are stil living there, just not paying on the loan or HOAs. Banks have not foreclosed yet.

The real problem is the four owners who are making mortgage and HOAs are paying and are now getting regular special assessments which are getting very expensive.

Apparently they got a HUGE water bill assessment and they are in a bind b/c if they don’t pay, the water will be turned off, is what he was saying.

Can the water department do that?

We discussed this further, that if the bank eventually forecloses, the bank is obligated to pay the HOAs, right? But I guess whichever bank has the first loan, if they sell and get lower than what is owed to them, then the second lien holder and the HOAs are $hit out of luck.

So do these four owners continue every month to pay this very high water bill and other special assessments? They don’t want to walk and f/up their credit.

Very catch-22 situation. One more reason to hate HOAs, besides their military rules and regulations.

If this happened in EC, what’s to stop it from happening in other complexes that get real bad?

Also HOAs mentioned here:
http://piggington.com/escondido_listed_70_below

[jpinpb]

Good article. We discussed this on a thread I started:
http://piggington.com/hoa_solvency_market_problems

I was taking to a neighbor in my complex about my favorite topic, the RE market. He proceeds to tell me about an acquaintance of his who lives in a condo complex in El Cajon. She has a dilemma. She is one of four people left who are paying HOAs.

Now unfortunately I don’t have details and he didn’t either, as in name of complex or how many units, etc.

The problem is all the other owners have defaulted on their loans, are stil living there, just not paying on the loan or HOAs. Banks have not foreclosed yet.

The real problem is the four owners who are making mortgage and HOAs are paying and are now getting regular special assessments which are getting very expensive.

Apparently they got a HUGE water bill assessment and they are in a bind b/c if they don’t pay, the water will be turned off, is what he was saying.

Can the water department do that?

We discussed this further, that if the bank eventually forecloses, the bank is obligated to pay the HOAs, right? But I guess whichever bank has the first loan, if they sell and get lower than what is owed to them, then the second lien holder and the HOAs are $hit out of luck.

So do these four owners continue every month to pay this very high water bill and other special assessments? They don’t want to walk and f/up their credit.

Very catch-22 situation. One more reason to hate HOAs, besides their military rules and regulations.

If this happened in EC, what’s to stop it from happening in other complexes that get real bad?

Also HOAs mentioned here:
http://piggington.com/escondido_listed_70_below

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