Wednesday, 14 January 2015

When Your HOA Needs a Special Assessment





Homeowners who live in an HOA are used to paying dues; these dues are a necessary part of Association life. Hopefully, homeowners have a good idea of how their dues are used—to pay for the upkeep of community property and to provide amenities, like the pool or tennis courts. More information is available at Community associationmanagement charlotte.

Nevertheless, the thought of a special assessment can sometimes be daunting and dispiriting—not just to homeowners, but to the HOA Board, as well!

When it comes to community management services, Charlotte HOAs may need a special assessment for a handful of reasons. One potential reason is that you simply don’t have enough money in your reserve fund to keep up with the year’s maintenance needs; the only way to know this for sure is to do a reserve study. Another potential reason is that an emergency repair need arises, one that surpasses what you have in the reserve.

There is yet another potential reason for a reserve fund: Insufficient insurance. When it comes to HOA management, Wilmington, NC communities should have enough insurance to help cover certain pressing needs; insufficient insurance will leave emergency repair costs far higher than they should be, which brings with it the need for a one-time or ongoing increase in dues.

A special assessment is never exactly going to be welcome. With that said, it may sometimes prove a necessary evil. Make sure you keep alert to this potential need, and act on it promptly but also strategically.

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