About 80% of my sales are condominiums, these have become more difficult in these trying economic times.
Many owners feel they are paying for their neighbors share of the common fees (when there are defaults)
Some would like to close the expensive recreation facilities ( if they are second home user and go to a weekend schedule).
As Realtors we are running into financing issues with banks wanting to review the % of uncollected dues.
I recently had to convince the condo owners association to increase their directors liability insurance in order to qualify the condo for financing (new regulations would have prevented new or refinanced mortgages without it).
Deer Park Recreation Center...North Woodstock New Hampshire...great amenities open everyday.
Unofficial case study in the amenities vs. no amenities question: (1)recently an association voted to take down an older indoor pool complex rather than have a special assessment for major up-grades. The number of condos for sale have increased rapidly there. The prices have also gone down...more than the average market values at the same time. (2) In the resort with the highest condo fees in my area, prices have been reasonable stable and the number of units on the market is less than 3% (of the total # in the project).
Mansion Hill Recreation center ...only the outdoor pool is open..club house closed permanently.
If you could advice a homeowners association on the importance of having amenities…what would you suggest they do?
Mothball the recreation center, Keep it open under any circumstance, go to a no staff card system, look for alternative revenue sources as a business, or limit the hours of operation based on a home owner vote…or none of these suggestions?
What do you think about today’s condo issues?