Monday, July 25, 2011

HOAs- Manditory Or Voluntary?

HOAs- Manditory Or Voluntary?
by Takara Alexis

Numerous homeowners living in these voluntary associations have been happy until in recent times, when some busy-bodies felt that it was time for changes. These people come together and claim it's time to change the community.

Especially in the Orlando area homeowners complained recently that they received letters from their board, claiming that the former voluntary association has been changed into a mandatory association, new deed restrictions have been established and you must pay your dues immediately. In a second and third letter threats of liens, foreclosures etc. have been added to these demands. And all under the cover of a majority vote.

According to some Florida Court Rulings this is not the way it works. If you are a member of a voluntary association you can't be forced without your agreement to become a member of a mandatory association. Don't let these busy-bodies threaten or intimidate you! They have zero right to do so. As long as the deed to your property doesn't say that your property belongs to a mandatory association, nobody can force you.

Numerous homeowners living in mandated properties would only be too happy to be able to get away from them. A lot of law-suits all over the nation are proof of all the existing problems. It appears very obvious that this program has failed the homeowners badly and is only staying alive because the industry is fighting like crazy not to lose their valuable cash cow.

These people will tell you how great the advantages are of being a member of a mandatory association. No pink houses in your neighborhood, no old cars in the drive-ways and no flag poles in the neighbors' front yard. And your property values will go up in no time!

What they definitely won't tell you is that your money can be used to sue you, that you'll be financially responsible for any of the association's liabilities and that other people, like these busy-bodies, have suddenly the right to tell you what to do and not to do on your own property. They will tell you that your dues will be used to improve your neighborhood. They will not tell you that often more than 50% of the collected dues will be used to pay industry partisans like management companies and HOA attorneys.

And in regards of mandatory homeowners' associations raising property values? Don't fall for this industry fairy tale! There are many examples which render this claim absolutely false! Texas Senate hearings revealed a recent study from Harris County, Houston, TX , which clearly proves that just the opposite is the case. Please see the well documented statistics at supporting documents. And in case of a planned resale the title companies' search will reveal that your property belongs to a mandatory HOA. And since more and more home buyers realize what HOAs are all about, it might even inconvenience your resale intentions.

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