IStock_000003815224XSmall HighRise CondoThe day should have been long ago when homeowner association directors with little understanding, actually run Homeowner Associations. So many of the people that get elected ( usually because no one else wants to serve or for other reasons that I will leave out of this post) are most often not  qualified. They need training to work the budgets, recommend the allocation of reserves, propose by-law changes, and interpret the pre-formatted CC&R's that were filed with the respective State Dept. of Real Estate by the developer when the property was first approved as a subdivision. I believe most HOA directors would want to learn if there was a venue to provide this needed training.
 
If a Homeowners Association actually had better hands on legal guidance, the legal advisors would insist that each of the elected Directors understand  what they have been elected to do. The same goes for the management companies that often advise the associations. In situations that I have observed, it often seems like the sight challenged leading the sight challenged.

In some respects it is totally amazing that the associations function at all. Getting out the reserve studies ( usually constructed by the management companies ) and the annual budget for the decision on what fees will be charged for the current year are often all that is accomplished by the directors.

In other associations the Directors take a more hands on approach dealing with infractions of the accepted rules, policing the common areas and various other aspects of life in a subdivision. And there have certainly been charges levied by individual homeowners that the board has exceeded it charge. Most courts however usually back the associations, finding language in the CC&R's that gives them greater latitude.

What is needed is instead of the rather unpleasant conflict is Director training that should be available by the respective authorities that authorize the forming of subdivisions in a state or at least by legal entity that is hired to keep tract that rules are regs are lawful and that those that abuse members the system are handled properly.

I recently came across one management company in particular that was providing this training and it should not surprise you that this particular association is very well run and  the homeowner members appreciate the better way affairs of the association are managed. The company doesn't want any fanfare so they shall remain anonymous but they certainly take their charge in a serious and professional way and as a REALTOR, I applaud their exceptional efforts.

Most CC&R's were meant as a model that would be adopted at the time the association takes over for the Builder of the Subdivision. They were also intended to be living documents that would be amended to accommodate the life style and way of life for that association within the legal limits assigned to them.

What happens in reality is that the model CC&R's usually get adopted and without further action they remain that way, often at the consternation of most who reside there. When I inquired about how that happens , I was told that the legal work and expense required is often the harbinger to the desired change. Unless the articles are simply onerous, they remain  that way , year after year,after year.

Since REALTOR associations usually provide basic training in Roberts Rules and the fundamentals of how associations operate to their new elected directors , it might be a very useful community service if the REALTOR Associations could design a basic training for the Homeowner Association Directors in their community. It could also be a nice additional revenue stream offsetting some of the other programs an association might like to provide its members. It might be worth looking into. What say you?

 

 

12 Comments on Condominium Associations and The Need for Basic Board of Directors Training

MAR
21
2008
114,667 Points 9 Featured Posts Outside Blog

There was a guy with a brilliant radio show named Bill Handel...did you ever hear him? He would create these outlandish characters and pretend to be interviewing them as a talk-show host, then people would call in with their comments/questions/complaints.

One of my favorite characters was a homeowners association president named Bobbie. She was krazy with a capital K.

Training is a great idea, William...and a great way to do that is with the local Realtors association. Thanks for being a great resource for San Diego real estate and the rest of us.

12:04am • #1
384,385 Points 63 Featured Posts Localism Sponsor Outside Blog

Hi Joey, Thank you so much. It is great to be thought of in that manner. I suspect there are as many different characters in Homeowners Associations as in life in general. I had discussed developing just such a training with DoRE ( Dept of Real Estate ) but just never followed through as the demand just didn't seem too great.

BTW, I have heard of Bill and he seems to be, as I recall, quite popular and creative. Thanks again for dropping by and sharing your feedback.

12:34am • #2
290,142 Points 4 Featured Posts Localism Sponsor Outside Blog

Hi William, I agree that the training idea is good.  However, having dealt with condo associations in the past (in FL), 'valiant effort' comes to mind.  How do you train/deal with someone who sues the condo association because his testicles hit the toilet water and he wants ALL toilets changed?  

 

2:45am • #3
583,681 Points 95 Featured Posts Localism Sponsor Outside Blog Hit Router
William, the same thing here, the home-owners that are on the boards are mostly those without kids and nothing better to do. They do need more training and in most cases a life.
6:28am • #4
847,096 Points 213 Featured Posts Localism Sponsor Outside Blog Hit Router

Goodness, a blast from the past.  I owned two condos over a period of 20 years.  Condominium management is big business and serving on a board is an awesome responsibility.  I found that few owners were really competent.  In fact, over the years, it appeared that owners took board positions in order to steer service contracts to cronies.  Of course, that could just be a Maryland syndrome.  Maryland being an oasis of cronism.

I enjoyed the carefree lifestyle of condominium living  My last two home were single family detached and maintenance costs a bloody fortune.  However, showing and selling as many homes as I have over the years, I learned that neglected or deferred maintenance is a serious cause of property devaluation.  If only I could get that message across to more home owners.  Mmmmm, another subject for a post. 

7:05am • #5
279,903 Points 29 Featured Posts Localism Sponsor Outside Blog
William, I think this is a great idea!  Our real estate boards are well trained and members who serve on multiple board of directors as you and I have could certainly offer some basic but much needed training.
9:14am • #6
384,385 Points 63 Featured Posts Localism Sponsor Outside Blog
Hello Susie, I really have no comment that I could make on your specific description of the rather unusual example that you cited. I do however understand that many people's perspective can certainly be a challenge. Anecdotally, I would guess we have all heard or experienced things that people say and do in this business that would make a pretty interesting ( if not hysterically funny ) book to read. Thanks for dropping  by and increasing my endorphins this morning.
10:02am • #7
384,385 Points 63 Featured Posts Localism Sponsor Outside Blog

Hi Missy, Norman Vincent Peale might rephrase your comment like this. " Our experience with empty nesters is that since they are now free of rearing their lovely children, they wish to contribute their vibrant experience to those that are professionally involved and unavailable".  " This contribution of their efforts to serve their fellow man in this brave endeavor is further testimony of their commitment to bettering society". Not.

Don't you love the spin? LMAO

10:16am • #8
290,142 Points 4 Featured Posts Localism Sponsor Outside Blog

Hi William, that is one of my funnier condo conversion stories, especially when the gentleman came in to complain.  I worked for developers who built most of the big condos on Longboat Key back in the 80's and have steered clear of condos ever since.  (Just as I am steering clear of discussing pheromones endorphines...!)


10:21am • #9
384,385 Points 63 Featured Posts Localism Sponsor Outside Blog

Good Morning Lenn,

It is interesting how some people who have experiences that might not have been so great, really try and avoid situations where they have to deal with HOA's. It comes up in my clients conversations more than occasionally.

My single family home is in a subdivision , as most homes in California are and time and again I find that dealing with untrained directors and the required forms for approval to make repairs, repaint ( only the approved colors which can be pretty gross), redesign or landscaping are totally frustrating. Can't do this, can't do that unless it strictly follows the cookie cutter pattern. Best to be a conformist when residing in a subdivision.

Having had this experience would certainly make me reluctant to want the experience again. What differentiates me from many others is that I actually read the forms and make an effort to comply. Others just do what they want and disregard the more onerous of the guidelines. I guess that goes to the belief that is  better to seek forgiveness after the fact than to seek the approval in the first place. Now, those are the ones that I would like on the board,lmao.

10:33am • #10
384,385 Points 63 Featured Posts Localism Sponsor Outside Blog
Hi Susie, Being a Non-confrontationalist, on second thought, I would have comlimented him for his good fortune and suggested a seat lift as a solution. Sort of goes with the training idea,lol
10:45am • #11
384,385 Points 63 Featured Posts Localism Sponsor Outside Blog
Good Morning Diane, This idea may certainly be one to look into. Thanks for your great backup comments and I hope others will appreciate the potential win win.
10:48am • #12

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San Diego Real Estate Voice authored by William Johnson GRI CRS e-Pro CDPE

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