Questions to ask a condo board before you buy

What peercentage of units are owner-occupied? The hiugher the percentage of owner-occupied units the more marketable the units will be at resale.

What covenants, bylaws and restrictions govern the property? Know if you can live with the restrictions.

How much does the association keep in reserve? How is the money being invested?

Are association assessments keeping pace with the annual rate of inflation? Smart boards raise assessments c cetain percentage each year to build reserves to fund future future repairs.

Compare rate with other developments in the area.

What does and doesn't the assessment cover. Some cover heat and air conditioning costs.

What special assessment have been mandated in the past five years? Some special assessments are unavoidable, but repeated expensive assessments could be a red flag.

How much turn over occurs iun the building?

Is the project in litigation?

Is the developer reputable? Find out what other projects the developer has been a part of and how they are working.

Are multiple associations involved in the property? In very large developments, umbrella associations as well as the smaller associations, into which you're buying, may require separate assessments.