Condo & Home Owner Association BEST PRACTICES
Training for Board Volunteers and Owners
Video Learning

IDEA to help quickly educate new board members

Play a few of our YouTube videos at each board meeting. This idea came from viewers.

condo-new-videos

Video Gallery
Browse here or select from the index at the left.
Condo & Home Owner Association Video Gallery
Misconceptions About Association Living
Misconceptions of
Association Living
► :48
> transcript
Reserve Study (Planning For The Future)
Reserve Study
(Planning For The Future)
► 2:15
> transcript
Reserve Study (Underfunding Issues)
Reserve Study
(Underfunding Issues)
► 2:51
> transcript
What I Need To Know
What I Need
To Know
► 1:29
> transcript
Can You Afford To Live Here?
Can You Afford
To Live Here?
► :34
> transcript
Pay As You Use It
Simple Concept:
Pay As You Use It
► :45
> transcript
Pay As You Use It
Cost Benefits of
"Group Buying"
► :58
> transcript
Pay As You Use It
More Banks Now
Require Reserve
Studies
► :35
> transcript
Preventive Maintenance Check Lists
Preventive Maintenance
Check Lists
► :58
> transcript
Types of Management
Types of
Management
► :34
> transcript
Self-Managed
Self-Managed ► :54
> transcript
Portfolio Manager (Part-Time)
Portfolio Manager
(Part-Time)
► 3:18
> transcript
On-Site Manager (Full-Time)
On-Site Manager
(Full-Time)
► 1:36
> transcript
Fees and Assessments
Fees and
Assessments
► 3:01
> transcript
Deed Restrictions
Deed
Restrictions
► 1:25
> transcript
Boards and Committee Members
Boards and
Committee Members
► 1:49
> transcript
Conflicts of Interest
Conflicts
of Interest
► :54
> transcript
Persuasive Communications
Persuasive
Communications
► 2:12
> transcript
Curb Appeal
Curb
Appeal
► 2:19
> transcript
Board Member Courage
Board Member
Courage
► 1:24
> transcript
Private Sector Innovations
Private Sector
Innovations
► 1:18
> transcript
Pay As You Use It
Financial Disclosures:
A Business Model for
Consumer Protection
► 2:20
> transcript
State Laws Needed
State Laws
Needed
► :37
> transcript
Innovations in Action

VIDEO - Private sector businesses that investigate Association financial strength for new buyers, lenders

Condo & Home Owner Association Video Gallery
Financial Disclosures
Financial Disclosures:
A Business Model for
Consumer Protection
► 2:20
> transcript
Condo & Home Owner Association Video Gallery
Private Sector Innovations
Private Sector
Innovations
► 1:18
> transcript

Financial Disclosures: A Business Model for Consumer Protection

100% Funded - IDEAL
60 (or 70%) to 99% Funded
30 to 60% Funded
0 to 30% Funded

Association reserves are often underfunded, yet the value of the property is directly tied to the value of the reserves.

Many Associations do not have a Reserve Study and have no financial road map for their future. Jacquie explains her view of the relative risk levels to buyers, especially in terms of possible looming special assessments and fee increases.

Private Sector Innovations

Name of firm: HOA Document Review, Inc.
Year Founded: 1998
Headquarters: San Jose, California (Silicon Valley)
Service Areas: Throughout the state of California
Web site: www.HOAdocumentReview.com

You've heard of a traditional physical home inspection before buying a home.

This business concept operates on much the same principle as a physical home inspection, except this firm has experience sorting through sometimes complex financial documents to report to their customer the current difference between the recommended reserve amount and the actual amount that the Association has in its reserve.

That 'deficit-per-unit' amount, which could eventually mean a large special assessment for each owner, can be negotiated off the sale price of the unit.

VIDEO - Reserve Studies, as state law, are a useful consumer protection measure

Condo & Home Owner Association Video Gallery
State Laws Needed
State Laws
Needed
► :37
> transcript

If you only remember two words from this book and web site, remember the words Reserve Study. The short definition of Reserve Study, is that it is a professional engineering/accounting document that is the financial road map for the future of the Association.

As of the printing of this book, only a small number of states require a Reserve Study: California, Hawaii, Nevada, Virginia and Washington state. (And even then, there are no 'condo cops' to enforce this law, so some associations -- especially smaller associations -- still have no Reserve Study.)

Some states have laws with vague wording that says in effect, "maintain adequate reserves", but how can you translate that phrase into a plan of action without the hard data in a professional Reserve Study?

Ironically, state laws rarely require that the reserves be funded. Usually, the legislatures give the owners the option of not funding the reserves, which is all the more reason that a potential new buyer at an Association should check the needed reserves versus reserves on hand, before buying.

Gold Star Community©
Annual, data-driven, local recognition of well-managed, financially sound Community Associations

Gold Star Community Program

Name of recognition program: Gold Star Community© Program
Year Founded: 2000
Name of Organization: Pennsylvania/Delaware Valley Chapter of Community Associations Institutes
Web Site: www.cai-padeval.org/programs/goldstar.php

The Community Association Institutes (CAI) chapter for Pennsylvania and Delaware Valley created an annual recognition program in 2000 for well-managed local Associations, according to Tony Campisi, Chapter Executive Director.

To apply, Associations fill out a detailed four-page check list that details the financial and adminitrative planning of the Association and submit a fee of from $75 to $150 depending on the size of the Association. (Associations do not have to be members of CAI to apply for the recognition status.)

The applications are reviewed by a local, independent review panel consisting of an attorney, insurance specialist, an Association volunteer.