What happens to owners on fixed incomes when homeowner or condo association fees double?
Live in a home governed by a condominium, co-op or homeowner's association? Have questions about what they can and cannot do? Ryan Poliakoff, an attorney and author based in Boca Raton, has answers.
Question: Recently our association fees went from $1,400.00 quarterly to $2,600.00. My question is, what is the worst that can happen to me if I am unable to pay? I will have difficulties coming up with that fee being a disabled Vietnam veteran. Signed, M.B.
Dear M.B.,
First, thank you for your service, and I am sorry that you are in this position.
Fees in community associations across Florida have gone up significantly. A large portion of that increase relates to insurance, as the market has changed substantially due to the Surfside tragedy, as well as storms that have hit the state. A lot of our expenses have gone up, even outside of community associations.
Condominiums, cooperatives and HOAs in Florida have a lien on homes that dates back to the recording of the governing documents. The only exception in terms of lien priority would be first mortgages — in that instance the lien dates back to the recording of a claim of lien in the public records.
If you do not pay your assessments, the association must first send you a Notice of Late Assessment, a statutory form reminding you that you are delinquent. If you do not pay within 30 days of that letter, the association can then send your delinquent account to their collections attorney. The attorney will send a Notice of Intent to Lien, wait 45 days, and then record a lien and send a letter informing you that they intend to foreclose that lien. After another 45 days they will file a lien foreclosure action in state court, serve you with that lawsuit, and then proceed in foreclosure until the judge orders that your home should be sold at a foreclosure auction, so that the debt can be paid. Either a third party will buy your home at that auction, or the association will take title (subject to any first mortgage that may be on the home).
That’s the technical explanation. The simple answer is that the worst that can happen to you is that you’ll lose your home.
That can and does regularly happen. Even if your home is homesteaded, it would not protect you from losing your home to an association lien. There are foreclosure protections for active service members, but unfortunately they would not apply to you as a veteran.
The sad reality is that it has become very difficult for a lot of Floridians to afford their homes. Ultimately though, and assuming that the association budget represents valid common expenses that are necessary to maintain the community, if you don’t pay, it means your neighbors effectively are paying your share. That’s not fair either, and that’s why the laws concerning foreclosure are so aggressive.
I would suggest contacting veteran affairs organizations to see if there are options that would help you afford your increased fees. And if you get behind on an assessment, contact management or the board and see if they would be willing to let you enter a payment plan to catch up.
Question: We live in a condominium building with 16 units. We have one owner who is a hoarder and extremely dirty. We have called every agency possible, and they have responded and tried to help him. He has refused and never let them or anyone in.
At this point, we are starting to get vermin, and he does not let the exterminator in. His door is filled with black mold, and he is creating a health hazard. He has said he will clean but he never does.
We would like to sue him for specific performance and have a judge order him to get rid of the garbage which is from floor to ceiling in his unit, allow exterminators in and deal with the mold.
The police wanted to know if he needed to be Baker Acted as this is very much out of the normal. We would not like to do that, but what are our options? Signed, L.S.
Dear L.S.,
The situation that you describe is unfortunately extremely common. Ultimately, it’s not for you to decide if he should be detained under the Baker Act, and in any event, such detention is temporary and he doesn’t appear to be a danger to himself in the way that might lead to a longer detention.
Your declaration of condominium almost certainly contains language that can be used to force him to clean up his apartment, including that he’s obligated to maintain the apartment, cannot create a nuisance for other owners and cannot do anything that might affect your insurance. Plus, you have an irrevocable right to enter units in order to maintain the common elements and prevent damage to other units (and exterminating would arguably fit that description). I would act sooner rather than later, as it can be a long process.
Ryan Poliakoff, a partner at Poliakoff Backer, LLP, is a Board Certified specialist in condominium and planned development law. This column is dedicated to the memory of Gary Poliakoff. Ryan Poliakoff and Gary Poliakoff are co-authors of "New Neighborhoods — The Consumer’s Guide to Condominium, Co-Op and HOA Living." Email your questions to condocolumn@gmail.com. Please be sure to include your location.
This article originally appeared on Palm Beach Post: What happens when you can't afford increasing homeowner fees?
