Neigbors must subsidize bankrupt HOA unit's operating costs
Posted on Sun, Feb 20, 2011 @ 07:16 AM
I live in a small 3 unit condo, 20 months ago one unit owners who was not in residence but let the property out to renters, stopped paying their $125.00 monthly dues, letters/e mails/phone calls to him went unanswered, and despite him receiving $1,000.00 a month rent, the other two units had to pay his water, garden fees, etc. About 7 months ago the unit rented out went into foreclosure.
The big problem lay in the insurance for the condo, we do not have a mortgage on our unit, the other unit holder says we have to pay half of the insurance on the unit in foreclosure as its Florida law. We have said let's just leave the insurance but the 2nd unit owner has said we have to pay half the unit and are insistent on this point. We said that due to their mortgage requirements we are being hit with paying half the insurance on the foreclosed unit, but as they need the insurance as a requirement of their mortgage they should pay in full the insurance of the foreclosed property. We asked them, to take the moral high ground on this matter but they are having non of it , they insist we pay 50% of the foreclosed units insurance, that way they can qualify with their mortgage company to have their mortgage. We have said that as there are only two units paying for 3 units bills, we have a reduced capital to deal with this situation thus we need cut back re the gardening etc but they refuse to make any cut backs at all.
What has made it worse is they have insisted we take on a company to manage the bills of the HOA at the cost of $2,100.00 a year and this is when we have a reduced budget. We complained that we did not want to have a company to pay the bills thus they they advised that if we did not give the go ahead the matter to court for a judge to make a decision and the condo association would be liable for any costs, more money spent the does not have Is there any way we can get out of not paying the half of the foreclosed condo, the other unit needs the insurance as its part of their mortgage requirement, why should we have to subsidize their mortgage requirements and they will not take the moral high ground either or make reductions on the out lays to the HOA . We are from London UK, we pay out taxes, but the situation with the foreclosed unit, our neighbor only seems to be interested in having the condo insurance paid and will not likely to not reducing the spending and will not see out view point re us subsidizing the insurance so they qualify for their mortgage, its all them them them. Any time we quote we can change condo rules, we are advised we do not have the 2/3 majority to change rules made years ago when money was easy to come by , there are only two units owned now by private individuals and the other unit is stuck in the past as it suits there purpose not reacting to the bad financial situation the condo association is in , they have their head in the sand Sorry if it seems i am waffling but i am just trying to get everything down in writing. Any info appreciated.