Condo Association Management Blog

In Florida we can restrict access to recreational facilities. Pools, Club House, Gym, etc. Restricting parking sounds illegal. Unfortunately they can live there and restricting their parking doesn't help you collect the money. I will assume you have a qualified HOA attorney. In Florida we can collect up to 12 months of fees. Recently, the courts ruled that the bank could not prolong the forclosure of a delinquent unit to wait out a better market. You should contact your legislators in your state and see if they can help. You might even check to see if there is anything in the books already. Additionally, you cannot turn off common utilities so don't even think about that.

Our condo association does restrict parking for delinquent owners.Our condo association is in VA and parking is at a premium.Cars without a valid parking pass are towed.

Please cite the secdtion in the Maryland Condo Act which permits Board to restrict parking. I live in a Maryland Condo and we have same problem and am also attempting to find some means of forcing payments.

Tony: I too live in FL and would very much appreciate the info you refer to on the recent court ruling. Can you point me in the right direction. 
Thanks

Would this HUD program to prevent foreclosures help some of your delinquent owners? This program won't help everyone but it might benefit some. http://reversemortgagedaily.com/2011/03/06/hud-rolling-out-1-billion-of-emergency-mortgage-assistance-in-april/?utm_source=Reverse+Mortgage+Daily&utm_medium=email&utm_campaign=3538dec895-Reverse_Mortgage_Daily_Email_Updates_Manual8_20_20

very interested in the application of this. how well it works, etc. I believe our Condo could do such a thing as well so i would be very curious to know how well it works. Thank you, i have no comments, but it sounds like a sound plan and legal.

I am not advocating the breaking of any law, but I believe the board has some leeway here. If you suspend a delinquent homeowner's right to park, how would that person have the money to hire a lawyer to fight the matter in court? Will he say to the judge "I don't have the money to pay my HOA fees, but I do have the money to hire a lawyer to fight the board's decision not to permit me to park because I haven't paid my HOA fees?" I suspect that the judge will tell the plaintiff to save his money and pay his dues, then admonish the board for being too aggressive. 
 
 
 
As an aside, how are you paying your expenses with this level of delinquency?

j

I'd like to have the attorney's contact. I, too, live in a Maryland condo and we've been told we can't do what you propose.

If you can restrict parking, then maybe people will work with you due to the fact that losing their cars to a tow truck. I will have to see if this a legal method in Texas with our legal counsel.

In your state, can't you foreclose on the lien and sell the unit on the Courthouse steps?

MD CONDOMINIUM ACT 2009: 
 
Par. 12) "To regulate the use, maintenance, repair, replacement, and modification of common elements" and par 15) "To impose and receive any payments, fees or charges for the use, rental, or operation of the common elements other than limited common elements" 
 
Article X, section 3b; "Vehicular parking upon general common elements may be regulated by the Board of directors. Parking spaces may be assigned by the Board of Directors for use by the owners of particular condominium units. 
 
LARRY - That's the whole problem - we are very low on funds and our reserves are dangerously low.  
 
WILL - You asked if we can foreclose. Sure we can, but it is very expensive because we would have to satisfy the senior lien holders, and many homeowners are now "underwater" with their homes. Foreclosure is not an option. Even in good economic times, the legal BS that is required for an Association to file a lien and eventually foreclose makes it nearly impossible. And then the owner declares bankruptcy and there goes all your hard work and money. 
 
SCOTT - check the MD CONDO ACT. And see if you have this specifically in your condo ByLaws, that you CAN regulate the use of the common elements. Hopefully it is! 
 
EVERYONE - Our Board is now gung-ho on this idea, since our delinquencies have actually INCREASED over the past 3 months. BTW - we have denied pool privileges to delinquent owners with hardly a whimper. Also, voting rights are revoked for delinquent owners, with even less of a fuss. Important to remember, the Board is not denying anyone access to their property. We apparently do not need an amendment to our ByLaws - thank goodness, because we would need the approval of two-thirds of all owners, many of which are not even entitled to vote because they are so far behind on their condo fees!

I'm a Board memeber for a condo buiding in Florida Our building is being bleed dry by parasitic free loading delinquent owners. Nearly 50% of our building is occupied by owners who refuse to pay both their mortages and the Maint fees. Some have been leaching for over two years. We've tried collections, we tried rental acquisitions. The owners would rather evict the existing tenant and leave the unit vacant instead of allowing the asoociation to recoup the delinquent funds. We've tried everything we could. They are just to comfortable and will not leave until the sheriff is at the door. Which is costing us greatly. I've spoken to our attorney about towing delinquent owners vehicles but she say its illegal. I dont understand why. If the parking spot is not deeded to the unit and the association has the right to deny access to common areas then, Isnt the parking lot a common area? Or what if we did a permit parking policy, but the unit must be paid in full in order to get a permit. We must find away to make it uncomfortable for delinquent owners to stick around. Any Ideas? Anyone?

To D.M. - Yes, I have read that in FL you cannot restrict parking. Which surprises me because I think FL is one of the more "progressive" states. BTW, don't feel bad, our rate is 50% also. BUT - maybe you "could" install parking meters and offer reimbursements to only those who are current. Any one parked at an expired meter would be towed. Of course, if these units are sitting empty, the owners don't care about parking! But, I am sure there are other options, Basically, you all need to get these delinquent owners O-U-T. I see you have tried rent acquisition. Did it help at all? Possibly others here have additional ideas for you. Maybe have your county condemn units and order them vacated? So the Association can take them? You say there are owners who are leaving their units sit empty??? Who is paying the property taxes? Didn't I read about a FL law that requires the mortgage holder to pay 6 months worth of fees? The absolute worst thing to do with a property is to leave it sit empty. I would think reasons could be found to enter a vacant unit, and possibly the inspector would condemn it.

Well - can parking be restricted in a Md condo for fee delinquency or not? seems the wording in Article X - Section 3b would allow - has this been tested in Md?

We manage a number of Maryland community associations and I will tell you, "It depends." It depends on how your parking lot are titled, whether they are general common elements or limited or are owned outright. We have seen very few at which withholding parking privileges is not allowed. Even then, you can designate permit spaces, the convenient ones, and guest spaces (the inconvenient ones) and require current assessments to obtain the permit. It absolutely can be done, but have your attorney, hopefully one who specializes in Maryland condominium and HOA law, approve the process.

I am the original post here - that was back in March 2011! On July 18, our Board has FINALLY approved the parking policy and we will be implementing it soon. Basically, if you owe you and don't pay, we will tow your car or truck away. Nothing else has worked, our delinquencies are presently at an all-time high. Note to others here - we have found liens, collections, attorney letters, court cases, personal judgements etc. to be quite ineffective. There are 1001 ways to avoid them all. Hard to avoid the tow truck though!

Owner/board member at a Maryland condo in Ocean City. Some owners, who are grossly in arrears rent thei units during the high season months. Their non payments continue. May the Condo Board "pull" the plug on a given unit's cable TV which is paid for as part of our condo fee? They are taking the good rental income, but not paying condo fees.

For those of you who have rental units with paying tenants and judgments against the owners, don't overlook garnishing the rent! That might be difficult in a resort community if they're not using management, but garnish via management or, if there's a steady tenant, have the garnishment served such that the tenant pays the association directly.

Chris that is absolutely correct and something we may be looking into. Most of our delinquencies are with owner-occupieds however. Johnny oh - as for discontinuing the cable TV, check your ByLaws and maybe consult with your attorney if Bylaws are not clear. Since cable TV is not exactly a necessary service I would imagine your association can do away with it for non-payment of fees. But you should be sure. Can you regulate parking as we are now doing?

jimmy, no we do not regulate parking in such a way to limit our problem owners -- they live elsewhere and rent out on generally a seasonal basis. Our attny says we can't pull the cable, but does not offer rationale. So, I am not hanging my hat on him. I think that there is enough flex in the MD Condo Act, and I'll have to re-study our by-laws for wriggle room.

Update on our parking amendment. We will finally be implementing this policy! We are now at $94,000. in delinquencies, and nearly half are in arrears.  
 
There is really no other "convenient" place to park, so we are hoping this new policy will be effective! Basically, we need to get the delinquent ones on a payment plan, plus they will nee dto pay at least *someting* on what tehy owe, and they wil be eligible for a parking permit. For the really stubborn ones, we have a towing company ready to go. I personally would prefer a BOOT because it is easier on the owner, PLUS it is a visible embarrassment to the delinquent ones.  
 
I will let everyone know how it goes. The whole idea is kinda sad, that a community has to do this, but we, like many of you out there, simply LET IT GO ON TOO LONG.............

The HOA where I reside is thinking of implementing a restriction on parking to delinquent residents and am happy to have read the dialogue on this website. Jimmy Dee will you please contact me at reneeholliday452@hotmail.com, I have a few questions to ask.