Michigan condo owner ponders benefits of Master Insurance Policy

Posted on Fri, Feb 20, 2015 @ 08:00 AM

Tags: Condo Association Insurance, Michigan


I am a condo unit owner in a Michigan Condo Association.

In considering Master Insurance coverage, is it better (and cheaper) to cover more under the Master Plan, or more under individual condo unit owners’ insurance plan? We currently have a ‘studs in’ policy.

Thank you!

Michigan Condo Association lax when it comes to proof of insurance policies

Posted on Sun, Feb 8, 2015 @ 08:00 AM

Tags: Board of Directors, CCR, Bylaws & Rules, Condo Association Insurance, Michigan


I am a new Board of Directors member in a Michigan Condo Association.

I am concerned that my Association has never asked condo unit owners to provide documentation of insurance policies.

Our Bylaws state that ‘from time-to-time’ condo owners shall submit proof of insurance. Does anyone have any suggestions on this, and how we may enforce such rules?

Should HOA budgets require approval from all condo owners?

Posted on Fri, Jan 30, 2015 @ 08:00 AM

Tags: Budgets & Finance, Board of Directors, Condo & HOA Law, CCR, Bylaws & Rules, Disabilities & Owner Rights, Michigan

Michigan Condo Association has questions regarding budget 013015 resized 600

I live in a Michigan Condo Association.  Is the Board of Directors obligated to present an annual budget to the HOA members at the annual meeting, and does it have to be approved by the members?

I can’t ever recall one being presented to us, and our Bylaws are extremely vague on this matter.  The response from our President has always been that the day-to-day decisions for HOA operations are up the Board.

Thanks ahead of time for your help!

City lists Michigan Condo Association as a 'business'

Posted on Thu, Jan 22, 2015 @ 08:00 AM

Tags: Condo Association Management, Condo & HOA Law, CCR, Bylaws & Rules, Michigan

Michigan Condo Association listed by city as business 012215 resized 600

I live in a Michigan Condo Association.  The city attorney has recently listed the Condo Association as a ‘business’.

Does this mean that the Condo Association is making a profit? I was under the impression that Condo Associations are non-profit. Have things changed in the past 10+ years?

Condo Association member has question about leasing and Bylaws

Posted on Sun, Dec 28, 2014 @ 08:00 AM

Tags: Condo Association Management, Condo & HOA Law, CCR, Bylaws & Rules, Disabilities & Owner Rights, Landlord & Tenant Issues, Michigan

Michigan Condo Association leasing rules and ByLaws 122814 resized 600

I have a question regarding leasing in Michigan Condo Associations. Three rental leases were recently terminated by the lessee before the mandatory twelve month lease was fulfilled.

Can the condo association present a new lease for a tenant? The reason I ask is that our Bylaws specifically require a twelve month lease. Thank you.

Condo association board slow on urgently needed roof repairs

Posted on Wed, Nov 26, 2014 @ 08:00 AM

Tags: Condo & HOA Assessments, Property Damage & Repairs, Property Management, Condo Association Management, Board of Directors, Condo & HOA Law, Fees, Foreclosures, Delinquencies & Collections, Michigan

condo association board slow in coordinating urgent roof repair 112714 resized 600

I noticed a hole in the roof of my condo association building. I notified the management company in writing and they passed it on to the Board of Directors. Approximately one week went by, during which time I had not heard back and no repair was made. It had also rained and snowed during this time. I ran into a Board member and asked about it, and was told one of the members had looked and did not see anything. The hole is so large it can be seen from the road, and essentially nothing is being done about it. The overhang of my condo now has warped boards, cracks, and mold spores directly under the area of the hole – the spires are black and fuzzy.

I had spoken with a particular Board member who doesn’t seem to have much influence on what gets done.& If this issue continues to be ignored, do I have the right to schedule repairs and cleanup on my own and withhold condo association fees to pay for it? Should I contact the property management company again? I’m stymied, and meanwhile the damage is spreading.

Lease terminations causing problems in Michigan condo association

Posted on Sun, Nov 23, 2014 @ 08:00 AM

Tags: Property Management, Condo Association Management, Condo & HOA Law, CCR, Bylaws & Rules, Landlord & Tenant Issues, Michigan

condo association facing issues over terminated leases 112314 resized 600

Three condo unit rental leases were terminated by the lessee before their mandatory 12-month lease was fulfilled. Can they present a new lease for a tenant? Our condo association by-laws specifically require a 12-month lease.

Thank you.

New condo association member surprised by Board operations

Posted on Tue, Nov 18, 2014 @ 08:00 AM

Tags: Budgets & Finance, Board of Directors, CCR, Bylaws & Rules, Condo & HOA Elections, Illinois, Michigan

new condo unit owner suprised by board operations 11 1814 resized 600

Is there a government entity that governs condo associations? My condo association Board has been charging ongoing special assessments fees, three in the past two years. The first was for $4K and did not cover the work that had been promised (replacement of rotting wood, for example). Is there anyone who can help with this? I moved in to my condo unit years ago, am new to condo associations, and did not realize the immense level of control that exists.

The condo association was almost $100K in the black when I bought the unit. By the following year, they were almost $40K in the red. Other more involved condo association members have informed me of suspicion of stealing. I cannot believe the government lets this happen. They have just recently pushed two more assessments, claiming they are running out of money. I’ve seen the type of vendors they hire, and believe it’s really about the Board’s lack of business savviness. I don’t mean to slam anyone, but it’s the truth.

Some condo association members (not me at the moment) have a plan to get our current Board out of office, but the vote is not until the middle of next year. In the meantime, they have and may continue to siphon out so much unnecessary money from the condo association. We are a 20 condo unit association. I feel we shouldn’t have to wait until the next election to solve our issues, yet when this opinion is voiced we are basically told to ‘shut up’. It’s horrible. I’ll leave the community nameless, as they are good at doing wicked things to those who don’t value their skills and management.

Thanks ahead of time for any insight you can provide.

Condo association faces high insurance rates after fire

Posted on Sat, Nov 15, 2014 @ 08:00 AM

Tags: Property Damage & Repairs, Condo Association Insurance, Michigan

condo association having difficulty getting reasonable condo association insurance 111514 resized 600

I live in a Michigan condo association with 152 condo units. We were paying $30K per year for condo association insurance, payable over 12 months, with a $10K deductible. There was a fire (and death) in 2013 that destroyed at least 5 condo units, and 10 others had to be partially replaced. It has been 11 months, and there are still 5 owners who have not moved back in.

Needless to say, the insurance was cancelled. We were put in the ‘high risk’ category and the only company that would insure us quoted $90K, paid in advance. It was a hardship on our 2014 budget, but we managed to pay $100K. Is there anyone out there who could advise us whether or not there are other sources that would insure us for less? The deductible remains at $10K, and come September we will need to fork over another $90K. Help please. Thanks!

Michigan HOA imposing annual fees for rental of condo units

Posted on Tue, Nov 11, 2014 @ 08:00 AM

Tags: Condo & HOA Assessments, Condo Association Management, Board of Directors, Condo & HOA Law, CCR, Bylaws & Rules, Fees, Foreclosures, Delinquencies & Collections, Landlord & Tenant Issues, Michigan

condo association fees for condo owners who rent units 111114 resized 600

My HOA recently administered a $100 fee per year to the owners of any condo units being rented. There was a change to the Master Deed seven years ago stating that the board could do this, though it has not been initiated until now. In addition, a notice had not been sent out informing condo owners of this.

There has been plenty of discussion amongst owners regarding initiation of this fee, even though it is in the Master Deed. After quickly researching, it seems that law in Michigan does not govern HOAs. Further, it seems this sort of action is legal in some states, and illegal in others. Does anyone know of or have any information about associations implementing a yearly fee to condo owners renting their properties?

The HOA stated the reason for the fee is due to the additional cost of renters contacting the association. Shouldn’t this be covered by our condo association dues? Anyone with advice on this, or where I may gather additional information, would be great.