Choosing to live in a condominium complex or gated townhouse community certainly has many perks as to the maintenance of the property. As part of such a community, homeowners enjoy care-free living while the homeowners association or HOA is tasked with ensuring that all of the common areas of the property are well-maintained and cared for.
Choosing to live in an association-governed community, whether it’s a highrise condominium or a gated community of single family homes, certainly has many perks. One major convenience is the maintenance of the property. As part of such a community, homeowners enjoy care-free living while the homeowners association or HOA is tasked with ensuring that all of the common areas of the property are well-maintained.
Reserve Studies are intended as a tool to anticipate and budget for the expense of repairing, refurbishing, or replacing common areas in an Association-governed community. In order for these shared locations to be properly maintained, enough funds must be allocated to “reserves” so that any deterioration and/or damage that occurs on the property may be fixed in a timely manner.
A Reserve Study is a tool to analyze and assess the physical health of any property. In the case of Association-governed communities like condos, co-ops, HOAs, OAs, POAs, and PUDS, the property’s future is in the hands of the Board of Directors. A Reserve Study that is up to date and relevant on an annual basis safeguards board members from any liability that may arise from any evidence that the reserves have been mismanaged or poorly maintained.
We’ve all heard the famous quote “Nothing is certain except for death and taxes”, often attributed to Benjamin Franklin. But we all know there are a few more certainties in life.
Reserve Studies are budget planning and disclosure documents prepared to help the board meet their responsibility to care for the assets of the association.
