A high rise tower building in NJ is facing at least $10 million in engineering and repair fees. Also their monthly fees were raised permanently by about 40%. The repair bills are likely going to rise in the next 5 years. The condo association meetings are ridiculously confrontational and we moved out. Everything had to be fully disclosed upon sale. Buyers beware as the old saying goes and find out in advance what the special assessments are.
That's a big one! I can only imagine the heated association meetings on that one you guys went through. Yes, that's the big thing to check and ask about when looking to buy into a condo is if any special assessments are currently going on or planned on in near future. It can affect the resale price. Resale Certificate will show this. Good thing about a reserve study is it does give a buyer and current owner a clear picture of the current condition of the building and financials......along with a 30 year+ outlook plan to help reduce any surprises and stay safe.
My mother in law is a 5 yr owner at Jockey Beach Club 123rd. Their assessment wasn’t too bad. Yes her HOA will be increasing due to it, and it’s above the average of the increases in previous years. However it wasn’t an astronomical increase we anticipated from the news articles we read prior to the assessment. Sounds like some are really feeling it though.
Thanks for that info! Love Jockey Beach and its location. Yeah, most I've run across that are professionally managed have not been bad but just $30 to $100/mth increase in the condo fees to bulk up on that reserve fund for planned maintenance/replacement items in the future. Some of those increases are due to increasing insurance costs. Always better to have a plan and start early instead of getting hit with a big special assessment. The media articles definitely do their jobs in getting clicks,ha!
The assignment? You do get the full resale packet ( financials, Bylaws, Assessments and Reserve Study) to review before moving forward with your purchase.
I think this is a good bill. Unfortunately most consumers are clueless when it comes to recognizing or researching the pitfalls of owning a shared property. We have close friends who inherited an OC Condo that had been in the family for almost 40 years. Unfortunately the majority of the units were also original owners or family. The consensus was that Mom and Dad and the HOA association put off all but cosmetic repairs and left the big ticket burdens to the next generation. The assesments the last two years alone have cost the existing owners more than the units when they were new. The estimate for additional necessary upgrades will likely double that figure and their struggling to find bidders for the work. One contractor told them off the record that 3 years ago the new roof would have cost them less than half of todays quote.
I think it is a good bill too and I know its painful for some right now if they have to do a lot of replacement items at once and get those reserves built back up right. It's a great thing to have for future buyers with a full building inspection report and a clear maintenance/replacement plan in place to avoid those huge surprise special assessments which have always been the tough part of owning a condo. A lot of Pro's investing in a condo/shared living buildings though too. Hope things work out smoothly for your friends in their building. Labor, Material and property values were definitely cheaper pre-covid and for sure back in the 80's.
Each unit in our building has been slammed for a total of 19.5k in ass'ts within the past five years. Such an ugly process. Now, despite our dues increasing, at least there is a plan in place. My bigger issue remains with the building mgr ignoring competitive bidding process and pitching jobs to friends / family.
@@marketchattr Glad you liked the video and thanks for your insight! Yeah its tough getting hit with extra assessments and I agree that at least with the reserve studies that there is a plan in place and everyone know's what to expect. Sounds like your condo association board and other unit owners would benefit to raise the question with your property manager/company if their not getting bids to compare and choose the best one that's in the best interests of the unit owners. Should be able to vote on those decisions.
We have had a time share in lovely OC fir 25 years. Think the annual maintenance fee was only $125 a year 25 years ago. Last year it was over $700 along with a $600 BS fee to cover things. They replaced the grest looking Colonial looking doors with ugly aluminum doors thst look like the ones on hospital ER entrances. Can remember the year they bragged they installed a new pool heater but when water was cold three days in s row asked the maintenance man ehat eas the .problem. Told me that they were too cheap to run pool heater but not to tell anyone. We raised so much hell the gave ue free passes to use the indoor pool at the old 62nd Street fitness center.
Thanks for sharing your experience! Yeah, updates, maintenance cost and insurance have really gone up is past 20 years. Good news is values have as well. I know it’s a little different for time shares. What is the name of your building?
Thanks for watching and let me know your thoughts or experiences with the HB 107 law and the reserve study/inspections!
A high rise tower building in NJ is facing at least $10 million in engineering and repair fees. Also their monthly fees were raised permanently by about 40%. The repair bills are likely going to rise in the next 5 years. The condo association meetings are ridiculously confrontational and we moved out. Everything had to be fully disclosed upon sale. Buyers beware as the old saying goes and find out in advance what the special assessments are.
That's a big one! I can only imagine the heated association meetings on that one you guys went through. Yes, that's the big thing to check and ask about when looking to buy into a condo is if any special assessments are currently going on or planned on in near future. It can affect the resale price. Resale Certificate will show this. Good thing about a reserve study is it does give a buyer and current owner a clear picture of the current condition of the building and financials......along with a 30 year+ outlook plan to help reduce any surprises and stay safe.
My mother in law is a 5 yr owner at Jockey Beach Club 123rd. Their assessment wasn’t too bad. Yes her HOA will be increasing due to it, and it’s above the average of the increases in previous years. However it wasn’t an astronomical increase we anticipated from the news articles we read prior to the assessment. Sounds like some are really feeling it though.
Thanks for that info! Love Jockey Beach and its location. Yeah, most I've run across that are professionally managed have not been bad but just $30 to $100/mth increase in the condo fees to bulk up on that reserve fund for planned maintenance/replacement items in the future. Some of those increases are due to increasing insurance costs. Always better to have a plan and start early instead of getting hit with a big special assessment. The media articles definitely do their jobs in getting clicks,ha!
Good info 👍
Glad it was helpful! Most of the ones I’ve come across are in good shape.
Can I see the assignment before I decide to purchase
The assignment? You do get the full resale packet ( financials, Bylaws, Assessments and Reserve Study) to review before moving forward with your purchase.
I think this is a good bill. Unfortunately most consumers are clueless when it comes to recognizing or researching the pitfalls of owning a shared property. We have close friends who inherited an OC Condo that had been in the family for almost 40 years. Unfortunately the majority of the units were also original owners or family. The consensus was that Mom and Dad and the HOA association put off all but cosmetic repairs and left the big ticket burdens to the next generation. The assesments the last two years alone have cost the existing owners more than the units when they were new. The estimate for additional necessary upgrades will likely double that figure and their struggling to find bidders for the work. One contractor told them off the record that 3 years ago the new roof would have cost them less than half of todays quote.
I think it is a good bill too and I know its painful for some right now if they have to do a lot of replacement items at once and get those reserves built back up right. It's a great thing to have for future buyers with a full building inspection report and a clear maintenance/replacement plan in place to avoid those huge surprise special assessments which have always been the tough part of owning a condo. A lot of Pro's investing in a condo/shared living buildings though too. Hope things work out smoothly for your friends in their building. Labor, Material and property values were definitely cheaper pre-covid and for sure back in the 80's.
Each unit in our building has been slammed for a total of 19.5k in ass'ts within the past five years. Such an ugly process. Now, despite our dues increasing, at least there is a plan in place. My bigger issue remains with the building mgr ignoring competitive bidding process and pitching jobs to friends / family.
Appreciate the quality video, by the way
@@marketchattr Glad you liked the video and thanks for your insight! Yeah its tough getting hit with extra assessments and I agree that at least with the reserve studies that there is a plan in place and everyone know's what to expect. Sounds like your condo association board and other unit owners would benefit to raise the question with your property manager/company if their not getting bids to compare and choose the best one that's in the best interests of the unit owners. Should be able to vote on those decisions.
We have had a time share in lovely OC fir 25 years. Think the annual maintenance fee was only $125 a year 25 years ago. Last year it was over $700 along with a $600 BS fee to cover things. They replaced the grest looking Colonial looking doors with ugly aluminum doors thst look like the ones on hospital ER entrances. Can remember the year they bragged they installed a new pool heater but when water was cold three days in s row asked the maintenance man ehat eas the .problem. Told me that they were too cheap to run pool heater but not to tell anyone. We raised so much hell the gave ue free passes to use the indoor pool at the old 62nd Street fitness center.
Thanks for sharing your experience! Yeah, updates, maintenance cost and insurance have really gone up is past 20 years. Good news is values have as well. I know it’s a little different for time shares. What is the name of your building?