Recently, a retired police officer in Southport NC challenged a rule by his homeowner’s association prohibiting religious or political gatherings at the community’s amenities center. The homeowner felt that this was an infringement of his constitutional rights. After holding meetings and gathering petition signatures, the HOA board agreed to change the rule. Some people may […]
One of the most visible areas in a planned community is its roads and streets. Because of that, homeowners and their homeowner’s associations sometimes exceed their authority over those roads and get themselves in trouble. Usually, as I’ve written before, when a planned community is developed, a plat is filed that shows the lots, common […]
Part of the HOA and the Board’s financial responsibility is to maintain insurance for the community. Most communities need general liability insurance and property damage insurance for common areas. In condominium developments, where the property damage insurance also typically covers the cost of repair or replacement of the actual buildings, this single expense can dwarf […]
Enforcement of the declarations, bylaws, rules and regulations is one of the most difficult aspects of running a homeowner’s association. The board has a duty to reasonably enforce its rules and avoid risking liability to the HOA or its board. At the same time, the members of the board are residents in the community with […]
The HOA is required to hold an annual meeting. Notice of the annual meeting should be provided to all owners and state the time, place and agenda of the meeting. Typically the agenda consists of the election of directors of the executive board and ratification of the budget. In addition, the board or 20% of […]
Annual assessments for homeowners associations should be calculated to satisfy the budget and are shared equally among the homeowners pursuant to the allocations set forth in the declarations. Special assessments can also be passed pursuant to the declarations for larger or unexpected items, such as capital improvements or catastrophic damage. The better practice is to […]
HOA Finances begin with the annual budget since it is the basis for determining the amount of regular assessments and the possible need for special assessments. Under the statutes, the board of directors develops a proposed budget and then submits it to the membership for ratification, usually at the annual meeting. If it is rejected, […]
The standard powers of a HOA under N.C.G.S. Chapter 47C and 47F are fairly broad and usually consist of the enumerated powers contained in those statutues, including: Adopt and amend bylaws and rules and regulations; Adopt and amend budgets for revenues, expenditures, and reserves and collect assessments for common expenses from lot owners; Hire and […]
In North Carolina, a HOA is usually initially formed by the developer of the planned community. A developer of a planned community will go though the permitting process with the county which usually includes preparing a plat or map of the development. That plat is filed with the county register of deeds and can be […]
Probably the most violated law I see by Homeowner Associations is restrictions on satellite dishes. The restriction is in nearly every set of Declarations I review and almost all are illegal provisions. Since 1996, the Federal Communications Commission has adopted a rule that prohibits restrictions that impair the installation, maintenance or use of antennas used […]
One of the first amenities that are built by developers of planned subdivisions and condominiums in North Carolina is the neighborhood pool. Pools are an attractive addition to a subdivision and developers and owners see them not only as a great place to socialize with neighbors and entertain the kids, but to enhance the value […]
The following is a list of the steps our office does when assisting homeowner's associations in collecting on past due assessments. Usually, the matter is resolved after the lien is placed and seldom do we have to resort to a sale of the delinquent owner's property. Our office obtains a list of delinquent payers from […]
Image by alancleaver_2000 via Flickr I recently had a complaint from any owner who was being assessed by a homeowner’s association for annual dues. He explained that he never agreed to be in a homeowner’s association and didn’t consider his property to be within the area governed by the homeowner’s association. Therefore, the HOA had […]
One popular reality show today is A&E's "Hoarders. "The show details the problems of pathological hoarding or disposophobia. The individuals acquire possessions and fail to discard them even when the items are worthless, hazardous, or unsanitary and impair mobility and interfere with basic functions of life. The show scratches a morbid curiosity and probably makes […]
A few weeks ago, on a lovely Saturday at Wrightsville Beach, NC, I was in a small banquet room, assisting a Homeowner's Association with a special meeting calling for the removal of directors. There were two large factions in the Association and on the Board. One faction had collected a sufficent number of petitions to […]
‘Tis the season when those political candidate signs spring up like mushrooms around neighborhoods and commercial districts throughout the land. Although signs and posters are considered "speech" under the 1st Amendment and therefore cannot be banned by the government, some permissible restrictions have been allowed. Check your city or county ordinances here to see if […]