Why are such replacements required? Well, I put a post here last year about "spalling brick". Brick is porous and is not a good selection for window sills. Snow and ice accumulates atop the sill in the winter, freezes and thaws. The water enters the porous brick and expands upon freezing. This causes a chipping of the brick. The mortar requires frequent and continuous repair. All wonderful for contractors, but a source of continuing expense to the association.
Water can enter the walls through the loose and cracked mortar or brick and this, as we know, results in damage to the interior wall and can result in mold. All additional expense to the association. So the solution? Rather than replace the brick with brick, or repair the mortar, replace the sill for a cost about the same of the cost of one year of repairs. Limestone has the advantage of requiring caulking about once each 10 years, or longer. The limestone sill has a life of 50 or more years.
But those eager to sell will be long gone, so this type of repair is a "waste of funds" to them.
Our former AD did not find support among the new board members for this. The current board has not discussed this in view of the association members during the meetings. So, if you are one of the lucky ones, and your sills were updated, you can "count your blessings". The rest of us will have to do with the 35 year old brick.
This is, of course entirely at the discretion of board members. Last year, our CD voted against all driveway repairs. Lakecliffe was left to decay. If you have problems with selling your unit, I suggest you write the board. From my experience, emails sent to our CD are ignored, and never make it to the board at large. So, using that method is about as useful and effective as putting your note on toilet paper and flushing it. However, the choice is yours. Do you want results, or do you want reasons and excuses?
This shows the brick on a typical window:
Here is an enlarged image:
And, here is the photo of a new limestone sill. Our CD complained about the white color during an association meeting. The former AD pointed out, during an association meeting, that limestone ages and darkens as time passes. There are many, many buildings in the area with limestone, of which Indiana limestone is architecturally popular.
Motivated Unit Owners
Returning to those unit owners who are "eager to sell", here is a little arithmetic to consider.
Who is it that is really motivated here at BLMH? Well, those who "want things" are the most motivated. They are sure to vote and to press the board. Who are these motivated unit owners? One group is those who have already hired a real estate broker and are selling their unit. If you want a rough count, just walk the complex and count the lock boxes. Then, there is another, similar group. Those are the unit owners who want to sell, but for a variety of reasons, can't or won't. They are here simply because the real estate market, in general, is such a difficult one. They are biding their time and certainly have no wish or desire to put money into the coffers of BLMH, and build reserves for "future" repairs and maintenance. How many unit owners are represented in this group? Who knows? These two groups, combined, have no interest in BLMH beyond immediate needs. Do landscaping and make it pretty. Just as with selling a home, slap some paint on the rotting wood, hide the defects and make it look pretty so it will sell. Certainly, raising of fees is counter productive to this group.
As an example, a former board member once related a story to me. Here at BLMH several unit owners who were selling their units petitioned the board to return their percentage of fees, which were retained in the reserves! It was "unfair" for the association to have the fees of owner who were leaving! Sounds familiar, doesn't it?
Another group or groups are those who want garage sales, or want to park a truck, camper, boat or trailer. It can cost $100 or more each month to store a boat or camper or truck off the property. That is a powerful motivation. If a unit owner could store their things here, that would represent a large savings to them. Quite a motivation! Garage sales can be a source of income. Another powerful motivation.
Using a little arithmetic, the actual "majority of us", which is to say, the majority of those voting, is about 26% of the units. That's because about 50% of us don't bother to vote. So 26% is a "majority" of the 50% who vote. Or, to put it another way, 26% of the unit owners are "the majority of us" and are supposedly pressing for all kinds of "change" here at BLMH. Using a little more arithmetic, it is entirely possible that 35% of our voters "the majority of us" have lock boxes and are attempting to exit. I have walked the association and I know the number of such boxes and of foreclosures. That information is available to those who ask. It is also possible that an equal number, or a group equal in size to those who are actually selling, are sitting in the wings and waiting for their opportunity. That accounts for 70% of the voting block. Then, if we take into consideration the truck and trailer people, the "garage sales" group, and those looking for specific changes such as benches, more landscaping, etc. We can easily reach 100% of the 26% of unit owners necessary to control the votes and the association.
So, who is really running the show here at BLMH, and who is really represented by our Board of Managers? And who is getting the attention of the board, which is taking us into this new direction of "change"?
It is quite possible it isn't the 74% of us! It is not the majority which intends to live here and stay here and has something vested in where the association is in 10 or 20 years. Perhaps that is why all the talk and willingness on the board to reduce fees. Those selling or anticipating an exit, or those who want to reduce their monthly expenses by parking their campers and boats and trailers and trucks here, certainly are a motivated group. It is quite possible they are the ones really controlling this association. Certain members of the Board of Managers are very willing to work "for the majority" of us, whoever that is, and that alleged majority is cited and quoted by the board as those pressing for certain kinds of change. Voting "NO" for driveway repairs would certainly make sense in that context. It has an added "bonus". If this association did all the repairs that are necessary, that money would come from reserves. Suddenly, those reserves would drop, and by a large sum. That would put pressure on a fee increase. It might also make this association less desirable from a home buyer's perspective. Our CD is talking about minimum percentages of reserves. So, vote for parties, keep the fees constant, avoid large expenditures and do what you can to make units more "saleable" - lots of flowers, shrubs and mulch, and keep painting.
I think this is something to think about. When you read the meeting notes, or next come to an association meeting, I suggest you observe the members of the Board of Managers, and question where THEY are coming from, and what is their possible motivation.
To use that infamous phrase of our CD, "a majority of us" wanted "Change" here at BLMH. That "majority" was never qualified and that "change" was and remains undefined. I don't accept unspecific terms such as "better". "Better" for whom?
It's quite appareNt which 'group' you are part of, Norm. You're one of the people that actually wants higher fees, even though our assessments are pathetically (by that I mean 30-40% more) than other condo's in the area. Trying to sell in this market is hard enough, let alone when your assessments are $300+. Norm, not everyone here is interested in projecting cost analysis over a 30 year time span. Not everyone wants to pay grossly higher fees so we will have adequate reserves in 2030.
ReplyDeleteI wonder if this post will end up saying
"This post was deleted by the administrator" like so many other of the dissenting posts have.
To 11:14 AM - Good response. Could not have said it any better.
ReplyDeleteBy the way, for the first person, Norm is not for higher fees, he is being realistic that this is an envitability that we cannot avoid. Being underfunded for so many years put us in a real bind, until First United came along and helped the various boards attain what reserves we have now. The bottom line is that if we do not upkeep this property, then it will become a slum. The upkeep will not magically happen on its own - it has to be paid for. If you do not want to pay - then move. - As for Norm deleting responses - he does not delete because someone dissents - he deletes because there is offensive language, i.e. profanity, etc. This blog has always been open to various opinions and comments and, I for one, am glad obscenities are deleted, they have not place on the blog.
To: 1:45 PM - I suppose you like higher fees and higher taxes? I would say you are a majority of "one." I don't think you actually do get Norm's blog. Read everything, and you will understand what he is saying. It would be better with small increases each year, such as 2% or so, instead of no increases and then all of a sudden one year we need the funds, so we have to pay 5% - 6%, or more, or even worse, special assessments. So tell me 1:45 PM, any suggestions?
ReplyDeleteAnon. 2:01PM
ReplyDeleteYou didn't answer 1:45PM's question.
There is a group that promotes fear, anger and enmity. "Norm is for higher assessments", "We should be paying 30 or 40% less than we are", etc., etc.
Of course small fees increases are better each year. If you think a 3% increase is OK, then guess what happens when the board skips an increase? They skipped the increase this year. So what happens next year? Double the 3% to 6%? Or would you prefer double the 0%? Sorry, that was a dumb question. Of course you want 0% again next year. Wouldn't we all like "free money"?
I do read Norm's blog. He has pointed out our history. There were a lot of 0% increases and even lower than 0%! My welcome packet confirms this.
This article includes one of Norm's charts.
http://briarcliffelakes.blogspot.com/2009/03/method-for-arriving-at-assessment.html
I found this by selecting the Topic "Assessment Adjustments". It was easy! The "Annual Assessment Increases Voted By the Board" shows how the association gyrated with large fee swings between 1983 and 1995. Our fees did settle down. If I understand Norm's article, we spend a lot of time paying a few percent more each year to catch up to those fees which were never collected when the assessments were low, very low. I guess you are telling me I shouldn't believe the charts or numbers, either? So who should I believe? My "friends" in high places? Who?
Using our history as a guide, I suppose you want to go down that path again?
George Santayana said "Those who do not learn from history are doomed to repeat it." So are we doomed?
I am 2:01 PM. I personally do not have a problem with small increases each year. They can be fit into a budget easier. It is the large increases I do not like. I admit I have quite a fear of special assessments. It's a no-brainer that it is easier to fit $6.00 or so into a monthly budget than $15, $20, $25, $30....Because of the age of this complex, and the multitude of problems that now exist and will continue to exist to keep it up to par, we need to make sure we have enough in reserves at all times. If the complex was newer, then perhaps it would be a different story, depending on how the money is allocated. But this complex is older and we have to try to stay ahead of the game.
ReplyDeleteThanks for helping to pump up the association. Using your numbers, you are saying that there are "lake view", 3 bedroom, 2 bath, patio condo's in the area with fees less than $200 a month?
ReplyDeleteReally? REALLY? Where do you get your numbers?
MLS listings for the area. Check them out and prepare to get defied. Most town home units are around $200-$225, even ones that are worth more than our units. Nothing over $250 except for our fine little establishment.
Ironic that you're telling me to move, yet Norm dedicates his life/time to whining and complaining about the HOA.
ReplyDeleteBy your pathetic logic, Norm should just pack up and move too.
Oh that's right, there's a lot of Norm apologists here, he can complain about whatever he wants.
It's OK, anon 10:38. There's a lot of Norm nuthuggers here. You'll get used to it.
ReplyDeleteAnon. 6:29PM. You said that our assessments were the highest and there was "Nothing over $250 except for our fine little establishment."
ReplyDeleteYet, Anon. 9:11PM posted "MLS #07297222 $329,000. Taxes $8,029, Fees $323, 3BR, 2Bath, 2 Half Bath."
I checked and that is accurate. I also checked a few other real estate listings. But you stated "Nothing" over $250 in the area. A wonderful example of data selected specifically to support your position, while you ignore all other information.
At best this is deception. There are quite a few condominiums in the area with fees in the neighborhood of $250 and above. If this had been an association meeting, you would have gotten away with your statement and misdirection.
My thanks to 9:11PM for doing a little work and showing that the range of fees is quite broad in this area, and does extend above $300 a month.
Norm does not whine and complain - he just states the facts. He reports the truth as it is, good or bad. I am not going to apologize for him, he is a grown man and can take care of himself. The time and effort he puts into providing information, stats, figures, etc. is valuable for all of us. However, I find that it is the people that cannot face the truth that whine and complain.
ReplyDeleteNut huggers? We do have a lot of squirrels and trees. So I guess we do have nut and tree huggers.
ReplyDeleteWhen I moved here, I had no affinity for the trees. My wife loved them. I've changed, for practical reasons. I have noticed that our electricity cost is pretty low in the summer, and we don't run the AC very often. We have a lot of shade on one side of our unit and that is cool in the afternoon. The other side is exposed and warms in the morning. The trees reduce our energy costs.
I have decided that these trees are a darn good thing. So I can either pay fees to maintain the trees, or if they are chopped down or die for lack of maintenance, I can pay for electricity.
I prefer the shade and lower electricity bills. So living in an older, established community has some advantages.
I wonder what the energy costs are at some of those "very low" fee places that the complainers seem to use as "evidence"? I am a "total cost of ownership" person. I look at my costs here as mortgage + utilities + taxes + fees. My total costs here are lower than when I was a home owner. I also have a lot more free time. Minimal maintenance - in fact, I use a plastic snow shovel - that's how little I do. No mowing, no cleaning of the exterior, caulking, painting, etc. I was able to sell most of my tools when we moved here. I no longer own a snow blower or a lawn mower or an edger, electic hedge trimmer, leaf blower, tree saws, ladders, garden hoses, root feeders, etc. Whew! I had a garage and storage shed full of that stuff. I spent a weekend or two each spring cleaning the equipment and readying it, and a month in the fall preparing for winter, preparing the snow blower, etc. I'll tell you, I got up early many mornings to shovel snow before leaving for the office. I also raked leaves, paid to have them hauled - yes, another expense. I built a compost bin for the grass clippings and paid a lot for weed and feed and crawled on my hands and knees pulling out weeds, plugging holes, etc.
We spent about $600 each year on weed, feed, seeds, flowers, replacement of shrubs, etc. That's $50 each month of the year, and that was for the "basics". Add to that the tools, and the time, and any special projects, such as deck repairs or whatever. Next, add all exterior maintenance. Painting and caulking and so on. I did one side of the home every other year - it was stained. So I rotated and spent a month of summer free time scraping the windows, caulking, filling, replacing damaged or rotted wood, fixing screens, etc.
The one advantage I had as an owner was I could postpone some of this if I chose to. But I could not avoid it. Rotting wood must be replaced. Peeling paint on trim must be repainted to protect and preserve the wood. As an "owner" here, I pay a fee each month and pray the board knows what they are doing. Sometimes I really do wonder. Especially when I see the reserves and the condition of the street.
Ownership isn't cheap. Not here and not anywhere in Wheaton or Glen Ellyn. You sound like a bunch of apartment dwellers who now have taken over and think you are owners because you pay a fee to have contractors wait on you hand and foot. Get real people! I really like the service. I really enjoy the free time and the parks and green space within walking distance. That is if you are willing to cross the street, and I see a lot of my neighbors doing just that.
Yet, Anon. 9:11PM posted "MLS #07297222 $329,000. Taxes $8,029, Fees $323, 3BR, 2Bath, 2 Half Bath."
ReplyDeleteSorry, I guess I forgot to clarify. I assumed that you would figure out that I was talking about similarly priced properties, not ones that are worth ~$150,000 more than ours. Looks like I gave you too much credit. Do you think it's kind of odd that a property such as this, valued 40% higher than ours and pays twice the property taxes has around the same assessments that we do? Admit it, our assessments are already too high.Yet Norm wants them higher.
I'm Anon. 9:40AM. I forgot to say that I also like the elementary school within walking distance, I use the tennis courts and other park amenities.
ReplyDeleteI also forgot to mention that as a home owner I spent about $3,000 each year on maintaining my home. That was for exterior maintenance and upkeep, tools to do that work, and so on. I spent a small additional amount on interior work.
We decided to live here because we didn't like the high rises or the "row" buildings which were the alternatives. The "row" style buildings of the associations we checked did have lower fees. They also had wonderful views of parking lots. The tall buildings felt like apartment buildings. My wife didn't like the long, unmonitored corridors.
We had a choice to make, and we chose this community. I do not regret that choice.
I did like the opportunity of home ownership, but the apparent freedom was actually a disguise for a lot of work and expense. So I have a different viewpoint.
Here, I have less personal freedom but I have a lot of free time. A lot more than I had as a home owner.
If I had never been a home owner, or if I purchased here as a step toward home ownership, I would probably be disappointed. Not because of this association, but because I would have the expectations of an apartment owner, or a younger person who might be unprepared for the true costs of living on one's own.
This is a bargain. I'm enjoying it. I suspect, that as Norm pointed out, the majority of us who don't complain or storm the board, are probably doing the same. I think a little perspective might be a good thing.
For those of you who keep complaining that the assessments are too high or that Norm wants higher fees - how many times do you have to be told that the reason for high assessments is that we had too many years with no fee increases and then had to play catch up (which in all actuality we need to continue doing)? What do you think this place would be like if First United had not come on board, recognized what needed to be done, and then worked with the various boards to at least get us the amount of reserves we have now? Probably all of the residents, including myself, Norm, and many of those I personally know, do not want to pay higher fees. Unfortunately it is a necessity, given the age of the complex and the problems we face. Obviously, for a group of you, the information provided in these blogs, both by Norm and many of the responses, just do not sink in, or you are not able to comprehend anything. At some point, you must face reality - because, whether you like it or not - it is here. So instead of pointing fingers and blame to others, become educated, become informed. We have a board, they are the ones that need to be doing their job - call them to task.
ReplyDeleteAnon. 10:13AM and 9:41AM. You were very clear. You stated that "Our assessments are pathetically (by that I mean 30-40% more) than other condo's in the area."
ReplyDeleteThat's about as clear as one can be. Don't even try to backpedal.
If you want to compare our association to others in the area, why not tell me about the fees at associations which are exclusively manor homes where there are no more than four units to an entrance, there are no high rise "apartment style" buildings, where each unit has a patio, where the association is bounded by not one, but two lakes, where there are streams and hundreds of trees, where all garages are attached.
It seems you purchased something you didn't want. You said "Trying to sell in this market is hard enough" and "Norm, not everyone here is interested in projecting cost analysis over a 30 year time span. Not everyone wants to pay grossly higher fees so we will have adequate reserves in 2030."
I regret to inform you that our board is required by law to see just that. Our reserves must be adequate for future maintenance. Your use of "2030" is an exaggeration just as everything else you say. Fees must be collected today for roof replacement in the future. So a roof replaced in 2010 will be re-roofed or replaced in 15 to 20 years, and this association is required by law to collect fees and prepare for that re-roofing or replacement in 2025 or 2030.
I do not share your eagerness to live in a slum. I hope the board doesn't, either.
To those such as Anon. 9:41AM who seem to prefer special assessments.
ReplyDeleteYou do not explicitly state so, however, if fees are not collected on a monthly basis for repairs, then the only alternative is special assessments.
Would you like a "special assessment" of $6250 for your portion of a new roof? Would you like an assessment of $3750 for your portion of a driveway? Or how about $5000 for your portion of repaving of Lakecliffe and your cul-de-sac?
That's about $15000 every 15 years or so. A $15000, 15 year mortgage, amortized at 5% would be $118.62 per month.
That would not pay for all the other maintenance or repairs, such as painting, landscaping, trees, ponds streams and lakes. Nor would it pay for sidewalks and patios, or snow shoveling, lighting, or other common areas items such as unusual exterior building repairs, carpeting. And let's not forget management, printing, postage, insurance and deductibles, and all those other expenses in our annual budget.
I find it amusing that there are references to FUPM on the web in which disgruntled owners complain about special assessments, for example $6000 for parking repairs. They apparently have those so called "normal" fees, which are inadequate for "normal" repairs and maintenance.
Unit owners have repeatedly told me that they have difficulty adjusting for unusual fee changes, for example, a $20 monthly increase.
Yet, that is exactly what happens when someone is given a special assessment. The unit owner either digs down deep, or goes into debt.
A $6000 special assessment for 10 years at 5% is $63.64 a month. Of course, I suppose I could take one of those credit card advances at 15%. That would "only" cost me $96.80 a month for 10 years.
I don't like fee increases. One of our board members stated "no special assessments, ever". I regret that only one has made that statement. Our treasurer is the only board member I trust at present when it comes to fees and assessments. None of the others have made that promise or commitment. So I cannot trust them in that area.
With all this bantering going on, the only people I see that are going to be happy are the realtors. They are just sitting back and watching us tear this community apart, to the point where we will all want to sell. Yea, I know some dimwit is going to say, how will the realtors sell, with so many units up for sale. They won't care, they can sit and wait, they aren't paying the mortgage, assessments or taxes. Bloggers, keep up the good work.
ReplyDeletePS: Thanks to all who took the time to read and respond to this blog.
ReplyDeleteTomorrow will be my 150th post here. I am planning something special in the week ahead.
To: 8:15 AM
ReplyDeleteYou are the only one that will be doing that because apparently that is the only thing you know how to do. As I have stated before, you are of the low class, unintelligent species.
April 14, 2010 9:05 AM, you aren't too bright either. Why do you acknowlege Anon 8:15? Just ignore him and he might go away.
ReplyDeleteApril 13, 2010 10:36 PM, your comment about putting nails in his tires is another dump comment. Didn't you ever pick up a nail in your tire after driving around a construction area, well I have, matter of fact a couple of times. And when I got to my car in the AM, sure as heck, it was flat, did I accuse my neighbors of doing this, nope.
ReplyDeleteLOL, someone finally calling out Norm on the supposed "nail in the tire" incident. Brilliant.
ReplyDeleteTo: 12:51 PM from 9:05 AM - I feel the same way about responding to nasty comments - but I had a weak moment. But, you know what, you did the same thing by telling me I am "not too bright either." So shame on you as well.
ReplyDeleteTo 4:38 PM and 6:45 PM - you should really know the facts before you make responses. Obviously, you do not.