Friday, September 02, 2011

The Real Deal on HOAs - RE/MAX Baja Realty

The Real Deal on HOAs - RE/MAX Baja Realty
"The City Council is working on setting up a new department to coordinate the HOA of the different developments, to solve internal problems between residents, the HOA and the developer. Before the developer establishes the HOA the new department appointed by the City Council will check the regulations and then give its authorization to go ahead and establish it. Raúl Aragón, council member of Rosarito and businessman has made a lot of effort for this to happen; he is also assisting the Rosarito Realtors Association and obtaining a licensed requirement to practice real estate in the city of Rosarito." Gustavo Torres, President of AMPI, commented on the subject. The new department will have the obligations to create reorganization and modernizing programs, annual income and expense reports, administrative manuals, it will keep a statistical control, impose sanctions in case of violation of the law, inspections and notices when applicable, it will supervise the appointment of board members, security and management; it will also establish the budget for common expenses, types of payment and a reserve fund.
Thanks to Robert Rancansky for this interesting link. The writer doesn't understand why associations are proliferating and explains that all wrong, but this last paragraph is worth noting. This is in Baja California, Mexico, where apparently they have some concept of the need to keep track of association affairs. I guess Milton Friedman didn't get around to preaching his gospel there.

1 comment:

Anonymous said...

Ha ha ha. Did you see this gem?

"Another problem faced by prospective home purchasers is that they are commonly uninformed about the degree to which the use of their home or condo will be constrained by the association. This is the reason why he developer, seller or broker should make an effort to emphasize the potential benefits of the association while minimizing the disadvantages."

In other words, minimize any discussion to ensure that homeowners remain uninformed about the degree to which use of their home is constrained by the HOA corporation. Exactly what are the benefits they will hawk?

I know the HOA corporation that burdens my property keeps elephants out of the subdivision. I haven't seen any elephants roaming around the entire time I've lived there so the HOA must be doing a great job. By golly think how we might be overrun by elephants if the HOA wasn't there to keep them out.