Making headlines this month was the story of an HOA being successfully sued for $20-Million Dollars because of a faulty swing set. The Nevada court jury agreed that the playground equipment was improperly maintained, and not inspected regularly.  When the swing set finally broke, it caused a serious head injury to one of the tenant’s children. This case highlights the importance of regular main...

Although the State of California Business and Professions Code 11010.4 releases developers from the Public Report requirements if all criteria are met, a Public Report is still considered a necessity by some. According to the B&P, a public report is not required when; Purchase money is deposited with escrow and proper releases and obtained; The development is not a common interest d...

A vote in November could provide a major change for the current California rent control laws and the housing crisis. Although the specifics aren’t completely clear, one thing is certain: Big changes are headed our way. The ballot initiative aims to repeal the Costa-Hawkins Rental Housing Act which places limits on rent control and prohibits “vacancy control.”  (For more info on Costa-Hawking cl...

When you need to get somewhere fast... Use the Hennessy Venom F5.  When you need to amend a public report fast... use the 635A. Public Reports must be received and read by every prospective buyer before entering into a contract to purchase. It is always in your best interest to have an expert consultant in your corner, making sure you have the proper documents required to move forward with your...

When a common interest subdivision includes common facilities or services that are provided to a limited number of lots or units as a special benefit available to some purchasers but not all, then a cost center should be created. It would be unreasonable to collect assessments from all members of the HOA if only a limited number of lots/units are benefitting; thus the creation of the “Cost Cent...

When a new development is being marketed at start-up, the initial HOA Operating Budget is created based on estimates and projections - the improvements are usually incomplete at the time the Budget is created. As a result, the as-built improvements may be slightly different than originally planned. For Real Estate professionals marketing the new development and for the developers themselves, it...

In large developments, phasing the sale outs is inevitable, to avoid exposure to HOA assessments.   Most likely, the first few phases will have the majority of the common area due to the structure of the subdivision map, causing the HOA to be “front-loaded.” This front-loading of amenities results in the first phases having unusually high HOA assessments – heavy common areas with few homes to spre...

Planning and implementing your marketing budget is crucial to the success of your business. Defining your financial projections, determining expected capital expenditures, and understanding current and future market conditions will be essential to your project’s success. We know that our clients have timelines and sales objectives to be met that are imperative to achieving their goals. Do you h...