5 HOA Red Flags You Should Watch Out For

Look through the HOA’s reserve study to make sure that the reserves are properly funded. “Usually, if the HOA is 70 percent or more funded, they will be able to make all their repairs on time with enough cash flow,” says Scott Ford, president of residential real estate development consulting firm, California Builder Services. “If they’re less than 40 percent funded, walk away!” he warns. 

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