Special Assessments and HOA Fees
Corona Estate Planning Attorney Joseph Hudack knows that members of the homeowners’ community are required to pay assessment fees every month. This doesn’t mean that they will just pay whatever the HOA decides to charge them. Homeowners have every right to question an increase in monthly HOA fees or why the HOA requires the special assessment. This can be a form of financial oversight so that the homeowners know where their money is being spent.
Homeowners are entitled to take formal action, but they will still be advised to continue paying their assessments. Please keep this in mind the HOA board has the right to file for a foreclosure to collect unpaid assessments or even place a lien on a delinquent homeowner’s property.
To prevent severe actions from both the association and homeowner, the board must tread lightly to increase HOA fees and levying the special assessments. Depending on the governing documents, HOAs might need to give sufficient notice to homeowners via certified mail. There may also be a maximum amount on how much you can increase HOA fees annually.
Additionally, board members should communicate the reasons for an increase adequately. They should provide the documents to support these reasons and let the homeowners know that this is for the benefit of the community.