If Forest Hills condos are on your radar this spring, there is one “special” thing to consider. Before you snag or sell a condo, you’ll need to be well-informed about special assessments.
Maybe you’ve heard murmurs about special assessments but never really paid attention because they didn’t apply to you. Perhaps this is all new information! In any case, we are going to clear your confusion about special assessments in Forest Hills condos. Most importantly, we will explain how these charges might impact your real estate transaction.
What Is a Special Assessment?
A special assessment is an amount of money billed to HOA members for large-scale or unexpected repairs or renovations. In some cases, a special assessment is used to bulk up an underfunded reserve account.
Needless to say, special assessments elicit grumbles and groans from HOA members. While you can protest a special assessment, your objections won’t hold much weight if the assessment is intended for a project that maintains residents’ health and safety.
How Does a Special Assessment Affect a Real Estate Transaction?
If you are buying or selling a condo that has a special assessment on the horizon, there are a few things you should know. Here are the biggies:
- If you are listing a condo in a building with an upcoming special assessment, you must disclose this to potential buyers.
- Whether you are buying or selling a condo with an impending special assessment, you’ll need to negotiate who pays.
- If one of the Forest Hills condos you are interested in has a special assessment, review the HOAs financial history to see if this is a common occurrence.
- Some special assessments are tacked on to the monthly HOA fee until the cost is paid. Others are a lump-sum payment. If you are purchasing Forest Hills condos, find out how their HOAs manage special assessments.
Special assessments are worth considering, but they are not a deal-breaker in your real estate transaction! If you are thinking about buying or selling Forest Hills condos, connect with Forest Hills Realty today to learn more.