All Forum Posts by: Jeff S.

In future years’ budgets, the association should consider budgeting for an Operating Contingency (funds not earmarked for any specific expense) or should consider creating a line item specifically to fund Prior Year Equity in order to bring the balance into the 10-20% range.

If the board doesn't know what it is doing financially then they need a management company that does along with an accountant that understands how HOA's work. An outside treasurer can be hired to handle the finances. The HOA also needs a reserve study that would spell out what the ideal amount should go into reserves. HOA's rarely fund their reserve accounts 100% so as a matter of practice any overage in the operating account would be well used to fund reserves as to not have higher dues for reserves the following year. These things are spelled out in open board meetings where all members are welcome to attend and/or get on committees to better understand how things work.

@Victor Saumarez there is no such thing as a budget surplus with an HOA. That would be like saying the new buyer owes the seller money put in the reserve account. People think that way too. Any discrepancy over or under is dealt with the following year when the annual budget is adjusted.

@Max Emory would you accept a profit and loss statement from an old desktop for taxes instead of requiring someone to pay for QuickBooks?

@Max Emory do you require your clients to use QuickBooks online and how about those with a small portfolio? The increasing expense is a little unruly.

@Mara Hayes you should be able to get your questions answered by any qualified loan officer. This is not a financial planning question but a simple can you afford to buy a home and how much can you afford if you can buy.

You might have better luck posting in the home buying section of this site as this personal finance portion of BP doesn't get much attention.

@Don Konipol

Did this. Had to hustle and be creative to start many years ago.

 5. Investing 100% of your liquid assets as a down payment and having no reserves to carry you through the rough patches.

 

@Vaughan Moody if you make a payment every other week you will make 13 payments in a year so one extra payment. You can also add 1/12th of a payment each month and accomplish the same thing. Bimonthly is not the same thing as every other week. Bimonthly might make a difference if your bank bothers to calculate it that way but I doubt you will notice a difference.

@Arie Guerra you have a lot of personal information here open to the public at large. I suggest you be very careful with people you meet online. 

What kind of high fees are you talking about with wealth management? This is a good question that people on here should be able to give you ideas about what seems appropriate and what would seem excessive. And you are right most money manager types won't advise you to hold RE because that is out of their control and they cannot collect fees under management. 

The rest of your concerns can be better addressed by others here on BP. Good luck.

@Corbin H. my last sewer line replacement was $5,000.

Go out in the street and see if there has been any road repair work done like a patch of some sort. I had sewer backing up into a basement and sure enough the city had done work with heavy equipment and crushed the old tile line. When that was pointed out to them they dugit up and fixed it. That was $500 to Sewer Rats, no scope, nothing but knowledge.

@Chris Seveney and most older housing providers I am talking with have kids who helped paint and mow and clean when they were young and now have good jobs and want nothing to do with rentals. With the increasing government interference these older types are discouraged and are just selling and either going into DST's or just plan on selling them slowly as they age out. Not a bad place to be actually but as far as passing on the business doubtful the kids will work their fingers to the bone as their parents did and will just let it slip away and spend on whatever.