Page 9 - New England Condominium June 2022

NEWENGLANDCONDO.COM NEW ENGLAND CONDOMINIUM -JUNE 2022 9 impact other units, or the building’s shared shareholder has to fix it—and foot the bill. rules and lifestyle conventions in their new ments. “They should understand the rules elements, including wiring, plumbing, or Not understanding the distinction between communities, but of the documents gov- infrastructure. Staszczak says that another major is- sue that’s especially common in condo- minium associations is owners not really disputes between residents, boards, and ing up to purchase,” he says, “at contract, better education at the purchase level with understanding percentage ownership and property managers. common areas. “Percentage of ownership seems to be a major source of confusion lack of understanding of budgets. “Residents torney, the attorneys should make sure the for new owners,” he says. The idea that the may not understand how budgets are built,” buyer is reading them. Savvy buyers should ciations have a website and \\\[make their\\\] more space you have, the more percent- age share you have—and hence the higher they don’t understand your monthly assessment—escapes many. where their monthly “They want to know why different residents maintenance goes, or pay different monthly assessments, because the difference between they don’t understand percentage owner- ship and how that affects them.” When it comes to common areas or el- ements, most new owners just think of a often don’t understand community room, an in-house gym, or what type of insurance garden-style courtyard—but the building’s they themselves need. infrastructure, including façade and roof, Renter’s insurance is boiler and HVAC equipment, plumbing not good enough \\\[for a and electrical systems, as well as lobbies, condo or co-op\\\]. They hallways, and storage areas are also com- mon elements, and as such are maintained co-op insurance. Renter’s doesn’t cover in- and repaired using funds from residents’ dividual unit owner responsibility for com- monthly fees to the condo association or mon areas in an insurance claim.” co-op. A more complicated example is a clogged sink. If the clog is in a portion of pipe in- side the wall, the co-op or condo owns it, ops and condos, HOAs, and over-55 com- and therefore has to repair it, and pay for munities. Younger buyers upgrading from their unit included a parking spot. the repair. If the clogged section of pipe is rentals and older buyers downsizing from inside an individual unit, the unit owner or private homes are often ignorant of not only ers should be required to read their docu- private and common elements, and how erning those communities. that distinction determines who’s respon- sible for what is at the root of a great many that can help correct the problem. “Lead- Commensurate with this problem is a the association’s attorney to the buyer’s at- says Sprudzs, “and so types of line items, like fixed vs. variable costs. First-time owners also need \\\[homeowners or\\\] How Common is the Problem? In a word, pervasive. The problem of parking”—which would be a nasty shock if who specializes in co-ops and condos—not owner and shareholder ignorance spans co- Staszczak has a few recommendations he loves the idea of requiring buyers to take as documents start coming through from realtors, attorneys, and providing a printed also request and governing documents available online. The read through the buyer can go there to learn about the docu- minutes of past ments and what they contain.” She says that board meetings, which are available familiar with the specific community and to them, to under- stand the commu- nity they’re buying Buyers often assume things without asking into and how it questions. New owners will ask me, ‘Where runs. There are lots do I get my keys?’ You get them at closing, of small details a from the broker, not like in a rental situa- buyer should know tion. And if you need to change the locks, that are found in you call a locksmith—not the association.” these documents. You should know right professionals is “another factor before if you have an assigned parking space or going to contract that can make a big dif- if they’re separately deeded, for instance. ference—brokers in particular. Use a broker If it’s the latter, and the buyer didn’t buy a who has a strong background in how a co- space along with their unit, they don’t have op or condo operates. Also use an attorney part of the reason a buyer chose a particu- lar building or HOA was that they thought For his part, Wolf believes new own- and regulations in the community when they commit to buy,” he says, adding that a class but, “that’s not realistic—but having guide would be helpful.” Sprudzs adds that “some condo asso- “it’s also important to have a realtor who is community living in general—not one who is only familiar with single-family homes. Staszczak agrees that working with the just a real estate attorney.” The Board’s Role When faced with questions (or com- “A lot of owners don’t realize that the board makes policy and \\\[managers\\\] then administer their decisions.” — Scott Wolf continued on page 14