condo association wants to do special assessment of 13,000 to pay of loan they took and didn't raise dues enough to cover, supposedly real close to going bankrupt. We only have 72 units in the association, 3 are in foreclosure which probably means won't be able to sell the place. don't know whether to just walk away and let the mortgage company take it or try to pull some equity out of it, if i can refinance and ride out the storm. we are in hampton roads , va. Any insight on what would be the best course to take to protect my investment. Really want to go after the past management company that thought raising the dues $ 35 a month would cover a million dollar loan, association doesn't have the money to put them out of business for malfeasance
first thing you do is edit your title so people can better decide whether to enter the thread
Kanosh
Senior Member - 1K
posted: Nov. 18, 2009 @ 5:31a
You should also tell us some basic facts, like how much you paid for said condo, what your mortgage is, and what information you've gotten from the board and what discussions you've had with the other resident/owners.
Have you considered secretly soliticiting a hostile takeover bid from a larger condo? I hear that works well on wall street.
jsf54
New Member
posted: Nov. 18, 2009 @ 12:03p
Sorry for the bad title, as you could see it was a long night. Initially paid 63.5K in 1994, had to refinance to buy out the ex and now owe 99K, $920 a month on 20 year loan. dues are 285 a month and he special assessment would be an additional 216 a month for 5 years or 13K. Have about 20K in credit card bills and make 50k a year. When refinanced two years ago place was appraised at 155k and has since dropped to 135k. The foreclosed condos are going anywhere from 58k to 89k.any advice based on what I've presented.
jsf54 said: Sorry for the bad title, as you could see it was a long night. Initially paid 63.5K in 1994, had to refinance to buy out the ex and now owe 99K, $920 a month on 20 year loan. dues are 285 a month and he special assessment would be an additional 216 a month for 5 years or 13K. Have about 20K in credit card bills and make 50k a year. When refinanced two years ago place was appraised at 155k and has since dropped to 135k. The foreclosed condos are going anywhere from 58k to 89k.any advice based on what I've presented.So they want an additional $216 per month, not $13k. If you need to draw equity (which you dont seem to have anyways) to cover the $216/month, your problems are much bigger than a special assessment. But I'm guessing that $20k credit card bill you get each month has already made that clear....
jsf54 said: has since dropped to 135k. The foreclosed condos are going anywhere from 58k to 89kAre you sure your place is worth 135k now?
Foreclosures dont commonly sell for 50% of actual market value in any real estate market I know of, unless the place is trashed with cracked foundation, holes in every wall, fire damage, mold, etc
germanpope said: first thing you do is edit your title so people can better decide whether to enter the thread
Best single-sentences response to an OP I've seen this week. Green!
JSF54, since you are new here, what Germanpope is suggesting is that you edit your original post's title to say something like "What to do about condo special assessment." Titles should have all of the information one needs to determine if the thread's subject will be of interest and to pull up the post if one does a title search for subjects of the same sort as the subject of your thread.
dcg9381
Senior Member - 1K
posted: Nov. 18, 2009 @ 4:52p
This is going to come down to what is the place actually worth... Like the above poster indicated, I don't know of foreclosures that sell for 50% off either. Can you sell for 120k? Shoot, if it's worth 135k, you could sell it for 106k (cover your selling expenses) - someone would get a good deal, and you wouldn't have the huge credit ding.
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