Molly Foley-Healy

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As you have probably figured out by now, I follow HOA headlines from across the country. Yesterday, a story reported by WFAA.com really caught my eye and not because there is a dispute in a Dallas area HOA about how funds are being expended by the association. Unfortunately, disputes of this ilk aren’t all that uncommon. What caught my eye is the level to which the anger has escalated. Residents have allegely been receiving threatening letters, have been physically threatened in the community and one resident evidently got so out of control that he was tased by local law enforcement. 

Based upon what I can piece together from the story, there are some real questions about how funds are being expended and accounted for by the association. There are also allegations of impropriety by directors. I have no idea whether there is any truth to these allegations. However, at least in Colorado, there are constructive ways to deal with this scenario. Continue Reading Dial It Back Before You Get Tased!

For those of you who love to bake, you know that carefully following a recipe to bake the perfect loaf of bread is a must. While I’m not a plumber, I suspect these fearless folks don’t leave home without their trusty plungers!  For those of you who serve on the board of directors of your homeowners’ association (“HOA”), you know that your tools of the trade are the governing documents of your association. Right?!

As a director for your HOA, you have the fiduciary duty to comply with and enforce the governing documents of your association. How can you fulfill this duty if you aren’t familiar with or don’t have your association’s governing documents available at board meetings? The short answer is – you can’t. However, it’s never too late to get prepared to govern! Here are the documents for your HOA you should locate, review, put in a binder and take to meetings:Continue Reading Are you a plumber without a plunger?

I just returned from an excellent training provided by the U.S. Department of Housing and Urban Development (“HUD”) on the new and revised requirements for FHA condominium project approval found in the Condominium Project Approval and Processing Guide.

The 800 pound guerilla in the room was the new Project Certification requirement. Beginning on August 31, 2011, any application for a new certification or recertification submitted to HUD for FHA approval requires the condominium association, or an agent of the association, to sign the Project Certification which says the following:Continue Reading HUD Commits to Revisit Provisions of the FHA Project Certification

 Here’s an update from CAI National on CAI’s lobbying efforts relating to FHA’s role in establishing criteria for condominium associations to become approved for FHA-backed loans: 

"The House Financial Services Committee’s Subcommittee on Insurance, Housing and Community Opportunity hosted a hearing on September 8, examining the role of FHA in the mortgage markets. Acting FHA …

Summer is officially behind us which means HOA budget season is in full swing. Given the tough economic times, some HOA boards have understandably been reluctant to increase assessments over the past few years. Others have relied upon unrealistic budget projections to rationalize keeping assessment levels steady or even decreasing them. Some associations have deferred critical maintenance or relied upon “borrowing” from reserves to cover normal operating expenses.Continue Reading Tough Budgeting Decisions: Are You Ready to Make Them or Hear Them?

The Wall Street Journal has just reported that the Federal Housing Finance Agency ("FHFA") has filed "lawsuits against 17 of the nation’s largest banks over soured mortgage bonds, aiming to recoup billions of dollars in losses from failed investments."  The lawsuits focus upon securities "based on subprime and other risky loans that were originated by mortgage companies…

EcoSalon republished a great story written by Lindsey Anna Toleda entitled Seeing Red (When the Homeowners Association Wants To See White). It’s a well written piece about the importance that heritage, images from their travels and color plays in lives of Lindsey Toleda and her husband.

Lindsey and her spouse live in a homeowners’ association (“HOA”) and really wanted a red front door. She wrote:

Continue Reading I LOVE Color – But My HOA Doesn’t . . .

On Wednesday, the Colorado Division of Real Estate distributed the following communication relating to HOA Registrations: 

“One of the purposes of HOA registration is to provide the Colorado consumers with basic information about HOA’s, including their physical address and contact information for the HOA. It is important to remember that when you register your HOA…

Have you ever attended or participated in an HOA board meeting that could be best described as an unproductive hostage crisis? You know what I’m talking about! These meetings last literally for hours with very few decisions being made. As a director, you really want to sneak out the back door but understand it’s your duty to participate in the governance of your community. These meetings reach a critical point when directors are found staring aimlessly into space or begin drooling with their eyes rolled back in their heads. 

Here are a few tips for just saying NO to these painful and unproductive meetings:Continue Reading Just Say NO to Unproductive HOA Board Meetings!

Bloomberg.com has just reported on a story where some homeowners’ associations (“HOAs”) in Florida have taken action to force banks to proceed with foreclosing on seriously delinquent mortgages or risk losing their interest in the property. In one case, JPMorgan lost its claim to a mortgage when a court found the mortgage was more than four years delinquent.

Unfortunately, it is not uncommon for some banks to proceed slowly with foreclosures in Colorado. Interestingly, major national banks seem to be particularly adept at putting off foreclosure sales and even withdrawing the foreclosure action only to re-file at a later date.   Continue Reading HOAs Forcing Banks to Pursue Foreclosures