Tips for concerned condo residents.

The tragic collapse of the condominium building in Florida, and the resultant loss of many lives, has brought us the realization that this can happen here.

It is important that current condominium owners, and those considering buying a condo, understand fully the current physical condition of the building, and how well the Homeowner’s Association maintains and monitors the running of the property.

The HOA has a fiduciary duty to all of the association homeowners to know the condition of the working systems of the building, and to address the costs needed to keep the building in excellent repair. A wellmanaged HOA will set proper reserves to ensure money is available when repairs are needed.

Condo owners/buyers should carefully read all of the HOA documents available, including the minutes, which often illustrate how well the building is being managed, how concerns have been resolved and what issues have arisen for consideration.

It is also important to review and understand the budget. Are the reserves adequate to address current, future and unexpected repair needs? Do the monthly HOA dues seem adequate to support that reserve? Lower monthly HOA dues may not be necessarily something to celebrate.

What happened in Surfside, Florida is an unbelievable tragedy. I think we can all agree that we do not want to see this sort of thing happen ever again.

A 10year building warranty (Bill SB800) that was put into place in 2003 for condominiums and single family homes mandates that buildings come with this warranty. This bill set new rules and standards for new construction. It also requires that the builder provide information to the purchaser along with the purchase contract, giving the buyer information regarding, structural, soils, fire protection, plumbing, sewer and electrical.

The purpose of the building inspectors is to follow the construction process of building and make sure that the work is being done according to the current codes and architects plans. No cutting corners and doing things on the cheap.

Since the 1980s, building codes have become increasingly more stringent. Many times buyers do not do any inspections or have contingencies when buying in a new building, and they rely on a walkthrough to correct items within a certain time. Buyers may want to have a structural engineer look at the building or at least review the building plans with them when buying. I imagine the structural engineers are going to be in heavy demand so plan accordingly.

If you own a condo in a mid to highrise building, educating yourself about your home and becoming involved with homeowner association matters are key takeaway points from Florida’s tragedy. Engaging with neighbors or property management are good first steps, but there’s more you can do.

Concerned residents (and wouldbe buyers) should see if the HOA stays on top of maintenance by checking HOA meeting minutes to see if upkeep is discussed.

A key tool to keep residents updated about their homes is that California requires HOAs to conduct reserve studies every three years. Reserve studies will examine a given common area component’s remaining useful life to set regular and potential future special assessments, so there’s enough money to do required service or replacement before it’s too late. Reviewing physical inspection reports that are sometimes a part of these studies is important.

Commissioning property inspections, looking at past building permits and checking past reserve study documents will all help to educate, but Florida may spur more action as the tragedy may persuade HOAs, which tend to err on keeping dues lower, to focus and spend more on preventative maintenance so there are no repeats here.