In the News

Results of the most recent survey of Florida's community association members show no immediate end in sight to mounting foreclosure-related financial pressures that have resulted in increasing budgetary restraints and falling property values in community associations across that state.

Meeting Federal Housing Administration (FHA) requirements is important for your condominium association because doing so dramatically increases your condominiums' marketability. An increasing number of first-time homebuyers are pursuing FHA-insured mortgages for purchasing condominium units. And for communities that meet FHA requirements and obtain approval, these potential buyers can get loans that require down payments of only 3.5 percent and qualify for loans under less burdensome terms.

A family recently sued a neighbor over his secondhand cigarette smoke, which they claimed was wafting into their condo unit and causing various health problems. The $25,000 suit was filed in July, but a New York judge recently dismissed the neighbor's motion to dismiss the case.

A member in a Pennsylvania homeowner's association credits her quick-thinking neighbors and the proximity of a heart defibrillator device to her home for saving her life. On the night of the emergency, she felt faint and collapsed in her house. Her son called 911 and raced to neighbors while staying on the phone with a dispatcher.

A Philadelphia municipal judge recently ruled in favor of a condo association against a member who refused to pay his cable TV bills. The member claimed that the association violated the FCC ban on exclusive cable deals. He argued that the association gets bulk billing from Comcast, forcing all owners to pay for “basic” cable, whether they want it or not. The judge ruled that there was no FCC violation—that the association's cable contract doesn't prohibit a condo owner from getting another cable provider—although he would have to pay two cable bills.

The Fair Housing Act allows communities intended for those over 55 to discriminate against young potential renters. At least 80 percent of units must be occupied, it states, by a person older than 55.

One Florida condo association of a 55-and-over complex is trying to get rid of a couple, both of whom are 44. According to the board of directors, the rules are clear. The age restriction is on the application, and the governing documents say that the complex is an “adult community.”

A homeowners association in Davenport, Fla., has filed for Chapter 11 bankruptcy protection, mainly for an unpaid bill of more than $100,000 to the development's cable company.

The bankruptcy petition listed two creditors holding unsecured claims against the association: an outstanding debt of $105,305.45 owed to a cable company and $50,000 for legal services provided by an Orlando law firm.

Members at a Florida condominium community violated federal housing law by refusing to rent units to tenants with children, according to a lawsuit filed by Fair Housing Center of the Greater Palm Beaches.

The nonprofit group sued the association, the former president of the association, and a member. The member had placed an ad on craigslist offering her two-bedroom unit for rent. “Sorry no kids,” the ad read.

The National Pest Management Association is warning that abandoned homes can become breeding grounds for mosquitoes in the summer months. The NPMA says the increasing numbers of foreclosures in the last 12 months has heightened the potential for mosquito infestations, especially in and around foreclosed homes with backyard pools.

As the impact of the housing crisis ripples through the economy, condominium developers are scrambling to seek government approval for their condominium buildings in the hopes that obtaining the appropriate approval will help sell their units. Currently, condominiums represent the weakest segment of the housing market. According to the National Association of Realtors, condo sales in April fell 12.5 percent from a year ago, compared with a 3.6 percent decline in sales for single-family homes.