Commission Says HOAs Are Not Properly Funding Reserves
Industry experts are sounding the alarm as many homeowner associations across the country continue to underfund their reserve accounts. A recent report highlights that boards often focus on keeping monthly dues low while failing to adequately plan for long-term capital expenses. The result is deferred maintenance, emergency repairs, and sudden special assessments that catch homeowners off guard. Professionals emphasize that reserve studies are only effective when boards actually follow their funding recommendations. Without disciplined planning and annual review, communities risk financial instability and loss of owner confidence.
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