Saturday Reporter-Herald October 30, 2010 E1
Real Estate Matters
www.homeandrealtyguide.com • Saturday, October 30, 2010 • Reporter-Herald
HOA is divided ILYCE GLINK TRIBUNE MEDIA SERVICES
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uestion: Our homeowner’s association has restrictive covenants that created two classes of homeowners. One class is those homeowners that that received their property directly from the developer, and the second class is all the other homeowners. The developer class has voting rights in the association that are superior to those of the others. For many years, all owners voted without regard to the classification until about a year ago when a new board of directors rewrote the documents. The new language provides that the nondeveloper owners can only vote as a bloc and no longer vote individually. For the change in the documents, the board of directors called a meeting in which they said that if there was no vote against the change they would consider that a vote in favor of the new change. I have read the Florida statute on homeowners’ associations and it seems that the board’s position is contrary to the laws in our state. I hired an attorney to come to the annual meeting after reviewing the original documents and the proposed changes, and his opinion was the same as mine. The board disregarded both my opinion and the attorney’s and went forward anyway. At this point, since I have no right to vote, I feel as though I shouldn’t have to pay monthly dues. What is your opinion? Am I required to pay dues if I have no vote? If I must pay, what is the least expensive way to go about proclaiming my rights and acting upon them? I do not want the hassle/expense of suing the association, and am looking to minimize any further legal fees. Can I as an individual petition a court for some sort of injunctive relief? Answer: The issue of paying your dues is separate and distinct from the actions of the board of the association. You should probably continue to pay your dues. Even if the actions of the board are illegal, you are still receiving services and benefits from the association, whether you have a vote or not. The association may have a pool, common areas, parking garage, gatehouse, security and many other expenses that are beneficial to you, and your monthly dues (or maintenance fees) cover those expenses. And while you don’t have a right to “vote,” you probably still have a duty to pay these fees. Even if you’re not looking for a I See Glink /Page E4
Numbers Don’t Lie Low interest rates can save a substantial amount PAID ADVERTORIAL
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umbers very rarely lie. In fact, they most often always do not. One significant number to note is 47. That was the percentage of all home buyers last year that were considered a “first-time homebuyer,” according to the National Association of Realtors (NAR). The number 8,000 was very important to that 47 percent — as that was the maximum amount allowed for these firsttime homebuyers to claim on their income tax returns this year. But do you know what number is even more powerful than 8,000? How about 43,235? Or even better — 77,507? Those two numbers are what some homebuyers could be saving instead of just $8,000. Since the expiration of the first-time and repeat homebuyer tax credits earlier this year, interest rates have been steadily declining ever since. David Powell, the managing broker of the RE/MAX Alliance office in Loveland said that while he feels the tax credit had a notable impact on home sales in the last year, the lower rates are really what buyers should be considering now. “I think that the tax credit initially was a great way to spark some interest
in these younger first-time buyers,” Powell said. “However, a lot of people now are overlooking the fact that rates are much lower now than they were during the tax credit and that is really what people need to capitalize on.” According to data from Colorado Mortgage Alliance’s home mortgage consultant, Gloria Elijah, it was very common for rates to be around 5.5 percent earlier this year when the tax credit was still in effect. In the past month, rates have been more than 1 percent lower since the spring — around 4.125 percent. And that extra 1.375 percent can go a long way. Take, for example, a loan for $150,000. While you would only save an extra $84.26 per monthly payment initially with the lower rate — over the life of a 30-year loan, you would actually end up saving $43,235.60. Or how about a $200,000
“Now, with these lower rates, some of those homes that were just outside of the price range six months ago can now be considered.” — David Powell, managing broker of RE/MAX Alliance in Loveland
loan: initially, monthly payments are decreased by $97.86; with a grand total of $77,507.02 in savings after 30 years. Once again, the numbers don’t lie. Powell added that potential buyers should talk to a home mortgage consultant to determine their best options for what is available to them. “The great thing about these lower rates is that some buyers maybe could not have qualified to purchase a certain home six months ago because their monthly payment was going to be too high. Now, with these lower rates, some of those homes that were just outside of the price range six months ago can now be considered,” he said. Powell also said that RE/MAX Alliance’s affiliated service, Colorado Mortgage Alliance, has locations all along the Front Range and can help buyers with all types of financing. From new home purchases, to refinancing, new construction, or home equity lines, talking with a home mortgage consultant from Colorado Mortgage Alliance can help answer all your questions.
Inside this week’s Home & Real Estate Real Estate Transactions Listings of recently sold properties along the Front Range
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Property of the Week 530 E. 13th St., Loveland — three beds, two baths, $154,500
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Featured Home Plan Charleston is bright, open countr y-style home
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