Earlier this week, AG Richard Blumenthal asked state legislators to form a review board that would deal with condo association complaints. Apparently, Blumenthal’s office has received hundreds of complaints from condo owners across the state that claim their association’s governing boards are blatantly violating state laws or their association’s bylaws. The board would be used to act as a mediator between condo unit owners and condo association officials.
The Courant’s Consumer Watchdog put in his $.02 today and supports most of Blumenthal’s recommendations. He also offers a few ideas of his own, based on his condo ownership experiences.
The first recommendation would “Require real estate agents to be certified after passing tests before they can be involved in condo transactions.”
The Connecticut real estate licensing classes cover condo sales as a portion of the curriculum. Additionally, training and mentoring in offices serves to reinforce this education. I am a big advocate of training and education and I wish that the Watchdog would offer some more depth into the certification he would like to see.
The second recommendation would “require home inspectors to be trained for condo inspections, assuring that not only the individual unit is checked but some kind of inspection is conducted of common areas.”
This suggestion has me a little troubled because it indicates that home inspectors are not looking at the common areas of condo communities. When you hire a home inspector for your condo, they should throughly inspect the interior of your unit, as well as the common areas. This includes your heating and cooling system, electrical box, roof of the building, exterior condition of the building, along with other accessible areas. If the inspector needs access to the common heating and cooling systems, your real estate agent should be able to arrange this with the management company.
A few other tips for condo buyers…
1. Please, please, please actually read the condo documents that you are provided. By state law, you have 5 days to review the association documents, which should include a copy of the budget. If you determine that the association is not for you, you have the right to rescind your contract. Try to do as much due diligence beforehand, but realize that the condo review period is a safety net for you.
2. If you have questions about the condo documents, ask your attorney, real estate agent, and the condo board or management company for clarification. Assume nothing!
3. See if you can speak with some current owners in the condo community. How do they feel about the condo board’s administration? You can find home owners by asking the condo board for contacts or simply waiting outside the building and asking people as they walk in. Yes, it’s a little stalker-ish, but it’s no different than talking to neighbors if you were considering buying a single family home.
4. Determine if there are any special assessments that are due or will be due soon. Will the seller pay them before the closing? Speaking with a condo board member should reveal any imminent major maintenance plans. The current owner should also disclose any special assessments. Your real estate agent can and should help you with this, along with the other suggestions above.