Oh what a web we weave…. In the beginning the mass production of HOAs was designed to provide municipalities with free tax $$$. One of the deceptions most commonly used to convince housing consumers to buy into a residential association was that HOAs protected property values. In fact Declarations started with a statement that read ” The purpose of this association is to protect property values”. That was the first silk produced for the web. As time went on and the web grew bigger and thicker and more intricate, the problems and the issues multiplied. The flaws in the system were easier to identify and the country started trimming and tweaking the web they created. Their efforts not only failed but led to more problems and more complications. And the web continues to grow!
Deborah Goonan joins us On The Commons. Deborah is a homeowner advocate who learned all about the perils and problems in HOAs when she and her husband bought a house in one of Florida’s planned developments It wasn’t long before the warm and fuzzy feelings for their new home were marred by the flaws in the system. Since then she has been commenting on the various internet sites about the issues as well as hosting her own blog called Independent American Communities. As a result, she is up on the current stories and is frequently contacted by people who thought they bought into the American Dream but find themselves living the American nightmare. If we are going to nip and tuck away at this web, what are some of the major concerns that people have? We talk to Deborah about some of the latest stories out there and discover the 5 core areas that are causing the greatest heartburn for American homeowners. Will her list surprise you or will you agree with the issues homeowners find the most problematic? Tune in and find out.
Thanks, Shu, for a great discussion on some important issues.
Here is the link to the Chicago Tribune article referenced in the interview above.
http://www.chicagotribune.com/classified/realestate/ct-re-0508-condo-living-20160504-column.html
And additional commentary in my blog
https://independentamericancommunities.com/2016/03/18/what-if-hoa-assessments-were-tax-deductible/
“Go to court and prove it…where it started…these are the results…having the flu and only manage to stop the cough…but still feel miserable. In this country we’ve got a Cancer that is destroying millions of people…and we are only tinkling around the edges”.
The cure for this is to stop accepting that these “contracts we must agree to when we purchase a home” is perpetual. We should stop accepting the “automatic renewal” clauses and address the real question – “Do homeowners want to renew the HOA Corporation contract?”.
Until we somehow require the consumers to give their written consent to renew these “agreements”, allowing the automatic renewal concept to remain valid will perpetuate this disease.
The cure is as simple as finding “automatic renewal” to be a violation of our constitutional right “perpetuities shall never be allowed”.
The developers will continue allowing the HOA corporation lawyers to write the rules that these same lawyers will eventually profit from (and they rely on the perpetual nature of these contracts for their life-long income streams) and continue allowing these one-sided, automatically renewing “contracts” to continue in perpetuity, the cancer will grow and continue to oppress and suck the liberty out of our American Dreams.
The cure is as simple as inflicting a democratic VOTE on the question of “do we want to renew the HOA Corporate contract, or abandon it in favor of the City Residential Restrictions?”.
“I immigrated to the US because I wanted to have Freedom and live the American Dream, but I cannot get it here (in an HOA governed home it is dictatorships and authoritarianism just like the countries I left). ”
We are being duped!!! How long before we realize we must agree on one thing – we should not submit to automatic renewal of these conditions…PUT IT TO A VOTE!!!
I’ve finally decided on selling my HOA infected home after 16 years spent fighting this absolute despotism. I have abandoned all hope of solving this in my lifetime and feel like a fool for staying here fighting to get this fixed. It seemed simple at first…just require the present day owners to agree to renew else it should expire and go away. But after 16 years standing on this simple concept, I feel like an idiot that thinks Americans should VOTE on renewing contracts that inflict tyranny on our homestead properties. Hopefully the two HOA corporations that extort money from me for living here will keep their distance and leave me alone until I sell and get out of this hell hole. It has a million dollar view…on sale for one-third price $333,3333. You can have it funished, with the cat, dog, wife, children and even the kayaks!
Richard is absolutely 100% correct!
Unfortunately, in some of the housing (condos, lofts, co-ops) there cannot be an option to dissolve the HOA. The plumbing is all tied together with one water meter, heating and cooling is often connected, and driveways, roofs, and common areas are shared. Once you sign on the dotted line you just pushed yourself into the abyss of no return. It’s only in finding another sucker to buy your place that you can escape.
Richard your place sounds lovely but I’m one that would not take it as a gift simply because it is located in an HOA. I’d rather live in a travel trailer in an campground where I can leave if the neighbors stink!
Great show, Deborah and Shu.
Very good interview, thanks. In Utah the CAI wrote some bills for legislators to sponsor–our laws do not allow contracts to be “in perpetuity” BUT the CAI was able to get a special law that says for deed restrictions and HOAs you can have them in perpetuity! They are exempt from the perpetuity laws. Until we get a check on the vendors and their money, we are fighting an uphill battle.