RESOLVING THE LEDGER
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See the full story · 3 sourcesHomeowner Association CA condo owners stunned by sudden $26,000 HOA fee for emergency roof assessment HOA warned residents that liens could be placed on properties if they don't pay
What would you do if your HOA suddenly sprang a $26,000 fee on you? That's what a group of condo owners is trying to fight back against in San Clemente. SAN CLEMENTE, Calif. -- Homeowners at a California condominium complex are pushing back against a more than $26,000 emergency assessment for roof replacements, saying the cost is placing a financial burden on residents and questioning whether the assessment was legally imposed.
For Beverly Albright, an 81-year-old resident in the Villa Moura complex, the assessment has created uncertainty about her future.
"I will have to move. And this was my... I've worked very hard to make it so that I could be here," Albright said.
Residents at the 198-unit complex said each homeowner received a $26,000 emergency assessment for new roofs.
Some neighbors said they believe many residents will struggle to pay the cost.
"They're not going to be able to afford this, and the board's response is to take out a loan, or take out equity of your house, or dip into your retirement, and I feel like that's just unacceptable," homeowner Megan Blanda said.
Homeowners said they are fighting the assessment by seeking to recall members of the homeowner's association board and by filing a claim alleging the board violated the law.
Noah Martin, a homeowner at Villa Moura, argued that the project does not qualify as an emergency under state regulations, and said residents should have been allowed to vote on how to address the roofing work.
"It didn't fit under the California Code of Regulations, 5610. Clearly, it was not an emergency; it's a deferred maintenance. And so, then we as members should have a vote on how we want to take care of the roofs," Martin said.
Residents also said they have been warned that liens could be placed on properties if owners do not pay the assessment.
"They're threatening, also, to put a lien on our property if we don't comply and we don't pay," a resident said during a gathering of homeowners.
Residents said the HOA board has known for several years that repairs would be needed to the tile roofs. They contend the roofs are not leaking and that only the underlayment needs replacement, not all of the tiles.
"What we would like to do is have multiple bids competitively submitted and actually negotiate those bids in the best interest of the homeowners. As the board should be doing with their fiduciary responsibilities to us," said homeowner Adam Dubin.
Michael Kushner, an attorney and HOA expert with MBK Chapman who is not involved in the dispute, said large special assessments have become more common and that homeowners generally must pay assessments even while challenging them.
"Homeowners have to pay those, even if they're completely illegal. They have to pay them and then dispute them. California law doesn't recognize the right of offsets, and you can't withhold payment," Kushner said.
According to residents, homeowners were given three payment options: pay the more than $26,000 assessment in full, split the amount into two payments, or add more than $2,000 to their monthly payment for six months and $400 thereafter.
The financial impact has left some residents uncertain about how they will cover the cost.
"Retired, single, what, lose my house? I wouldn't qualify for a loan to refinance. So where do you go?" Albright questioned.
Homeowners have created a GoFundMe page to help the residents who can't pay.
The HOA board said it could not comment because of ongoing legal matters. Residents said they are considering filing a lawsuit against the board.
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