While I applaud your attempt to clarify the reserve study and what it is, in reading your article and as a professional reserve study provider the blanket statement that most reserve studies cost $2500 is very misleading.

Our reserve specialist for HOA Services Group, LLC has done over 100 reserve studies in the last three years. It is unusual for a reserve study to cost less than $3,000 for all but a small & simple association. We do have a payment plan for small associations who do not have the resources to pay the entire cost up front.

Our reserve specialist spends an average of between 60 to 100 hours to put together a credible reserve study. That includes the time spent on site gathering data and assessing the condition of the components.

RE: Remaining Useful Live ZERO

Our specialist also has a section that addresses component items needing immediate corrective action for studies done by us.

We have done studies all over the Northwest and our goal is to give our clients a first class document which will enhance and maintain their community at a fair price. We meet with the board of directors prior to beginning our work and when we are done we deliver the finished reserve study and answer any questions the board may have. We also frequently meet with the association at large to explain the document and it’s impact on their investment and to answer questions.

Lastly, I wish people could follow our specialist around and see what kind of time and effort he puts into putting together a credible reserve study. I have and it is an exhaustive process, primarily because he feels it is incumbent on him to do the kind of study for all associations he would want done for an association he lived in.

Best Regards,
L. Law Broili
Operations Manager
HOA Services Group, LLC

We have $12k in the account, and I feel we need higher dues ($250/month currently). I know a study will back me up on that, but to get the study done cannot cost 1/4-1/5 of our balance. Kind of guarantees the study will say we are low, eh?

So, while I like the study requirement, and we could debate the “pay me now or pay me later” of affording a $2,500 study for 4 people, I would avoid having one unless I could get a cost on it more in-line with our size and means. After all, to me, paying too much for a study is just as stupid and wasteful as paying too much for a fence.

Thoughts?

I’m posting with a hard hat on this morning…long story…the whole house is in stitches. If I videoed all the time, it would be a sitcom.

The video I really want to do is the one from Saturday morning where I shopped for staging the Redmond townhome. I ran in and out of World Market, Pier 1 and Aaron Brothers. I run through the whole store quickly with Kim and say, I want THIS, THAT and THIS and THAT. Then I run into the next store while he’s checking out, and we start over again. 30 minutes to two car loads of staging “stuff” including two bar stools, that take a separate trip for pick up and drop off, while I’m staging at the townhome.

I’m so tired I had to do Sunday Night Stats on Monday Morning! At least I’m finally getting a haircut today before Broker’s Opens tomorrow and Wednesday. I’ll probably fall asleep in the chair over at Salon Bella in Bellevue. Someone can video THAT I haven’t had a haircut in months…I’m starting to put it up in a bun Yikees! Break for haircut has become a priority today.

I had a buyer interested in a condo where we didn’t get a copy of the Resale Cert for 2 weeks. The buyer then rejected the condo based on the info in the Resale Cert, mainly because they had that 2 weeks to obsess over the decision, and in that 2 week wait, decided that another condo might be better, so rejected the condo based on the RC. After a week, they calmed down, came back to condo # 1, but waiting “too long” can cause problems such as this.

Some condo HOA’s get the Resale Certs out really quickly, but sometimes there are reasons that doesn’t happen: vacations, illness, etc. Usually the HOA’s with management companies are much faster. But, making a buyer wait for critical information is a risk, it’s a consumption of time that often makes a buyer really antsy.

For a seller, I’d recommend ordering the RC right away, and be willing to pay for a new one, or any updates as needed. Whether it costs you $150 or $75 extra … you’re selling a pretty expensive product, and it’s best to be prepared.

And, from the listing agents’ point of view, I’d sure like to read that RC early, so I can advise my seller of potential areas of concern.