Association boards must be vigilant to consistently enforce the association’s CCRs and bylaws. Inconsistency or looking the other way can create a defense of waiver or estoppel for the errant homeowner to use against the association in court. However, in Kneale v. Bonds 452 S.E.2d 840 (S.C. Ct. App. 1994), the South Carolina Court of…
FHA Issues Waiver on Leasing Restrictions
Leasing restrictions have been one area of the FHA condominium guidelines that has caused problems for associations seeking to get FHA approvals. CAI has brought this issue to FHA’s attention and has petitioned FHA to review these criteria. On March 18, 2011, FHA issued a waiver that will provide greater flexibility on leasing restrictions under the FHA condominium insurance program. This means that many condominium associations whose FHA approval was rejected due to rental restrictions may now qualify under the FHA waiver.
Pick your cliche: The cheap comes out expensive. You get what you pay for. If something sounds too good to be true, it is.
Any one of those could apply to the idea of allowing members to volunteer to perform association work, which sounds like a great idea for cash-strapped associations but has hidden dangers. Here’s what you need to know to protect your association from the downside of allowing members to take on community projects so that the association can save a buck.