Working with older HOA and Condominium communities carries significant challenges as we are generally working from a position that was created from many years of inadequate budgeting. A community may have gone many years or even decades of underfunding the reserve account only to finally find themselves in a position where the true financial position of the reserve account is apparent.

FHA has made some changes to the approval of condominium communities. There is now a way for approval for communities with as low as 35% owner occupancy. 

New Boards will often bring new ideas and opinions. These can be both beneficial and adverse. It is very important for Boards to take their time in evaluating their decisions for the long term budgeting projections for common area expenses. Seemingly "minor" changes in how things are being treated and paid for (Operating versus Reserve) can have a dramatic impact on the longer term financial position of the community and its members. 

Here are samples of reserve studies for HOA & Condominium Associations as well as for Organizations like churches / worship facilities and museums. These comprehensive reserve study reports are excellent budgeting tools and typically will pay for themselves in a short period of time.

Reserve studies can be an extremely valuable tool to those in the know. Those that are not knowledgeable about the reports or the process but still question why a community should have one are often giving advice beyond their scope of expertise only with the hope of saving a little money. Typically this bad advice leads to much costlier decisions.