The CommunityPacalypse, whats unfolding in Condo HOA land

 In 2007 when #StateofCommunities was first established,  the conditions, issues, recourses  and government response to “problems in CIC land.”  was already lacking now 14 years later it’s so bad that we have been forced to restart this blog and expand on some of the new threats to the Communities, Insurance underwriters, Mortgage companies, Banks & connected Financial institutions and eventually the government entities: Fannie, Freddie, VA, HUD  and FHA so let’s estimated impacted total market. 

Common Interest Communities represent about 1/4 of the US housing market and 100 million collective US residents. There are over 15 trillions of dollars of community repairs that are not underway and may not be possible to start under the present course.

Acknowledging these number shows the scale and scope of the unresolved and often growing problems for tens of thousand of communities like SurfSide Condo in Florida which highlights the “Reserved Fund underfunded problem.”  Yet that is nothing to the money giants taking our communities and especially tokenize the ownership of them creating what they claim is oppourity, and that translates into higher cost of rent for the average citizens and the long-term viability of the community based upon the number of owner occupants reserve fund contributions special assessment contributions for all the investor owners like them that haven’t been paying their assessments.  Here’s the problem stated by one of the main creators of it. 

Let’s be clear, the housing stock never should have been allowed to be turned into some kind of disconnect asset class. Now we present #TheCommunityPacalypse which is what is happening as Hedge Funds that have turned the US Housing  into a bad crypto like housing is an asset scam! 

 It was first brought to our attention by a user on Tic Tok, talking about how these funds have stopped their investors from dumping these homes.

And within a week we saw Senator Marley has seen the light* and intruded the "End Hedge Fund Control of American Homes Act", if passed, the Act would ban hedge funds and private equity investors from owning large numbers of homes by establishing a $20,000 federal tax penalty for each single family home owned by a single company and its affiliates over 100 homes Link.  while this is an efforts it amounts to locking the barn-door after all the livestock left. 

* Underwriting of these communities precludes more than 15% investor owners which this flies in the face of it and literally makes a mockery turning homes into a crypto asset class, example a popular Fox News Host boost of owning 3000 homes, so the bill while well intended will not do anything to stop the problems that now will be forthcoming which; we’ll be blogging about here, so come back this is  just the tip of the iceberg. 

Village Green Cooperative is finally getting it's day in the Light.

If you're just because aware of the plight of the Blind unit owner in Prince Georges County that was evicted from his residence because of a disputed water bill then you're just getting started with Village Green.

Well this has been going on for a long time.  In fact back Aug 29th 2013 members of the community gather at a local elementary school to hear a presentation by WSSC on the refund that had recently been remitted back the community.

According to the representative of WSSC  at this meeting the rebate back the community was over 77 thousand dollars, yet unit owners like the one evicted didn't see a dime of it.



So what are some of the issue we know are happening.

Currently unit owners have to share the expenses of a three different water mains that come into their community from WSSC.  It seems that an out of state third party is responsible for maintaining a separate meter and from these they determine the billing and are responsible for sending them out and collecting the balances.

It's this relationship that is now being used to throw out on the street a number of unit owners not just the unit owner in the Channel 9 story.  

There's a couple of issues that come to mind right off the bat with regards to this situation.   The number one being that this third party is maintaining meters, which are regulated in Maryland by the Department of Agriculture.  The second being that often residents of this community have been able to prove that they have paid these bills however something between the Management Company (which there is much to talk about later) and the billing company they seem to be lost.  It is this area where unit owners have been denied the right to vote on the board in election and even worse being thrown out of their homes.

CK back we'll have video up from the WSSC meeting shortly as well as updates on what is happening at Village Green Mutual Homes Inc. In Prince Georges County, MD.

The Department of Housing and Urban Affairs recently returned 750 thousand (750,0000) from a the mortgage note they where holding and the unit owners are also in the dark as to what happened to this money and no one at HUD wants to talk about it let alone the board members that received the money.

GOP Rep Apologizes For Berating Park Ranger During Shutdown: 'I Regret How I Handled That'

I'd like to believe that the effort made on the internet about his including the Change.org campaign http://ApologizeRandy.com had some kind of impact of this glaring example of #TexasDumb #apologizeRandy
Read the Article at HuffingtonPost

Prince George's County, Md. Water Emergency Alert for CIC's

If you have not already heard Prince George County Maryland is facing a water emergency.

PRINCE GEORGE'S COUNTY, Md. (WUSA9) -- We have learned mandatory water restrictions will begin at 9 p.m. Tuesday in Prince George's County areas affected by a failing water main.

Officials say a significant portion of Prince George's County will be left without water for several days. The issue is due to a 54 inch water main that is beginning to fail and must be replaced.

 Issues of concern will be updated here as this develops.

1. Fire, there are loads of issues on this alone and should be number one concern see below.
2. Cooling stations where are they and how can CIC establish them.
3. Cooking how to without water and eventual food distribution
4. Emergency Preparedness what are other issues especially with elder or disabled residents
5. Businesses what is the impact, does lack of water stop CIC’s contractors from working
6. What is the role and responsibility of Community Managers and Insurance companies. co
   
   

   
   

   1. Fire.  Hot water heaters - LIMIT USE OF THIS WATER AS DAMAGE TO THE HEATER AND POTENTIAL FIRE HAZARD EXIST. Gas or Charcoal Grills outside should not be used at all. Residents and Community Manager need to discuss a Fire Safety Plan and how to manage communications.

   
   

   
   

   This is a developing story please check back for updates as they are come in. 
   
   
   
   
   
   

West, Texas Denied FEMA Aid To Rebuild After Fertilizer Plant Explosion

West, Texas Denied FEMA Aid To Rebuild After Fertilizer Plant Explosion

The mayor of West, Tommy Muska, told the AP that the town needs to repair roads, the damaged sewer system, and a school, which will cost $57 million. The price tag for the total property damages resulting from the explosion could reach $100 million.
Meanwhile, the plant itself was only insured for $1 million worth of damages. Texas doesn’t mandate the terms for insurance companies that offer policies to fertilizer plants and therefore doesn’t require them to have insurance that would cover the potential damage they could cause

How many Common Interest Communities are under insured?   Got a clubhouse, pool, roads & sidewalks  or other such common area elements is the full replacement value included in the communities policy?  Do you even know what insurance your condo or hoa has inplace?

Hurricane Season Starts This Weekend: Are You Prepared?

Hurricane Season Starts This Weekend: Are You Prepared?

Yes it was last week however the message is still the same.

Does your Common Interest Community have an Emergency Plan?

Does your manager or Board know what your local governments Emergency Plan?

If not it's time to start thinking about one.    Don't ya think....

Nor'easter: New York, New Jersey May Get Hit By Snow Storm Around Election Day

Many Digital Responders are working together on something called http://CrisisCampDC.us and across the globe via http://CrisisCommons.org You can help from where every you are and it's time to Help Earth.
Read the Article at HuffingtonPost

Attn Condo & HOA's managed by Columbia property manager Legacy Investment closes its doors

Something we started hearing about Monday night is now making it's way into the media and we believe there's a huge pile of rot that will be uncovered once investigators are able to dig into this situation.

According to Legacy’s website, which has been removed, the company launched in 2006 and managed more than 100 homeowner associations, 100 housing units and vacation properties. Baltimore Biz Journel 

This number 100 homeowner associations is the one that caught our eye.  If you think about the size and scope of this disaster with just the bank accounts alone the State of Maryland, these Common Interest Communities CIC, their members, banks and insurance companies are going to need a lot of help to sort this whole thing out.

The 1st thing we can say to CIC involved is to contact your Insurance underwriter.  As well we recommend that you contact the State of Maryland, (coming soon)

Please check back to see updates on this developing situation.

Republican Convention Could Be Shut Down Due To Hurricane

Two months ago I made a comment about the GOP convention being flooded out and that no flood insurance would be available because of a Paul Ryan meddling in unrelated District of Columbia political waters. Seems like blatant big government move from this GOPer and those that have gone along with him. Now everyone will pay for this lack of representation.



http://www.huffingtonpost.com/social/Nelson_Jacobsen/rand-paul-fetal-personhood-flood-insurance_n_1628128_164024475.html
Read the Article at HuffingtonPost

Adams Morgan Petition Wants D.C. To 'Stop Treating Record Stores And Vintage Stores Like Pawn Shops'

The DC Council is well on it's way to killing the last of the Record Shops just at a time when they are back as a thriving part of our community. Sign petition http://chn.ge/savedcrecordshops
Read the Article at HuffingtonPost

Chuck Brown, 'Godfather Of Go Go,' Hospitalized

Your music is Magic........Mr. Brwon, may you recover fast and fully.
Read the Article at HuffingtonPost

Record Store Day: Saving Independent Music Stores Since 2008

Record Store day is an awesome event and with the growth of the crowds and titles in this years line up ~expect to see the demand for vinyl to increase and the traffic in stores as well to revive --ONLY if the Independent releases are the focus. Having the Major's crowd out the very acts that keep releasing physical and made this day possible is a very valid point and IMHO RSD13 will be the start of HYPERLOCAL distribution.



I want to personally thank everyone that went out and bought "Music that Changes the World" and if your store didn't get it in time it will be there this week. Please keep going to stores they are a vital part of our community, culture and the impact that producing, distributing, retailing and once again exporting USMADEMUSIC is sure way to win the future in the 2nd Half of America
Read the Article at HuffingtonPost

Susan G. Komen Top Officials Resign As Backlash Gains Steam

Wow!!! I just looked into comment on Charity Navigator and it seems that the CEO is a Rommey CEO, meaning she is racking in the bucks over $500,000.0­0 As the founder of a nonprofit(­s) and son of a lifelong nonprofit dad I am sadden that this salary is not more of an issue.



"Nancy G. Brinker promised her dying sister, Susan G. Komen, she would do everything in her power to end breast cancer forever" ~Unless your poor and have to seek medical attention.



http://www­.charityna­vigator.or­g/index.cf­m?bay=sear­ch.summary­&orgid=450­9
Read the Article at HuffingtonPost

Chile Discrimination Against Maid, Felicita Pinto, Sets Off National Soul-Searching

OMG they wrote into the bylaws of the non stock corporatio­n that this was allowed. The lawyers for the developer need to be brought up before the Hague and any country that permits this needs to be questioned of their ability to sit on any humanitari­an commission­s, committees and let alone treaties they have signed. I hope no major NGO's have funding in this and if so they need to defund it.
Read the Article at HuffingtonPost

Maria Cantwell's Marital Status Used By GOP Opponent In Political Attack

""Maria Cantwell believes that the Plan B decision should be based on the best (available science)" said Cantwell campaign strategist Rose Kapolczyns­ki. "Washingto­n voters support {protectin­g} women's health. You don't need to be married to know that Baumgartne­r's extreme anti-choic­e position is out of touch.""



This is called a FRAME. The main point is that she uses (science) and that he will use {moral} code. Now this same moral code allows for the death penalty so don't think it has to be rational. That's the point there is no rational when the FRAME is view with a moral len's.



This FRAME both the left's use of (science) and the rights, which btw both left & right are FRAMES, use of {moral} or "principle­d" mandates to encode message to voters.



One works on conscious level and other on the subconscio­us; And, it don't take a genius to know which one works better.
Read the Article at HuffingtonPost

FHA May Require A Taxpayer Bailout By The End Of Next Year: Report

Blogged about this back in 2010 on State of Communitie­s: http://sta­teofcommun­ities.blog­spot.com/2­010/10/wha­t-percenta­ge-of-cond­ominim-nee­d-to.html And from what I have seen they FHA, Congress and the Obama Admin have only made it worse for themselves and for the housing market.
Read the Article at HuffingtonPost

Maryland Appellate Court Rules That Individual Unit Owners Have a Right of Action Against the Council of Unit Owners For Failing To File a Timely Suit Against the Developer For Defects In The Common Elements

Hillel Greenstein et al. vs. Council of Unit Owners of AvalonCourt Six Condominium, Inc. has been decided and the six clients seemly have won a decision to hold a board members personally liable for the specials assessments that his six clients don't want to share. This ruling is a major set back in many ways to Common Interest Communities "CIC" The attorney, Raymond D. Burke, is on record saying that he has in his own words.  

"often warned condominium councils about the consequences of failing to take timely legal action to protect the unit owners when there is evidence of construction defects in the common elements."

Well! I have been involved with CIC since 1988 and I don't recall once seeing Attorney Burke talking about that happens to communities that are given no help from the state, county or city government in their efforts to get developers to live up to their contracts, obligation and I would say moral responsibilities; however, I know the crowd where talking about about; so I'll save the lecture.

In this case a Condominium board is being help responsible to the do what inspectors, permitting offices and the government on all levels has been backing out of ~ Ensuring that the community is livable.

The vener that this subject is being plastered over with is nothing but that -vener and these board members are now being held to account. 

These communities often find themselves fighting with the developers by the time the 1st resident moves in and the developer is still in control of the meetings, voting and money. And, all to often these developers leave the community with no money, a completely unworkable budget and often don't hold a transition meeting to let the community know what is even happening. And this group of homeowners have to be do what......run a community as a professional board right out of the gate. 

Meanwhile Maryland politicians are right there with the developers sucking up all those contributions and screwing the people out of any representations.

If you have tried to get a meeting with any Maryland offices about the issues facing these boards you know that Maryland officials want nothing to do with CIC's We have tried to get several meeting with Albert Wynn's office for some communities in Prince Georges, MD and the staffer refused to set one up and said that each owner had to come in on their own. This is not an isolated issues with him as not one Maryland state of federal public servent has done ONE THING for CICs.

The really sorry part about this is that many CIC are handicapped because Maryland refuses to enforce it's Condo ACT and to the extent that it has a HOA act it is pretty much a hollow shell of protecting, considering there is no financial disclosure in HOA in Maryland.

Where is this attorney on the face that banks, Fannie, Freddy, FHA, HUD and the VA aren't paying assessments, making reserve funds contributions and forget about special assessments. In our office we get calls every week by someone that just moved into a CIC in Maryland and they have no documents, financial statement or even clue as to who's even on their association board.

Now the really stupid part about this is that these six owners have sued themselves and they will have to share in the cost of this as there is no president what so ever that says that they are excluded from any special assessment or legal action that impacts the whole community. I'll guess they don't realizes that the insurance company that was covering the community will more then likely be dropping their community from coverage when reconstruction is happening in a condominium.

So who is going to cover this community that this Attorney and his clients are now forcing something

So, Great news all around another attorney got paid and the community gets the bill.

Maryland Appellate Court Rules That Individual Unit Owners Have a Right of Action Against the Council of Unit Owners For Failing To File a Timely Suit Against the Developer For Defects In The Common Elements

Community Candidates: So we have launched the 1st probe into Candidates ...

Community Candidates: So we have launched the 1st probe into Candidates ...: "We are starting to ask candidates running for public office what their positions are with regards to a pularity of concerns and issues faci..."

There is no reason that your community should be on Social Media ~Right?

Since part of our chairman's Nelson Jacobsen, background involves a life time in emergency management and a new area called CrisisData he has been at the forefront of the social media citizen movement.

Specifically, This tread of using social media to communicate during a disaster is changing the whole world of emergency management.  Recently Nelson was part of a team of volunteers that assisted at the National Emergency Managers Association special workshop called SMEMCamp



This event allowed emergency managers "EM" to have access to social media practitioners who shared their experiences and knowledge in social media to help the EMs understand something that is completely overtaking their world.

More important to understand is that social media is 100 percent cloud based and this is really the forest behind the trees of twitter, facebook etc.  So yes what is popular is going to change and board's will have to learn to use new communications technology or skills and there is nothing else to do~  save to adapt.  

It should not be lost on boards and managers of Common Interest Communities that they need to adopt a social media strategy!  Not only because most of their members are already there; we know from recently disasters that citizens are going to turn to social media to communicate during them.

We have to wonder if the property management company in Georgetown, DC been on twitter would they would have seen the alerts that the DC government has posted. We saw them and changed our plans for the day.  They didn't and the outcome is a disaster

When your on social media it is interlinked and your emergency managers and national defense use these open system to look for what we call noise on the wire.

• For more information about CrisisData visit here. 
• To establish your community Twitter visit here

If you do one thing after reading this! We would advise that each CIC establish a twitter feed not only communicate with your membership -- it needs to be connected to you local government, utilities companies and emergency responders and you need to share this account with a couple of board members so what they can monitor and respond with it matters most in your community.

Here is a simple example of how to use Twitter during an emergency.

If your community is interested in Community Emergency Plans or how to establish a social media presence please contact. Hastatus, LLC follow @hastausllc or @intercommassoc

Real Time real-estate blog | The Palm Beach Post » Blog Archive » Dizengoff buys 65 Palm Beach condos in bulk deal

Real Time real-estate blog | The Palm Beach Post » Blog Archive » Dizengoff buys 65 Palm Beach condos in bulk deal: "Dizengoff-Trading Company has purchased the remaining 65 units at 2560 South Ocean Blvd. in Palm Beach for about $6.9 million in a cash."

Really, we are soooooo surprised.....