Condo Assessments

[Alan]

[Matthew]

[wreckingbull]

[femto]

[mike2]

[wreckingbull]

[RottedOak]

[matt]

[redmondjp]

This doesn't surprise me at all. I've lost track of all of the condo exterior retrofits that I've seen done over the past 10 years (yes, bingo, water damage).

What continues to amaze me is the just plain stupid design and shoddy construction used in these buildings (most new houses too) which most often leads to water damage in 5-15 years. Lots of these 'sins' aren't terribly serious if the annual rainfall is minimal (ie eastern WA, the desert SW), but around here, we all know it's a different story most of the year. Let's review:

- Multi-story units (unavoidable, but leaves lots of siding exposed to rain)
- Little to no roof overhang (not avoidable, but see above)
- Poor design/construction of exerior walls (lots of horizontal surfaces/seams where water can accumulate and also get inside the wall)
- Poor choice of construction materials (chipboard/osb vs. real weather-rated plywood, $1/tube caulks vs. $5/tube, etc) and lack of moisture prevention methods such as PROPERLY installed exterior wraps (eg Tyvek)
- Flat roofs, roofs with insufficient slope, and/or goofy extra-complicated roof designs with many valleys, flashings, skylights, fireplace vents and other likely areas for potential leaks
- The one-molecule-thick layer of 'paint' that is hastily sprayed on, almost as an afterthought, onto the cheap siding. This is going to protect the wood how? I drive around and look at new construction where the siding is just screaming out "(re)PAINT ME". From a 50-ft. drive-by you can see how paint-starved the surface is, with the vertical lines of the studs clearly visible, like the ribs of an anorexic celebrity.
- Outdoor shopping malls (Redmond Town Center) in a rainy place like Seattle (not related, or IS IT???)

While on the Big Island in Hawaii recently, I was looking at some new homes being built and to my amazement, ALL exterior (siding and roof) sheathing was plywood. I don't know if this was due to a code requirement related to the level of humidity there, or maybe just custom-built homes by a top-notch builder. Sure it costs a few hundred dollars more on the front end. But could help to avoid those nasty assessments later!

How many of today's 'savvy' condo buyers really bother to look beyond the tile floors and granite countertops to see what they are buying? But even worse, once the building has been completed, how does one go about getting any data on the construction details? Compare this to the amount of data available online for just about every consumer item from a digital camera to a new car. Too bad this same kind of information isn't readily available for the biggest purchase of one's life!

[finance]

Our building was constructed in 2001 and converted in 2006 (originally built as condos...but the economy wasnt so hot in Oct/Nov of 2001, so they rented them as apts).

I am currently the Treasurer and will have over $300,000 in reserves by the end of the year. We are thinking of installing a 15 person hot tub on the roof (~$25,000 for everything). At this time ~22% of our HOA Dues go into reserves and run a pretty tight ship. Our maintenance guy also used to live here and does an amazing job!

[wreckingbull]

Finance,

300K does not even get the contractor started on a major moisture intrusion problem (which RJP points out, happens more than you would think.) That amount probably handles legal, (it is usally worth it to go after the builder first), architectural, and engineering services, but none of the actual repair. That being said, I hope you never have to tap into it and can build hot-tubs in every elevator lobby.

By the way, one thing I learned from my brother is that as soon as you claim something like this on a Condo's policy, you are dropped at the next renewal. No other insurance company will touch you with a 10-foot pole. You must then find a 'high-risk' insurer (read Tony Soprano type) who triples your rates.

As I said before, not my cup of tea. I prefer something I can fix myself.

[mike2]

[perfectfire]

What the heck is an assessment? It doesn't sound very good. Another reason not to jump on the condo bandwagon?

-Joel

[EconE]

[Lake Hills Renter]