When reviewing insurance appraisal reports for condo associations my colleagues and I often find reports authored and signed by companies or individuals who are not licensed appraisers in the State …
Category: Condo Association
The Drama of the Underfunded Association – How did we get here?
About 60% of our work portfolio of reserve studies turns out to be underfunded, about 50% of that is severely underfunded with an average funding of 15% and less. One …
Reserve Study Season is here!
Recently our books filled up with reserve studies quicker than ever, mostly because budget season is upon us with most condo associations starting their budget sessions in October. Recently our …
How Condominium Associations should select an Insurance Agent
Many of my clients still believe they should get as many bids as possible from insurance agents for their flood and wind coverage. During my site visits and inspections I …
How to calculate Coinsurance
This is one of the best examples to explain the importance of being correctly insured. If an HOA or condo association is underinsured as in the following example provided by …
Reserve Studies Demystified- Funding Models
Reserve Studies Demystified (Blog 4 of 4) Funding Models There are several funding models, however, the best funding model for an individual association depends on the tolerance for risk. And …
Reserve Studies Demystified- Ideal Reserves vs. Fully Funded
Reserve Studies Demystified (Blog 3 of 4) Ideal Reserves vs. Fully Funded My clients frequently ask me, “What really are ideal reserves and what does it mean when a component …
Reserve Studies- Budgeting Methods Demystified
Reserve Studies Demystified (Part 2 of 4) Non-Pooling or Pooling? Straight-Line or Cash Flow? That is the question! Pooling and non-pooling budget concepts are often misunderstood and misinterpreted. CPAs usually refer …
What is a Reserve Study?
Reserve Studies Demystified Part 1 of 4 Reserve Studies are a myth for many homeowner’s and even the condo and HOA boards most often have no idea if their community …