MASSIVE Surprise Expenses Coming For Condo Owners
ฝัง
- เผยแพร่เมื่อ 29 มิ.ย. 2024
- If you are looking to buy a condo in the near future, I caution you, especially if you are looking in Florida. Beginning January of 2025 all Florida condos will be required by state law to have fully funded reserves which is something MANY condos do not do at the moment, that will likely lead to massive sales and delinquencies.
Need a Realtor? homeandmoney.com/michael/
======
Like My Sunglasses? Get a Pair ebay.us/PhTVOG
======
I offer 1 on 1 calls, book one if you'd like!
michaelbordenaro.com/book-ser...
======
My Filming and Editing Equipment
michaelbordenaro.com/my-youtu...
======
Sign Up for My Email list and Get Weekly Video Updates in Your Inbox!
bit.ly/MBreminders
======
Get Cash Back on ALL your Internet Purchases!
www.rakuten.com/r/NIRVPL2?eei...
Articles Mentioned in the Video
apple.news/A54OBUT8OTOOacPWwL...
apple.news/A2HCB8G4tR1SzVQZin...
apple.news/Ai13a2MEJQmeY_v1IK...
apple.news/AdchkbzwQSl-6tOFXA...
apple.news/A7kpUv-1mQKaPezCP1...
apple.news/A5C7k0UbNS9qoO4JH5...
apple.news/AsSVq7NUcSEuCYrHTM...
FTC Legal Disclaimer - Some links found in the description box of my videos may be affiliate links, meaning I will make commission on sales you make through my link. This is at no extra cost to you to use my links/codes, it's just one more way to support me and my channel! :) - บันเทิง
Mobile Home Owners The New HOMELESS of America th-cam.com/video/2JuERSd3DBk/w-d-xo.html
just watched it. enjoy your daily walks , talk
What a retirement friendly state that was 🪠🪠.HOA work well for condominiums due to maintenance and up keeping cost , but it's an extra money pit for residential single home areas. In my neighborhood of 400 homes build in 2002 we don't have HOA, and there have not been any reasons or issues that could justify implementing an extra money pit system like that.
@@osuave7811 In my opinion, it’s a scam. I would absolutely never, ever buy a single family home that had an HOA.
It's imperative to point out fact that EV (none solar system owners) charge their EVs during super off pick hours late at night when there is less demand on the grid. It just a thought. Keep up the good work Michael.
@@j4513 Point well taken! That is one of the reasons I have not made that move.
My motto: No lot rent, No HOA, No CDD, no High homeowners Insurance, period!!! There are condos in Naples, that every time a unit sells, the new buyers have to pay a $60,000 fee to the country club. Then they have to spend $2,000 a month on club meals, then a huge HOA, and it's on and on. That is crazy to me.
Not really. I don't think your looking at the full picture of just how much money Obama and Trump spent in 12 years 🤔 20 trillion in government spending is alot of money. Naples is really cheap when you start thinking about 20 trillion $$$
@@kdwindowcleaning why would it matter which coast... The insurance co is state based
I think you'll be able to avoid all of those except home owners insurance & property taxes. There's no getting around insurance and taxes, unfortunately.
@@eturn23 taxes can be planned in FL thru homestead... Insurance is not ...unless u pay cash n want to gamble. U have to buy brand new up to date building codes then your insurance is fine
Don't live in a Condo Association then or almost new developments in Florida.
“You’ll own nothing and be happy” All by design!
That is one long definition for 'slavery.'
@@godofwar4276 Know thy enemy and their war chant!
Globalist elites trying to run the world like the CCP.
Converting to electric stove will need NEW LINES FROM THE POLE, new service box, 220 power, lines to the stove, permits, inspections. You ALSO may need to UPGRADE to new current elec code which may need to REVIEW THE ENTIRE HOUSE PLUS they are not telling you that part of this project will be to also electrify the heat and hot water AND RE-INSULATE THE HOUSE - EASY 5K - 100K. SO now you have to sell the house to BLACKROCK and move into a FEMA FUN CAMP - ENJOY
Must fight evil WEF
For 2023, it’s hard to nail down specific predictions for the housing market is because it’s not yet clear how quickly or how much the Federal Reserve can bring down inflation and borrowing costs without tanking buyer demand for everything from homes to cars.
@Craig Daniels Given current recession pressures, it is unlikely that the stock will yield substantial returns in the near term. However, it may be a suitable investment opportunity. I will monitor market conditions and consider purchasing when there is an improvement in the relevant economic indicators, any idea which stocks this may be?
@Craig Daniels You are right! I diversified my 450K portfolio across various market with the aid of an investment coach, I have been able to generate a little bit above 750k in net profit within 2 years across high dividend yield stocks, ETF and bonds.
@@tatianastarcic How can I reach out to this coach? because I'm seeking for a more effective investment approach How good is this person at portfolio diversification, particularly with regard to digital assets?
@@richardhudson1243 Having a counselor is essential for portfolio diversification. My advisor is Melissa Scott Glazner who is easily searchable and has extensive knowledge of the financial markets.
Our economy is 99% debt instruments, and corporate business model is to use borrowed money (debt instruments) for everything they do, the “inflation fighting” hurts citizens, as business passes the higher cost of borrowing onto the backs of citizens (those with bodies to shelter, feed, clothe, keep warm, they call consumers, a commodity term). Their creepiness has infiltrated government that no longer sees us as citizens with rights, just consumers to be used.
That's why we sold our very cheap 2 bd south NJ condo in 2020 cash for $71,000 that we purchased with cash in 2005 for $55,000. We realized after the fact the HOA was broken! Only $10,000 in reserves for 10 old 1980s buildings with 150 units & you can't get a mortgage only cash HOA doubled. Never again any HOA!
I’m on my HOA board for the last 15 years. Fees went up $30/mo after 2 years of staying the same. I buy our pool furniture on sale & get reimbursed. We keep our expenses down. I review any estimates for any electrical/plumbing issues. Make sure sprinklers are shut off when it rains. Now $310/S. Cal
$310 is excellent for S. Cal. How many square feet is the condo? I have a condo on the western side of WA and now pay $311 for a 686 sq. feet, one bedroom. The HOA was $235 when I bought it two years ago, which was almost unheard of in that area. It was one of the reasons I bought it, but I'm hoping it remains constant now for awhile as it hadn't been raised for many years.
@@kristinab1078 We don’t go by sq ft. 44 town homes (PUD) in complex. No gym. It’s like a home but one attached wall. We pay all our utilities & any roof repair. Only blanket policy on out side walls is covered. You have to buy your own interior fire ins (H06). Gardener & pool service only included in HOA.
HOA pays for exterior painting every 5 years. Every HOA is different, so it it’s important to review CC&R’s before purchasing a home which people rarely do. I use to process home loans (20 years) so I would rarely see anyone really ask important questions regarding all of the above.
That's great responsible HOA board member work! I wish they were all like u!
I believe the new condo fees came about because of the Surfside collapse, all of these older condos will need money poured in for years of deferred maintenance. You may have covered this topic before. It’s not going to end well for a lot of condo owners.
If you have been in a Bed Bath and Beyond in the last few years, you would know why they are filing for bankruptcy. It went from a beautiful store to looking like they are a closeout store.
Sort of like the old joke about boat owners: "Whats the two happiest days of a boaters life? When he buys it and when he sells it".
True
I’ve been outside with two friends of mine, both realtors. They both admitted they were wrong and they believe I was right about seeing 50% crash. I had to rub it in. They now understand what I always preached: when buying, focus on the cons very carefully, and when selling, focus on the pros, mainly. Never failed me in 40 years. If you reverse it, you will kick yourself all the time. Never buy looking at the pros, otherwise it takes no thinking or planning, it’s called impulse buying. Focusing on the cons makes you make a solid decision, one decision you won’t regret.
ALL Great Points.
After 2008, my new mindset is to do the opposite of the herd .
When you 'anchor' yourself to an area/region, and an unusually large in-migration occurs, prices go up.
It's tough but if you examine how many times in your life you've moved, it's not that hard. I counted the number of moves I've made and it's huge, considering I remained in one state (California) for a long time but moved over and over. I was a renter only for the first 2 years out of college.
Miami is getting beyond the pale, expense-wise. The in-migration has done this and they are not going to stop coming.
There is no shame in saying "I can afford this. But do I WANT to?" There's no shame in that. Being open-minded and flexible is a huge benefit in life.
Affordable states are out there. We have lived in desert (Phoenix), tropics, and places with hard winters. The body adapts to all conditions. When you move, you meet new people and have variety in your life.
.
.
Not sure why you reply is not related to my post, but to the theme of buying and selling.
yeah, 50% crash. Keep dreaming 😂
Our condo is getting a brand new roof as I write this. This will get us into compliance with the new Florida law for structures that are three floors or higher. We have such an awesome run HOA. Our fees only went up 50 bucks monthly..
When I chose a condo I purposely chose a condo that wasn't fancy. I don't need three pools, cabanas, state-of-the-art gym facility, club house.... Etc. And I don't need to live on the beach. Common sense.
Smart.
Be thankful that you have a GOOD HOA! So many Condo/Coop Boards are unhanded, sneaky and out of control with power!
@@obx-teescom9962 Thank you :) My place on the outside is nothing to brag about - but we are fully funded reserves and in excellent fiscal shape.
The HOA management is a wild card in condo ownership. You might have a fixed-rate mortgage, you can anticipate the cost of your property taxes, but HOA management (and as Michael mentioned, insurance, too) are somewhat beyond your control. Where I live, we have a lot of small, self-managed HOAs. The bigger (newer) HOA buildings have professional management, which can get expensive. But if the owners in small HOAs sell their homes and the newer owners no longer want to self-manage, it's hard (and expensive) to find a management company to hire. It's much more lucrative for these companies to manage the bigger buildings with more amenities.
The condos I own aren't too fancy and my monthly fees are very reasonable. I don't need fancy amenities. I just need a roof over my head and maybe a pool to swim when weather is hot. Other than that, I just want affordable living.
Condo fees and HOA never go down either. Good luck to all.
they just keep destroying people's savings with no help in sight
When I get tired of the winter weather here in upstate New York and bitch about the lack of sun its always good to come this channel and get a reality check. Living and vacationing in Florida are two different things.
I am in NYC, I bought a CO-OP apartment instead of renting because it was and is still, so much cheaper. Also, it was very cheap in 1997. If the building is a complete loss, at least I didn’t pay a lot and my maintenance fee was low for a long time.
In a CO-OP, real estate taxes are included in the maintenance fee.
Just abandon it 🤔😁
They gonna have a hard time selling a condo with HOA fees that high. The price of condos are attractive until you hear about how much the HOA fees are.
I strongly believe, that ever since the condo collapse in Miami, the insurance companies want to leave the coastal areas due to salt corrosion weakening the rebars of the concrete columns. Lots of lives were lost 😞
Can you blame them????
And its only going to get worse as time goes on.
Watch what comes out of Davos with the annual WEF meeting this month. I'm sure that their universal goals and plans will exacerbate the already dire conditions imposed upon us.
They say home ownership is the American dream but right now it is more of an American nightmare...I'm a renter n NJ...I pay $1254 for an average/small size 1 bedroom...I can't afford to buy a home at $2k plus a month...
I live in Brandon, FL. I purchased a townhome after relocating to Florida about 8 months ago. And I also joined the HOA board and our HOA has come down by 20 dollars and we have a reserve as well! It’s 230 a month as of January of this year. And I was told about 2 years ago it use to be 290.00. I’m praying it doesn’t increase. Thanks for the video!
I believe it. I was looking for condos and townhomes in the 500k range and the HOA dues on a lot of them them are $1700 a month and up. No thanks
With my house it's bad enough paying for taxes, mortgage, and insurance. That last thing I'd need is a HOA fee. I've seen HOA fees larger than all my house expenses combined. That's insane.
Thats why i can't move to miami , its frustrating
You have to pay for everything parking, Hoa , home insurance and on top of that a overpriced house.. fuck no
@@unknowndriver6652 Flushing-out the peasants🪠🪠 I did the math and research prior to retirement. I just couldn't find any positive financial incentive that would convince me to make that move, What ever I would have saved in one area it would had been taken out for another extra cost of living expense.
That's why none of the home 🏡 I own including rental properties has HOA
I hate HOA .
If home 🏡 listing with HOA
I don't even bother go see them
Besides HOA fee
Some city add park fee
Or street landscape fee
In some city in California
@@unknowndriver6652 NYC South
As a 25 year veteran of the mortgage industry, I can say with confidence refinancing to get cash out now is a very bad idea. The borrower will likely increase their interest rate (I'm thinking double), add 10k-20k in fees, increasing monthly payment (think doubling) and resetting your mortgage payment back to start on a 30 year loan. Most people will never financially recover from this move. I understand sometimes a person has no choice: health emergency, divorce, legal trouble. But man it would break my heart to have a client do this. I tried to talk a client out of it today. Times are hard.
Did your client refinance?
@@wildflorida8007 The client is in a feud with a another title holder who is demanding a payout of their share of the equity, so the client doesnt appear to have any other options. Rate and payment will double, 17k in fees (with a discount) and resetting the amortization. I sent the quote. If the quote doesn't dissuade them then it must be pretty bad.
I suspect there are those that never forgot the banker bailouts of the '08 housing crash and probably know or at least suspect their property(s) is facing a massive devaluation so why not refinance and take the cash now while the house will appraise ? If their property winds up being massively underwater as real estate corrects, they can surrender the house but they've got the cash that was loaned to them based on the much higher, former value... Make sense ? I think that's what Michael was inferring and by the way, there is NOTHING illegal with such a strategy !
I pay cash for everything, even my properties. Not smart to give banks free money. Unfortunately, debt is the way of the world
@@andredaedone7732 I agree but as you’ve pointed out, having no debt is not the way of the world, at least in the good ‘ol USofA ! Our society has been conditioned to live far above their means and that leverage (debt) is good as long as one can make the payments. Virtually no one realizes that leverage is even more harmful in a declining market and even if they were aware, they believe prices only go up so why worry ?
I would never buy a home in a HOA community!
I almost bought a condo last fall that I was going to use to generate rental income . The hoa fees were already high. Glad I passed on that deal
This is why you never buy a CONDO or belong to a HOA. It's guaranteed that you will get screwed.
Glad I’m in the Philippines. I have a two bedroom condo here on the 20th floor. Monthly fees $185.00 per month
I can’t believe it’s cheaper for us to stay in CT than move to Orlando this year. Really want to move South for warm weather year round but at 52 we’re not going to put ourselves in a bad financial situation.
Mexico is your friend.
Smart move we’re full
From kiplingers 10/1/21
The Bottom Line
Least Tax-Friendly
The Constitution State is a tax nightmare for many retirees...but at least things are improving on the income tax front. For the 2020 tax year, only 28% of income from a pension or annuity is exempt for taxpayers with less than $75,000 of federal AGI (less than $100,000 for joint filers). But the exemption percentage will increase by 14% each year until it reaches 100% for the 2025 tax year.
Connecticut has the third-highest median property tax rate in the U.S., so the $10,000 cap on the federal tax deduction for state and local taxes stings a bit more here. The state offers property tax credits to homeowners who are at least 65 years old and meet income restrictions, though.
Connecticut also imposes an estate tax and a gift tax (it's the only state with a gift tax).
Income Tax Range
Low: 3% (on up to $20,000 of taxable income for married joint filers and up to $10,000 for those filing individually)
High: 6.99% (on the amount over $1 million for married joint filers and over $500,000 for those filing individually)
Taxation of Social Security Benefits
Social Security income is fully exempt for single taxpayers with federal adjusted gross income of less than $75,000 and for married taxpayers filing jointly with federal AGI of less than $100,000. Taxpayers who exceed these thresholds can still deduct 75% of their federally taxable Social Security benefits on their Connecticut tax return.
Tax Breaks for Other Retirement Income
For 2021, 42% of income from a pension or annuity is exempt for joint filers with less than $100,000 of federal adjusted gross income and other taxpayers with less than $75,000 of federal AGI. The exemption percentage is increased 14% each year until it reaches 100% for the 2025 tax year and beyond.
Beginning in 2023, 25% of any distribution from a traditional IRA is exempt for joint filers with less than $100,000 of federal adjusted gross income and other taxpayers with less than $75,000 of federal AGI. The exemption percentage is increased 50% in 2024, 75% in 2025, and 100% in 2026 and thereafter.
To the extent it's included in federal AGI, 50% of income from the Connecticut teachers' retirement system is exempt. Teachers can claim this tax break or the general 42% pension exemption, but not both.
Military pensions and Railroad Retirement benefits are fully exempt.
Sales Tax
The state taxes most items at 6.35%, and localities are not allowed to add to that.
Groceries: Exempt
Clothing: Taxable (6.35% for items under $1,000; 7.75% for items over $1,000; items costing less than $50 are fully exempt)
Motor Vehicles: Taxable (6.35% for vehicles under $50,000; 7.75% for vehicles over $50,000; 4.5% for non-resident military personnel on full-time active duty in the state)
Prescription Drugs: Exempt
Real Property Taxes
Connecticut offers property tax credits to homeowners who are at least 65 years old and meet income restrictions. Income ceilings are $45,800 in 2020 for married couples (with a maximum benefit of $1,250) and $37,600 in 2020 for singles (with a maximum benefit of $1,000). Renters under those income ceilings may qualify for a rebate. Municipalities may provide additional tax relief for seniors.
An income tax credit for up to $200 of property taxes paid is also available to residents age 65 or older. The credit begins to phase-out for single taxpayers with a Connecticut AGI above $49,500 and married taxpayers filing a joint return with a Connecticut AGI above $70,500.
Annual Car Taxes and Fees
An annual vehicle property tax is imposed. The rates are set by individual municipalities. Motor vehicle assessments are based on 70% of the average retail value as determined by the local assessor.
Estate and Inheritance Taxes
Connecticut has an estate tax with a $7.1 million exclusion ($9.1 million in 2022). The tax due is limited to $15 million.
Connecticut is the only state with a gift tax on assets you give away while you're alive. If you made taxable gifts during the year, state law requires that you file a Connecticut estate and gift tax return to identify such gifts. However, taxes are due in 2021 only when the aggregate value of gifts made since 2005 exceeds $7.1 million ($9.1 million in 2022).
Estate and gift tax rates for 2021 range from 10% to 12%.
Warm weather is overrated. I live in Florida, and I long for a climate with seasons. Heat, and more heat is boring and for half of the year oppressive. CT is a great place to live. I wouldn't move either, but if you want to do it, avoid the coastal areas. There are many very nice and very reasonable inland locations, not far from the beach, without HOA, Insane property taxes, and unaffordable insurance, and they are much safer than coastal regions during storms.
Lots of northerners are moving half way to Florida- NC and SC has much milder weather.
Complete Control is what the end game is!
Michael, this video is well timed! As a condo owner in Miami, I’ve been telling everyone since last October the new reserve law is going to double HOA’s in South Florida. Condo boards are completely unprepared, nobody cares, and come next year I think there’s going to be significant sales of condos to avoid the new increases. Great video, thanks for all the great videos you put out regularly
Condo prices will also crash so there will be no winning for sellers.
@@criticalthinker8953 not in Miami...Michael has a chance to exit
Thank you Chris I agree I think a lot of people have no idea what’s coming and once they get hit with these new fees I think you’re going to see a flood of condo listings hit the market
@Dan Man that's what they said in 2007 until the 2008 recession hit and prices dropped 40%
It’s going to be like rats abandoning a sinking ship. The smart ones are long gone.
Main things to look at on Redfin
1. Street View,
2. HOA, Property Tax, (your property tax WILL go up based on pp) $255k TX 3.35%= 8.5k/yr.
3. Call an Insurance Agent give him the address to get a quote
4. Ctrl F and input Flood it will take you to Risk of Flood, Fire, Storm, Drought, etc.
That home would be 20 yrs older in FL n twice the prices...so same for new buyer in Fl...n uncontrollable insurance
I was a condo prez and EVERYONE should look at all expenses EVERY MONTH. DEMAND THE CHECKBOOK. Its your right in the 718 statutes. If they refuse its a daily fine against the prez personally
The people's and Tyrant way on top got control over everything down to a T. Most people don't realize that. Let's energy prices have doubled, gas has doubled, groceries have quadrupled, car insurance has doubled, rents and house prices have doubled and all at the same time 🤔
Buying in a high rise building has always been expensive. You should see what these fees have been like for decades in NYC. As these high rises age, the upkeep costs really increase.
there is no way I would ever buy a condo or house in an HOA community. I read a comment from someone living in the suburbs of Atlanta, they claimed if you want a 'nice' house or condo, you have no choice and HAVE to buy a property in an HOA community. I think that is a bunch of nonsense, everybody has a choice whether they want to buy a property in an HOA community or not. I would commute an hour longer to work each way if I had too, rather they buy a house or condo in an HOA community (I only have to commute to the office one day a week now anyway, it's been this way for 3 years now, since the beginning of Covid pandemic, and that policy is permanent). Some claim they like having a condo because you don't have to mow your lawn/rake lives (yea but you have to pay for it through HOA fees), I like to get some exercise doing the lawn, doesn't bother me one bit (especially now with electric lawn mowers and leaf blowers, no more smell of gas or loud noise). If I need to go away, I just pay a local landscaper to do the lawn for a few weeks, never had an issue. I have been living in the same house for 25 years, never had anyone telling me what to do, or dealing with hidden end of year HOA fees. Or busy body neighbors trying to talk politics when going to the community mailbox (I had this experience when picking up mail for a friend that lives in an HOA Condo).
Michael - thank you for the info you provide! Great work and I appreciate your channel!
I live in a 3 story condo built in the 1968 here in west Miami Dade. It's been my home for 22 years, it's basic but nice, and we actually have a reasonably active community. I served on the board several times and learned a lot about the docs and regulations.
In the past, we have allowed unit owner to vote on partial reserves or fully funded reserves. for my 1/1 the partial reserves are $375 HOA per month, fully funded is about $600. No on ever votes for fully funded. The board and community do a lot to try and manage expenses and the property, and sadly I can say about half the residents here are going to struggle paying the fees once we have to have fully funded reserves. I especially pray for my elderly neighbors because without working it's tough to battle inflation plus this expense. I can at least work extra but they can't.
Michael, there are big advantages to having a gas stove and gas furnaces when the electrical grid goes down. You can cook and stay warm!! They will have to come and physically take mine. Eliminating gas stoves is not resonating well with Texans!!
The gas stove thing is a precursor to the attempt to phase out natural gas entirely. There’s always a bigger play going on and we always have to look at what thing is bigger than the “current thing”. Well done as always Michael 👍👍
@@j4513 What the English government is doing to the English people is awful. But, we’re not far behind. Hope your family fares well.
This makes no sense. Natural gas is clean energy! Follow the money.
100% agree.
Two things about the whole gas stove thing, it will still run in power outage since the lines are pressurized. 2nd always use properly vented hood to outside, which eliminates all the "pollution" from your kitchen
Ah. Mike did mention the vented hood like 20 seconds after my comment lol
Do you know who is the biggest customer of socal gas. Edison baby.go figure.
condo fees increased 10% last year, 29% this year, plus a $988 special assessment fee.
TAXES INCREASED $500 too
Madison wi
Plus not to mention the fact that all HOA fees will go up simply because of the rising Homeowners Insurance and Hurricane/Flood insurance costs. Each time there is a severe hurricane such as Ian, expect there to be another rise in costs. All the massive costs to tear down/remove/rebuild etc. have to be paid somehow, and are always more than planned for.
Keep it coming Michael! We average retired folks from out of town are rethinking what’s best for us, as far as a move goes, through your informative channel! Can’t speak highly enough of you & your content.
Thank you so much Lindy, that is very kind of you!
Move to Arizona. Its cheaper and the weather is better (safer).
@@kpb96m that’s not what friends of ours have said who moved from Phoenix to central FL.
@@lindylou3519 I meant to say New Mexico. Look.....anywhere buy Miami. We have enough elderly causing trouble down here. Retire somewhere else.
@@kpb96m Katie Hobbs just stole Arizona. Arizona is going to go downhill very quickly. Stay far away from Arizona.
I go to my HOA meetings all the time and our insurance cost jumped significantly and the community is trying to figure out what to do. And this is a townhome community not even a condo association. We have plenty of reserves but they’re nervous about the trend of the insurance industry.
Homeowners insurance has gone up all over Florida. It gets really scary with the increase in HOA fees cuz most HOA are not ran properly.
Disassociate...
BTW - condo maintenance fees are usually and mostly not for maintenance.
I just sold my warwefront condo in March 2022 to an investor. I did it when my HOA raised my fees to $600 from $375". Man am I glad
I am sixty, grew up in S. FL. Left in 85. Started watching because of geography, stayed because of content. You know your stuff.
Shocked. I don’t understand Florida. Here in Titusville they are developing a riverfront community. But hurricane Ian washed away 15 feet of shoreline. Uh oh.
Thank you for all the honest videos, they’re very informative for those of us looking to relocate
Wow, SO glad we decided on a single family waterfront home. Our HOA fees are $100 per YEAR!
Buy a one acre lot in a state with a lot of cheap land. Build yourself a small home out of brick and metal roofing with fire proof windows. Preferably lifted off the ground. Drill a well for water. Grow food and chickens and pigs and a cow. Just in case you need it.
Seems to me sooner than later there will be a mass exidious from all regions of Florida due to simple unaffordability. The state will have super wealthy and very poor, the poor will be trapped in a nightmare of not being able to leave . I fear soon this will be a smaller version of California ,hopefully not but time will tell .
It is already happening…… I’ve NEVER seen so many FL tags in TX in my life.
@@williammathis6044 or in Tennessee...and u get better food n HC
Take your pick, fires and mudslides, or hurricanes. Enjoy !
I feel like we could definitely end up like California if we’re not careful
It already is like Ca.
This was a very eye-opening video. We had considered buying a condo in SW Florida about 7 years ago, but are glad that we didn’t go ahead with the purchase. Thank you for sharing your insights!
Not in a condo but have an HOA. It just went up 51%. Thankfully it was dirt cheap to begin with. My homeowners insurance went up about 50 dollars but I raised the deductible to 2500. Really sad how all this can happen overnight. When the recession hits everything will come down...alot. Take care Michael
Debtors force that crap on owners..total devaluation..
Even if you FULLY fund reserves with inflation and prices ALWAYS going up for materials and labor it won't be enough to cover repairs. Also, there is always risk of fund's mismanagement or stealing of reserves funds by management. If you don't charge residents then some future residents have to pay for full repair costs.
Sounds to me buying in condo is a bad investment compared to single home. Yes, single homes needs repairs too but at least you manage funds and won't steal from yourself. Also, you will allocate funds for repairs WHEN it is needed and don't lose money to inflation if you just trust it to management.
Hi Michael many thanks don't know how you can constantly bring up all these good points. I was asked to join the board of a management group they had condo's all over US the board members were all very wealthy and increasing fees were mentioned at one of the meetings crease they wanted to increase fees by over 50%. I said what about the people who have a fixed income and have not budgeted for this increase they all looked at me as if I was from another planet, I suppose if you are so wealthy you don't even think about it. We have not seen anything like what is about to happen in anybodies life time in 2023.
Really like your content. Thank you for not being over bearing.
Bed Bath and beyond is tied to the real estate market, buy new house buy new stuff
Thanks for doing this video about HOA fees causing the same situation as mobile home/RV parks are facing. I was going to downsize into a condo/townhouse…now I’m not. I was afraid the uptick was going to happen to HOA fees which is why I had asked on a few videos back about this.
Single family homes face the same financial challenges. My homeowners insurance went up about $700/month in the last couple years; plus flood insurance over $45/month increase.
Homes without an HOA will be worth its weight in Gold in the future
Great video, lots of smart insights. Except for McDonald's. It hasn't been "cheap" for a long time. Just a burger fries and soda can be close to $10! Just imagine if you have a family of 4. So I'm not surprised they are downsizing as well. Yes, cheaper compared to a fancy steak dinner, but way more than eating at home.
you said that right
hoa need to be abolished
we have a condo and we never have a general meeting and we think that the hoa management are crocks
we see things in the expenses that is unbelievable
Thank you for sharing your information.
I live in Las Vegas and watching this video made me so glad I sold my high rise condo last year. I loved the condo and the building was amazing (newer luxury building on the south Strip), also very solid reserves at 70%, but I feel in a higher interest-rate, higher inflation environment the cost of staffing and maintaining these steel and concrete buildings is going to make the monthly HOA fees astronomical in the future, especially as they age. I think I will stick with wood-built single level or two story townhouses in the future, lol.
Which condominium in Vegas did you live in? Thx
I stumbled across your channel a few days ago and have been watching you damn near non stop. Lol. Great job! And great information.
Thanks a lot! Really appreciate that, happy your enjoying the content!
Thank you for reporting Michael God Bless you.
Very welcome
Some condos are going to be similar to selling timeshares. owners will have trouble selling them because no one is going to want to pay the hoa fees.
I just wonder if the real reason condo fees are going up so much is they have someone who wants to tear the building down and offer attractive buy outs for each condo owner. If such is the case and a buyout is attractive, I might take the deal. With condos, you really need to have your CPA to review the association budget to make sure sufficient reserves are being charged to replace common area expenses for replacements. Folks, just with a single family home, most likely you will have to come up 15k-20k for a new roof etc for a average 1500 -2000 sq. ft. home. You either amortized the costs out for the life expectancy of the new roof or refinance the house for the cost of new roof. Either with condo or detached house, you still have to pay for replacements. If your condo has a gym, pool, sauna or etc, don’t forget those are very nice amenities that have to be maintained. If you don’t use those amenities, then sell your condo and find one that doesn’t have the added expenses. Michael, couldn’t an association create bonds, pay for the needed improvements through a 30 year bond schedule and add cost to each condo owner property tax bill ? Each owner could pay assessment in full or let it go to bond expense. By letting it go to a bond, it would reduce the condo monthly assessment significantly for those that couldn’t come up with the cash. Problem solved. In California, we do that with sewer assessments all the time. Michael, with my own home, I impound monthly for my roof, central heating system, water heater, appliances, floor coverings, etc. Also, I have a line of credit in place as back up. If I fall short, then I have to refinance. Most people don’t think of these things but a Realtor or CPA can walk an owner through the process. A great class in high school on how to manage your home finances would be fabulous to offer.
Thank you for this video, Michael....
Great video on so many important subjects. Thank you.
Fast food is not cheap in this recession and quality has declined greatly. That industry is going to take a hit in my opinion.
As I have started to look at condos now I found this informative. However, the NONSENSE of gas stoves being unhealthy is the EPA and WHO that have too high level on incompetency. The indoor air quality issue depends on EXCHANGE OF AIR. Means you need to open all windows once a week to let the air out and bring in fresh air.
BTW. I am an Environmental Engineer with extensive experience in building construction, and air quality.
Great info as usual, thank you!
Great info over all. Thank you.
Our HOA dues went up by 40% here in the Seattle area.
Once again I am so glad I watched your video. I wanted to buy a condo in Florida because it was less expensive than a home But with these HOA fees going to be raised I won't be able to afford that and I never would have known if I hadn't watched your video Thank you ! Please keep making more videos I could watch you all day
I’m so glad this video helped you Michele! At least, if you wait until after 2025 has begun you’ll be able to get a true picture of maintenance fees at most these buildings
Makes trailer propertys look like mansions..16,000$
Great video and insight - thanks for sharing!
also in NYC....administrators are not there to reduce costs but to increase costs every year
Glad I found you. one of the few that are real. Hoa is disgusting and mismanages the money. Tired of all these HOA what they going to do with empty units. Time to stand up to everyone gouging
Ya dude. I was thinking about taking out a 2nd for similar reasons you mentioned. So I'm sure I'm a part of that demographic. I work for a company that hires conservatively, especially during that post-lockdown hiring spike when tech was making ridiculously high offers to new employees. And fortunately, we didn't have any major layoffs.
I'm working on starting up my own business at the moment. So I'll be working with this in parallel to my tech gig.
I'm in LA. And I think the gov trying to ban gas stoves is completely STUPID! LA, let alone LA can't even sustain our own power grid. So what... if we lose gas stoves, we can't cook when the grid goes out! These plans are either not really thought out well, stupid people are in power, or there's just some other agenda... And if I said that I'd LIKE to think that the people in power are smart, then that would mean that they're causing this chaos on purpose... So it's a bit of a paradox...
Anyway, I'm enjoying your content and insight, Michael! Have a great weekend man!
I just enjoyed your tour of Saint Augustine of a year ago.
Thank you for doing that.
Insurance went up 29% annually. Sold my home and moved out of Florida.
So did my sister, after 18 years lived in the Orlando area, she’s just fed up with Florida. Can’t stand anything about it, too many people, too much construction, out of control charges and fees for everything, hates the political situation. She was very glad to be back up north, said she doesn’t want to look back, she also likes four seasons and was quite frankly sick of summer heat and humidity.
That's why I'm rethinking leaving NJ
House prices in Fl are going up, also taxes, and flood insurance, Then there's running from hurricanes, traffic . Is the warmer weather even worth it ??!! doesn't make sense to buy a condo due to fees but maybe not even a house in Florida.
Small house in the north will suit me just fine. No room here for new crowded construction either here like Florida.
My fishing buddy can't afford to go fishing anymore. He's from NJ. I met him 4 years ago at sandkey 1:30 am. I taught him how to catch Snook. But he's so poor now he's thinking about moving back home 🏡
59 years old and he's wiped out. Truly amazing what hyperinflation is doing for people.
Yes I agree, live in upstate NY in a paid for house on 20 acres with reasonable taxes. I knew this "rush" to Florida was going to have some consequences. However, we do have a woke governor with a bad facelift that is really "out there". Insofar as the gas and most likely wood stove issue, most aren't going to go for it. The hillbillies will make it personal for those who try to take away they're ability to stay warm and/or feed the family. Many in my area are counting every penny and will find it difficult to afford eating and being woke...
Wow, that $1600 is a huge monthly fee for keeping the building safe and the pool clean, and whatever else. I guess if you calculate a return on that payment, it is worth it. For me, it would be impossible because I already went through it in my state. Bought a super over-priced condo with a high fee, thinking "this will be worth it, there will be nice people, maybe some community acceptance, who knows, maybe even access to the opposite sex". Nope. I would have been better off renting that unit and making the community invest in me. It was a crippling mistake of spending, that really nobody can afford to make because the healing takes a lifetime if you can't sell. Lesson, don't buy anything on "intangible expectations". Don't buy bling in your life, thinking there is a reward for overpayment, that somebody will "have your back". The risk is too high. A friend at the time who had a nice single family home said "I own to live", and he could probably have sold if he wasn't happy in it. Thanks.
For the longest time renting was cheaper and thats what we did, and even now with the higher fees, renting a place like ours would still cost more. Its nuts!
Great information. Thanks 🙏🏼
Well, fast food is not really cheap. I eat 99% of whole foods which I cook for myself, but few times a year I go eat fast food, so this summer went to mcdrive and was shocked with 15 bucks for fries and burger and drink. For this money, I could eat whole day chicken/beef with rice/bulgur/potato, veggies etc, and most important, be in good shape and have zero medical bills.
Thanks for this information. I was planning on buying a condo in Fl but now will have to pick a new state.
Glad it was helpful!
Mike,, Incredibly valuable info here!!! Great content!!!
Thank you for showing us different scenery
You bet it was fun!
Just think! With potential storms and power outages, one could possibly benefit from their gas stoves. With only electric and no gas fireplaces or stoves....pretty powerless...sounds like a control measure to me.....
Very good info, Michael ….thanks!
Very very few times do I agree with EVERYTHING someone says on you tube. This guy was such a pleasant surprise!! Everything he says is well researched and relevant. I really enjoyed listening to what he had to say. Such a refreshing lucid thinker. You have a new fan.
all resturants cook with gas all people who work for gas companies will be out of work all mechanics will be out of work this is crazy trump please come back
Great show Michael.
side point: I have a couple of realtors on my FB feed. They are in denial. They are still saying their listings are getting top dollar.... North Florida region. So, maybe its true, but I saw this same denial in 2008. They refused to admit home buying was slowing....al the way up until they were laid off by their broker...
I'm in NE FLA and it's a real estate sh$$ show up here right now. So yeah, they're just being realtors spreading sunshine and puppies everywhere while everything collapses around them. It's what they do.
Gosh, it's almost like those greedy insurance companies think that living in a disaster prone state during a time of massive climate change might be a little risky.
My HOA fees are fine and have only gone up by $20 in 10 years. Fully funded. Broward. Glad they revised the law and took out the ridiculous flood insurance for properties that aren't subject to flooding.
I know a guy from NJ that just moved to st pete to retire, bought a condo and then the new HOA dues went up 40%.
Thats why they sold it they KNEW.
Sadly those dues will continue to climb out of control.
Update, my uber driver this morning lived in the same condo and was retired but had to start working to pay the increases. They were special assessed for new roof and balconies for $1.5 million and dues went up 30% to $1,000/month. These waterfront condos are not cheap anymore.
Good job on your report
This was an excellent video. THanks!
In Maryland Montgomery county too the condo fees have increased by $110-130/month( lower one for 1 BR). So, 1BR is now 700+ condo fee and humongous fees for 3BR. People plan to move but in today's world no place is affordable.
How does that compare to Greenbelt Homes?
I’m not surprised it’s happening everywhere
This is the problem with FL... Insurance is uncontrollable. I've seen HOAs actually self insure lol in FL. Brutal. Michael u have to sell when u still can...before the condo law becomes well known
Many people justify these expenses because they live on the beach, but the majority of the people who live in beach front buildings hardly ever go down to the beach.
Thank you for all your videos. All your videos have great information on them. I was just wondering does this apply to the town houses as well?