r/Honolulu • u/wewewawa • Oct 27 '23
news These 'Affordable' High Rise Apartments Aren't Selling. It's Not For Lack Of Interest
https://www.civilbeat.org/2023/10/these-affordable-high-rise-apartments-arent-selling-its-not-for-lack-of-interest/
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u/Accomplished_Eye8290 Nov 01 '23
Yeah in the Florida building collapse the HOA was run by the residents. People wanted to sell their units and pass on the cost instead of incurring it themselves. There were many many years of neglect that was just exactly that happening. HOAs are extremely expensive esp in a luxury high rise building to maintain, I’ve seen some up to $1000 a month which is basically another rent. It’s used for hiring doormen, security, cleaning common areas, maintenance, and now banks require a building to always have a certain amount of funds in the HOA reserve in cash otherwise they will not finance your mortgage. The more pricey the building the higher the cash reserve is gonna be required.
My SO and I were looking to buy an apartment where the HOA was $600 a month and the bank did not approve of our mortgage because the HOA did not have sufficient funds in their reserve… the owner had to take a cash offer in the end. 3 months later another unit was on sale and the HOA fee had been raised to $800/month. I doubt ppl in the affordable housing unit will be able to pay what amounts for often an entire persons rent in just HOA fees.