by Dania S. Fernandez, Esq. | Mar 30, 2021 | Condo Association, HOA Rights
It’s a tale as old as time (at least as long as HOAs have been around): year by year, the dues gradually increase until what you were originally paying has doubled or tripled. Some people are dismayed at this, while others understand it’s just the nature of inflation and the guaranteed rising cost of living.
But if dues increase by too much within one year, it can be cause for concern to many homeowners, and rightfully so. Homeowners living within an HOA come to expect that they will see the effects and payoff of their dues. Additionally, that rate increase can be a financial burden when already keeping up on the mortgage and other payments.
The question then arises, how much is too much when an HOA raises dues?
The answer is not as clear cut as you may want it to be. With some exceptions, Florida does not limit how high an HOA can raise yearly dues.
No maximum
Technically there is no limit to how much an HOA can raise dues each year in Florida. That said, within each HOA’s CC&Rs there could be specific rules on raising dues. For example, some declarations may state that there can only be a 5% increase each year, however, this is on a case by case basis. You must examine your association’s documents to see if any limitation on dues has been incorporated into your HOA’s rules and regulations.
One reason that you may not find this limitation on dues in your HOA’s CC&Rs is that limiting an increase in dues could be counterproductive. For instance, if your HOA’s due increase is limited to 2% yearly, this could actually inhibit your association from raising dues enough to cover the bare necessities and thus keep your community from being able to pay for much needed repairs.
The 115% rule for condominiums
Though there may be no legal limitations on raising dues, there is a stipulation in Florida law that applies to condo associations. FS 718.112(2)(a) states that if assessments are increased by more than 115%, then a substitute budget can be requested. To do this, 10% of the owners must petition the board within 21 days of the budget’s imposition to request a special meeting.
Additionally, in a condo association, if the developer controls the board then there is an automatic rule that assessments cannot rise by more than 115% of the previous year. unfortunately, there are no such stipulations for HOAs.
Look at the budget
Once protection you do have is an full and transparent budget. HOAs and condo associations must create and adhere to a detailed annual budget. This budget would itemize any and all expenses and the budget must invariably justify the raise in dues.
Basically, if your HOA is planning on raising dues, there must be detailed proof of why this raise is warranted within the budget.
Get involved
If you have serious concerns about the increase in dues, your best bet is to take proactive steps to inform yourself and understand your community’s needs. Get involved with BOD and attend meetings regularly, especially budget meetings.
There are a number of reasons dues might increase each year. Vendor prices might rise, materials and utilities can increase, a reserve study may have discovered that an association’s reserves are depleted. It is important to understand the need for due increases before assuming they are unjustified.
One final note. In rare cases, an overinflated budget and raise in dues can be due to a fiscally irresponsible board. In cases like these, make sure you are asking to see the complete budget and ask for full transparency. You can attempt to remove the problem board members if they are found to at fault, but it’s always best to consult with a community law attorney first.
Dania S. Fernandez, Esq.( Attorney At Law )
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Susan Bertoncinion April 13, 2023 at 4:59 pm
I really don’t know how to get correct information from my HOA manager. She seems to control everything and the officers allow it. They don’t post expenses or have regular meetings. I was told some directors are not even told about board meetings.
I am living in this association almost 2 years and have had 2 assessments and 2 maintenance increases.
Common areas was reused with out a vote and proper permits. Audit done but certain information was not provided.
Please advise, thank youLucia Coraceon April 21, 2023 at 10:41 am
HOA is targeting and harassing some owners.
The declaration and bi-laws have separate amendments that have never been permanently updated in the original documents and they don’t fully give them out when requested.
There are 7 BOD when the declaration and bi-laws only call out 4 officers.
Lucia Coraceon April 21, 2023 at 10:44 am
HOA is targeting and harassing some owners.
The declaration and bi-laws have separate amendments that have never been permanently updated in the original documents and they don’t fully give them out when requested.
There are 7 BOD when the declaration and bi-laws only call out 4 officers.
Lastly, they are violation florida and federal law regarding service animals. They are requesting documentation vs asking what tasks the animal performs.
Units can be rented by each owner and so the correct ADA laws need to be followed.
Dawn McNelison May 2, 2023 at 7:28 am
I have been in townhome for 3 years come July. In January our dues went up from 236.00 a month to 270.00. Just had a meeting with board members and they say our dues are going up another 205. A month . This change is just 4 months is that legal. They are calling it a speacial assessment. So we will be paying close to 5 every month. This will be crippling to homeowners. In the 3 years I have been to one meeting . They have not shown us the budget numbers . Something doesn’t seem correct. Need answers. This goes threw will cause people to loose there homes . They also said exspect it to go up after this . But can they do this every few months change the monthly price . ?????
L Marionon May 3, 2023 at 7:40 pm
I just leaned of this increase and am seeking answers as well. I am in the community you are in and this deeply concerns me because this will be financially crippling. I will be at the meeting! Seems like they are trying to get homeowners out to sell to a developer!
James Galton May 26, 2023 at 3:36 am
See AlsoMinimum Reserve SystemTurnberry towers in aventura has raised my dues to a staggering $2,300 a month and now because of a previous boards mismanagement, they are issuing a special assessment which I heard was $100,000.00… when I brought this up to the board president he laughed and said my unit would be much higher than 100,000… how can people be expected to deal with this??!?
Kathleen McKinleyon July 18, 2023 at 1:51 pm
Del Prado in Adventura, FL has raised their fees twice within the same year. Once for $250 and now $408.35. This is a $658.35 increase and it varies by apartment!
How can people be expected to afford such increases and without adequate notice. It is totally unfair to seniors living in the complex on fixed income!Francineon July 29, 2023 at 10:51 am
I read about Condo Associations here. What Fl. Laws, Rules and Regulations are specific to raising dues, or an assessment in solely HOAs in Florida?
Francineon July 29, 2023 at 10:56 am
Why are you Ms. Dania Fernandez not replying to the the specific questions being asked? If you are, where can I find the reply answers? YOU are asking for comments, getting them but not responding back. That is Bad PR for your firm.
Andrew Deljudiceon August 22, 2023 at 2:18 pm
I’m paying $630 a month now. They want to raise it a $120 for a one bedroom and $220 for a 2 bedroom. I think that’s a lot of money. How do you know what’s the truth?
Mary Bottomleyon August 22, 2023 at 7:03 pm
Can the property owners do a petition to limit a increase on monthly fees and also on any assessments.
Also
I believe we can do a petition for things in the rules and regulations
Such as landscaping rocks,, and truck to park all night and day and also limit on how many animals and weight be allowed
Is that right
Thank YouJoyce Brownon August 24, 2023 at 12:46 pm
Our HOA board is raising our quarterly dues from $1323 to $2210! And it may go higher when the final budget is announced. I’m on the 5 person board and am not being included in drawing up our new budget.The increase is because of the higher insurance premiums. I can’t understand why they aren’t cutting back in every other area to reduce this amount.
I live in Sherwood.
JoyceSarah Morellion September 7, 2023 at 10:08 am
My husband and I moved
Into a condo community
In Nov of 2017 and the fee
Was a little over #300 a month. Now 2023 being
Increased every year since then .the new fee will be over $500 a month
Same building same number of units.Name *Jose Lopezon September 7, 2023 at 3:27 pm
Comment *En nuestro HOA de Malibu Bay, Homestead quiere subir el CDD (Community Development District) a $520.00 por propiedad para este ano 2023 en los Taxes anuales donde se puede poner la queja
Iris Cabrera Oteroon September 11, 2023 at 4:20 pm
Francine I totally agree with you!!
Jessica Smallon October 8, 2023 at 3:31 pm
I’m dealing with the same thing. I am a low-income student living on student loans and grants. I moved into my condo in June of 2021 and have been dealing with a roof leak since December of that year! They keep trying to Band-Aid fix it but I now have a serious mold issue in my master bedroom and a ruined Purple mattress (not cheap, like a $3,000 bed we splurged on with the extra money from selling our last home). They raised our dues overnight from 284 to 381 with no notice, and now I will possibly be paying special assessments of $400 a month for 6 months. I get about $6,000 every 4 months to pay bills with, how am I supposed to pay $800 a month for 6 months?! Also, the burn is that these special assessments are to replace the roofs of 4 buildings in my complex, WHILE MY ROOF IS LEAKING AND I AM DOWN AN ENTIRE BEDROOM, AN ISSUE THAT HAS BEEN GOING ON FOR 2 YEARS! I’d sue, but my local legal aid office wouldn’t take my case and I don’t have thousands to pay a retainer for a lawyer. So I guess poor people aren’t allowed to sue their scummy HOA in this world. My family is screwed at this point in time and I am furious.
Jessica Smallon October 8, 2023 at 3:35 pm
*254 to 381, that was a typo. My dues were raised by 50% with NO NOTICE AT ALL!
Dania S Fernandezon November 14, 2023 at 9:49 am
Hello Everyone, I completely understand the frustrations being felt. Sometimes, these fee increases come from genuine places, like unexpected repairs or insurance hikes. It doesn’t make it any easier to pay, but knowing the reason can sometimes help. Also, if you haven’t already, try attending some Board of Director meetings. You can get a clearer picture of what’s going on and maybe even have a say in the decisions. It’s a small step, but it can make a big difference. Talking to your neighbors might help, too. Chances are, you’re not the only one feeling this pinch. If you all come together, you might find a way to address these issues collectively and amicably.
Violettaon November 18, 2023 at 5:16 am
Commodore Plaza raising HOA in 2024; 1b, 1.5b $890.59, in 2023 it was 3 times raised from $506 to $656 to $768.84 and now they do proxy resolves for $890.59
Plus Insurance, property tax, it’s $1244 every month I have to pay. Commodor Plaza in Aventura took assessments from units owners a lot of money to renovate 3rd floor and they never done their promises. This community is old and it seems way more expensive then new construction. Is there anything that can be controlled by law? It’s impossible to rent 1 bedroom until for such on big money without comfort that association should done for more then 4 years, also plumbing old and lick’s, for more then 10 years they couldn’t fix it. They do corruption in association, every year there’s is board presidents and association are changing and property management as well. Unit owners tried to fit against association so only what happens that every new board members sold out there units and left board with our money. What chance we have, what can we do? all they do fraud and runs with our money.Ann Schankeron November 23, 2023 at 10:27 pm
My condo just got assessed for 24,000. Before that we had to paid 1400 for reserve. Just got a copy of budget and it the monthly maintence is going up to 900. From 575.. it is a small community of4 phases with little amenities and each have there own boards,or are not paying the same less.. We are getting really overcharged. How can we find out if this is legal and is there anything we can do. Many of residents are seniors on fixed income.
