|
|
|
|
|
|
|
|
|
|
| IHG Insurance (National Insurance Provider) |
| Providing Community Association Insurance for over 25 years: D&O Liability, Crime Products, Umbrella Coverage and Property Manager's Errors & Omissions Liability. |
|
|
|
|
|
|
| You are not authorized to post a reply. |
|
|
| Author |
Messages |
|
AlexL1
(Florida)
Posts:162
 |
| 03/14/2008 7:53 AM |
|
| How often should a reserve analysis be done? |
|
|
|
|
GeraldT4
Posts:934
|
| 03/14/2008 8:01 AM |
|
| AlexL1 - A comprehensive reserve analysis should be done once by the owner controlled association board. The analysis should be UPDATED every 2 to 3 years, or more often if possible. Updates will include the current cost of replacement so inflation should therefore be factored in. Anytime there is a new capital improvement where a new element is installed that the association must maintain than that element must be added to the reserve analysis and the replacement funding must commence. The replacement cost of each element the association must maintain should include the cost of removal of the old element. I always recommend the board get contractor bids on the high ticket items such as roadways, condo and clubhouse roofs, pool aprons) to compare the reserve study figures to what local contractors bid on the project. I have differences between the two in excess of 1/3rd more. When it comes to budgeting for the reality replacement, that difference can be very costly and may result in an assessment, bad word in the HOA world. |
|
|
|
|
DonnaS
(Tennessee)
Posts:2951
|
| 03/14/2008 10:38 AM |
|
Alex,
We do ours every 3 years. |
|
|
|
|
GrahamO
(Ontario)
Posts:51
|
| 03/15/2008 8:43 AM |
|
When you get to the next sentence I know for certain that many forum members will find it incredible; fair warning. But we're recommending that rserve figures be updated quarterly. Yes, QUARTERLY. We're not talking about doing an "inspection" quarterly, or doing a wholesale job of re-planning. We mean that every quarter you gather the REAL expenditures together for the previous 3 months, and replace the PLAN figures by the new ones. The REAL exopenditures do not ONLY make the updated plan more realistic. They also signal that future planned expenditures for the same kind of repairs should be examined as well.
Enough detail. For anyone who'd like the chapter from our book e-mailed to them please contact us. It's our most requested chapter by the way. It's "no-charge" of course. This chapter spells out how to do it, step-by-step.
By the way GeraldT4's reply, as usual, hits on several of the other must-do things very well, also.
Cheers ... Graham |
|
Graham Oliver
Official HOATalk.com Sponsor
Author of "Reserve Fund Essentials"
Oliver Interactive, Inc
Reserve Fund Software & tools
Learn More about our FREE Reserve Planning Tools
*See legal notice below (end of page) or go to www.hoatalk.com/legal |
|
|
AlexL1
(Florida)
Posts:162
|
| 03/15/2008 9:01 AM |
|
| Yes... how do I get the chapter you are referring to? |
|
|
|
|
GrahamO
(Ontario)
Posts:51
|
| 03/15/2008 12:37 PM |
|
To AlexL1. Good question. The best way is to click on the blue "Learn more ..." line in my I.D. below. That way you can explore the More Free Things we offer. To e-mail us, on the same page, click on the "E-mail anytime" link in the lower right green box. We'll look forward to your message, Alex!
Graham |
|
Graham Oliver
Official HOATalk.com Sponsor
Author of "Reserve Fund Essentials"
Oliver Interactive, Inc
Reserve Fund Software & tools
Learn More about our FREE Reserve Planning Tools
*See legal notice below (end of page) or go to www.hoatalk.com/legal |
|
|
|
| You are not authorized to post a reply. |
|
|
General Legal Notice: The content of forum messages are from the posting member and have not been reviewed nor endorsed by HOATalk.com. Messages posted by HOATalk or other members are for informational purposes only, are not legal or professional advice and do not constitute an attorney-client relationship. Readers should not act upon this information without seeking professional counsel. HOATalk is not a licensed attorney, CPA, tax advisor, financial advisor or any other licensed professional. HOATalk accepts ads from sponsors but does not verify sponsor qualifications nor endorse/guarantee any sponsor's product or service.
HindmanSanchez Legal Notice: (For messages posted by HindmanSanchez) This message has been prepared by HindmanSanchez for informational purposes only and does not constitute legal advice. This information is not intended to create, and receipt of it does not constitute an attorney-client relationship. Members of HOATalk.com should not act on this information without seeking professional counsel. Please do not send us confidential information unless you speak with one of our attorneys and get authorization to send that information to us. If you wish to initiate possible representation, please contact an attorney in our firm. Our attorneys are licensed to practice law in the state of Colorado only.
Legal Notice For Messages Posted by Sponsoring Attorneys: This message has been prepared by the sponsoring attorney for informational purposes only and does not constitute legal advice. This information is not intended to create, and receipt of it does not constitute an attorney-client relationship. Readers of HOATalk.com should not act on this information without seeking professional counsel. Please do not send any sponsoring attorney confidential information unless you speak with the sponsoring attorney or an attorney from the sponsoring attorney’s firm and get authorization to send that information to them. If you wish to initiate possible representation, please contact an attorney in the firm of the sponsoring attorney. Sponsoring attorneys that post messages here are licensed to practice law in a specific state or states as indicated in their message signature or sponsor’s profile page. (NOTE: A ‘sponsoring attorney’ is an attorney that is a HOATalk.com official sponsor and is identified as such in the posted message or on our sponsor page.)
|
|
|
|
|
|
|
|