Some folks thought I was crazy when I claimed a Nevada Supreme Court decision could make it impossible for many people to get a mortgage. The court ruled that a 6000 dollar HOA lien could extinguish an 800 thousand dollar mortgage.
How is that possible?
How is that fair?
What mortgage company official in his or her right mind make loans in such an area? Is it any wonder that thousands upon thousands of Nevada homes are for sale and there are no buyers?
Last fall I blogged about several unfinished housing developments, and effects on HOA members. One of these subdivisions, Stone Hill Estates, has been involved in litigation over unfinished roads and stormwater systems for almost a decade. Last year, a Judge ordered the City of Durham, NC, to contribute to completion costs.
Egads, I thought white collar organized crime figures averaged at least 18 months in prison. Now I’m the one who looks totally stupid. My deepest apologies to those of you I unintentionally deceived.
But Federal Judge Mahan in Las Vegas keeps handing down kindergarten sentences to the organized crime figures who stole millions and millions of dollars from Las Vegas homeowners. Kindergarten sentences: You know, “Go stand in the corner for ten minutes, Billie. You’re a bad, bad boy!”
1) Promise local planning and development commissioners that your Utopian projects – including planned communities (HOAs) and condominiums – will increase tax revenues beyond their wildest dreams, without any fiscal impact to local government.
2) Dangle the carrots: wealthy domestic and foreign investors willing to provide capital financing to get the project going.
Most HOAs have a regulation about “No Home Businesses.” With so many people working at home on the web that’s an almost meaningless rule…except when Board Bullies want to throw their weight around.
Sure, nobody wants to live next to a neighbor who operates a sawmill in his back yard. But sometimes the local HOA Nazi gets out of control and too full of himself. You’re an author and you write books and magazine articles? That’s an illegal business. You use your computer to fill out medical forms? Illegal home-based business.
