I have enormous sympathy for people who buy into an HOA. Heck, I was dumb enough to do the same thing. Three times! But in retrospect, I was STOOPID! I was a lamb among the wolves. Never had a clue.
The biggest unreported financial crime in America is embezzlement from an HOA. The following story isn’t even extraordinary, it happens in city after city, day after day. But homeowners (like me) are just too witless to ‘get it.’ The HOA scam is beyond any reasonable explanation. If you’ve bought an HOA property you’ve just donated your life savings to a massive national criminal enterprise that the government will never investigate, expose, or end. Kiss your life savings, ‘Goodbye.’
Egads! I’ve never met Sara Benson, never even talked to her on the phone, but I’d have an affair with her in an instant, if she’d agree! (Yep, I’m not very classy, but I’m sincere!)
This incredible Illinois Realtor has discovered that up to 80% of Illinois Homeowners Associations are unknown and untracked by the state! The implications are massive. It means that huge numbers of Americans have signed away their access to rights conferred by the U.S. Constitution by buying homes in private corporations where they’re lying naked in front of all their fellow homeowners. They think they’ve bought private homes, but what they’ve actually bought is shares in unregulated corporations in which they can be taxed, liened, sued and bankrupted with their life savings going into a common pot owned by all their fellow neighbors.
Yes, welcome to your new condo. You’re going to love living here. The neighbors all get along and we don’t seem to suffer the kinds of problems felt in many other Homeowners Associations. You’re buying into a little bit of Heaven, your own private home. Welcome, welcome, welcome!
Oh, we’re sorry we couldn’t give you copies of the covenants, the budget and insurance papers in time for your real estate closing. At the time you requested them, the paperwork was tied up in some minor snafu. But it’ll all get worked out soon.
Why was I in Topeka testifying in front of the Kansas legislators today? HB 2557. Kansas now has this bill in the Local Government Committee being discussed to make amendments to the Kansas Uniform Common Interest Owners Bill of Rights Act.
The bill needs a lot of work but the legislators were all ears today. Some were very open about how they are hearing from more and more of their constituents that are having HOA problems.
A few days ago I linked to the Mel Pittel case in the Meadow Creek Homeowners Association in a suburb of Minneapolis. Several years ago, Mel became suspicious of odd expenditures by his HOA board, and he got himself elected to the board. He also published a frequent blog about his HOA. The HOA, along with a powerful board member who owned a number of rental units there, not only refused to seat Mel on the board, but sued him over his website. A judge issued a gag order prohibiting Mel’s use of the Meadow Creek name on his blog.
