Started By
Message
OT - Forming a HOA
Posted on 7/6/19 at 7:21 am
Posted on 7/6/19 at 7:21 am
For my folks well-versed in real estate: We have a developing situation in my five-house neighborhood that I and other homeowners would like to stop and need to know if it can be done.
We have a home for sale two down from ours that is closing on Wednesday at 3:00pm. I have come to find out that the new buyer is planning to rent the house. For a number of reasons, we don’t want that happening (home values, instability of neighbors, maintenance and upkeep issues, etc). We have considered forming a HOA in the past, but this use issue may force it. I have read up on the hows and have a personal friend who is a real estate attorney and could draw this up quickly to get signatures in short order. My next door neighbor rents his home, which is fine. He gets good people in and he lived there years ago, so he’s kept it for sentimental reasons. We could write the rules up to allow for no more than 20% rental properties which covers his home, but doesn’t allow any others. I have read that some states require 60% of homeowners to sign and if that’s true in GA, the selling homeowner would not have to.
All this said, am I missing anything? Should we form an LLC and have this drawn up and signed? Appoint three folks as the board and notify the selling agent of intent so that the buyer can be made aware? What am I missing? What’s at risk if they try to sue? He hasn’t bought it yet, so we still have time I would think.
Advice?
We have a home for sale two down from ours that is closing on Wednesday at 3:00pm. I have come to find out that the new buyer is planning to rent the house. For a number of reasons, we don’t want that happening (home values, instability of neighbors, maintenance and upkeep issues, etc). We have considered forming a HOA in the past, but this use issue may force it. I have read up on the hows and have a personal friend who is a real estate attorney and could draw this up quickly to get signatures in short order. My next door neighbor rents his home, which is fine. He gets good people in and he lived there years ago, so he’s kept it for sentimental reasons. We could write the rules up to allow for no more than 20% rental properties which covers his home, but doesn’t allow any others. I have read that some states require 60% of homeowners to sign and if that’s true in GA, the selling homeowner would not have to.
All this said, am I missing anything? Should we form an LLC and have this drawn up and signed? Appoint three folks as the board and notify the selling agent of intent so that the buyer can be made aware? What am I missing? What’s at risk if they try to sue? He hasn’t bought it yet, so we still have time I would think.
Advice?
This post was edited on 7/6/19 at 7:24 am
13
Posted on 7/6/19 at 8:15 am to S1C EM
Just don't worry about it, we live in a free market economy.
You will give yourself an ulser.
Here on the Southside of Nashville, I love all the brand new houses sporting "No New Developments" signs in the freshly sodded yards.
It is what it is.
You will give yourself an ulser.
Here on the Southside of Nashville, I love all the brand new houses sporting "No New Developments" signs in the freshly sodded yards.
It is what it is.
Posted on 7/6/19 at 9:27 am to S1C EM
Is this a joke? Gotta be a joke. Look you yokel...there is ZERO chance of getting a legally enforceable HOA that says (in effect) my buddy who is ‘good people’ next door can rent but new people can’t...in a week.
Gtfo with this nonsense.
Gtfo with this nonsense.
Posted on 7/6/19 at 9:41 am to S1C EM
I totally get why you wouldn't want this, but don't you own/rent out a few houses? 
Posted on 7/6/19 at 9:56 am to S1C EM
He's black isn't he?
Posted on 7/6/19 at 10:02 am to S1C EM
He said that the HOA malfunctioned.
There was also a bad smell but renter said that the HOA farted.
There was also a bad smell but renter said that the HOA farted.
Posted on 7/6/19 at 11:46 am to S1C EM
HOA can be useful. But if ppl want to rent they'll find a way around it
My folks owned a condo they wanted to rent. HOA told them they could not. 20% were already rented. They filled out the necessary paperwork to wait their turn on the rental. Meanwhile, put the renter on the mortgage paperwork and he lived there starting immediately. Never put him on deed or anywhere that would jeopardize their ownership.
Once they were approved (years later) removed him and rented to him.
Edit: the board was furious but could not stop it.
My folks owned a condo they wanted to rent. HOA told them they could not. 20% were already rented. They filled out the necessary paperwork to wait their turn on the rental. Meanwhile, put the renter on the mortgage paperwork and he lived there starting immediately. Never put him on deed or anywhere that would jeopardize their ownership.
Once they were approved (years later) removed him and rented to him.
Edit: the board was furious but could not stop it.
This post was edited on 7/6/19 at 11:47 am
Posted on 7/6/19 at 1:30 pm to S1C EM
I think you are too late for this action. They would have a good case stating that when they signed a contract, their was no rule that they couldn’t rent it out. By making an HOA and implementing this rule during their buying process, you will look like you don’t want them in your hood.
Posted on 7/6/19 at 1:51 pm to S1C EM
quote:
I have come to find out that the new buyer is planning to rent the house. For a number of reasons, we don’t want that happening (home values, instability of neighbors, maintenance and upkeep issues, etc).
quote:
My next door neighbor rents his home, which is fine
You cant just pick and choose who you want to be able to rent their house you racist dick.
Also, maybe the reason your neighbors are selling/renting their house is they dont like living nextdoor to you. After reading this I would think that's a definite possibility.
Posted on 7/6/19 at 3:51 pm to S1C EM
You should have gone Redbud a month ago to buy yourself some time.
On another note, with residential real estate what it is right now, it is abnormal for someone looking for rental investment in a nice house... that typically happens in a down market. What's the rest of the story? How shitty is this house?
On another note, with residential real estate what it is right now, it is abnormal for someone looking for rental investment in a nice house... that typically happens in a down market. What's the rest of the story? How shitty is this house?
Posted on 7/6/19 at 3:55 pm to S1C EM
Your first mistake was living in a neighborhood. Sell the house, move out somewhere that you have a buffer and don’t have to worry about what other people do with their property that’s right up your butthole. Neighborhoods are gross. Tried it for 5 years and couldn’t stand it. Now I piss in my yard, have cows and horses at my back fence, and 250 acres with a pond and three creeks to play on.
Posted on 7/7/19 at 10:35 am to S1C EM
Ahh man. You're getting a lot of shite for this, but I do feel your pain. We had college kids rent in our neighborhood, and it was a complete nightmare. Of course, we already had an HOA in place at the time. Still, there was nothing we could really do about it because we did have some other renters that were perfectly pleasant people. Hard to change the by-laws to say "person X can stay but frick person Y."
Posted on 7/8/19 at 7:54 am to S1C EM
The four of you should have bought the house yourselves. The new owner wouldn't be answerable to anything done at this late date.
I would avoid a HOA at ALL costs....I will NEVER own a property again in a neighborhood with a HOA. Bad enough to have to deal with the county, city and state....but a bunch of neighbors???frick that!
I would avoid a HOA at ALL costs....I will NEVER own a property again in a neighborhood with a HOA. Bad enough to have to deal with the county, city and state....but a bunch of neighbors???frick that!
Posted on 7/11/19 at 9:57 am to S1C EM
So I have read through this...if it's a nice neighborhood like you say...I am assuming the rent is pretty high? You are worried about riff raff coming in to rent an expensive house?
Page 1 of 1
Latest Georgia News
Popular
Back to top
Follow SECRant for SEC Football News