[denniswilson]

A well-known national builder is developing a very small community in Daytona Beach. Currently under new construction phase with no amenities planned for the community. No pool, no clubhouse. Just simple small community. This makes the HOA very low at $200/month covering building insurance, small grounds landscaping, and pest control. Realtor explains the low HOA because no amenities and latest code windows, roof, and structure.

Since I am on a tight budget, how much can I expect the monthly HOA to increase in the coming years? $25, $50, $200 or more in the next years? The realtor could not specifically answer the question. Thank you.

[Arcenal813]

Ask the HOA. No one else is going to have an answer for that.

[denniswilson]

Originally Posted by Arcenal813

Ask the HOA. No one else is going to have an answer for that.

Thanks...I have to find out who the HOA is. One hasn't been established yet since the builder has only built three units so far and no one has moved in yet. I'm guessing right now the builder is the HOA until all the condos have been built and everyone has moved in. I did a google search for the property address HOA and came up with a law firm. Perhaps that is the HOA for the time being.

I once owned a large New Construction home in Atlanta that was in a brand new Subdivision. The builder was Pulte Homes, a big national builder. They didn't establish the HOA for about 4 years until the subdivision was completed.

[City Guy997S]

Originally Posted by denniswilson

Since I am on a tight budget, how much can I expect the monthly HOA to increase in the coming years? $25, $50, $200 or more in the next years? The realtor could not specifically answer the question. Thank you.

Nobody can.........The insurance for the property is likely going to be the biggest expense for the HOA. If that goes up 25% then your HOA would go up as well.

[sinatras]

If you are on a tight budget, or pre-worrying about HOA fee hikes, then Florida is not for you.
Floridians are being hit with huge increases on HOA fees, car insurance, and many other things. HOA special assessments are also through the roof.

If you live here you can expect fraud and catastrophic weather events to keep influencing cost of living in Fla NEGATIVELY.

[wizrap]

CityGuy is correct. Generally in the last 10 or so years, I would guess that condo/homeowners insurance has about doubled in the state. That would mean an increase of about 7% a year. But we don’t know the future—one strong hurricane or spikes in inflation could change all predictions.

And one other issue you haven’t considered is special assessments. The reserve requirements went up due to the Surfside collapse. You could get a bill that a lump sum is due from each owner. In a small community, although you don’t have a lot of amenities, you also don’t have a lot of units to spread the pain around.

Good luck with your research.