What Are The Misc. Housing Costs That Could Throw Your Budget Off When Moving In Retirement?

[brokensky]

Not everyone moves where there is city/county sewer hook up. Or city/county water provision.

People sometimes will remember to ask for the septic tank to be pumped (not that this is a request that home sellers always comply with - but one can put that in the offer to purchase) or to get current info on the last time the septic tank was pumped.

But the thing many of us don't think about is finding out the condition of the pipes to the septic tank. I had to replace all my pipes (outdoors) and that was no small expense.

If there is a well, you will want a water assessment report and also information about the status of the well itself -- and any pump that may be attached.

And if someone hasn't mentioned it, you will want a radon test done, as well (at least, in my part of the country you will want that).

[travric]

While I do not deny that there are poorly-run homeowners' associations, the age of the complex can make a big difference in the fees. If fees are held too low in the early years (thus failing to create a decent reserve fund), then the increases in later years will be all the more dramatic.

So obviously I'd think a good HOA worries about all that. Question is how many????? You know one thing which would make me go nuts is getting 'sandbagged' as the new owner in a complex and then getting hit with an outrageous increase a year or two down the road. How can you protect yourself from that besides asking tons of questions?

[Escort Rider]

Originally Posted by travric

So obviously I'd think a good HOA worries about all that. Question is how many????? You know one thing which would make me go nuts is getting 'sandbagged' as the new owner in a complex and then getting hit with an outrageous increase a year or two down the road. How can you protect yourself from that besides asking tons of questions?

Yes, you have to ask "tons of questions". You need to find out how big the reserve is, how long it's been since the roofs were replaced, how long it's been since there was a monthly fee increase, etc., etc. That's the nature of the beast. Low reserves = red flag. A very long time since a fee increase = red flag. Any evidence of deferred maintenance such as wood trim in dire need of painting = red flag.

In addition you will want to know what the monthly fee covers in order to get a sense of whether it's reasonable. In our case it covers all the water use (gas and electricity are individually metered, but not water), trash pick-up, insurance on exterior of buildings, all exterior maintenance, upkeep of the pool, weekly gardening service, annual termite inspection, and a bonded professional management company to keep the books and collect and disburse the money (you don't want board members who are after all just volunteers handling your money). The biggie is the one I bolded, especially if the complex is more than 15 or 20 years old, as I explained in the other post.