How to Handle Overdue Condo Fees

Condo managers look after the common areas of the condominium complex, like the lobby, parking lots and landscaping. The condo supervisor is also usually responsible for gathering the condo fees, which residents of this construction pay. The fees are used to maintain the complicated and cover any repairs which may be required. Each tenant, or owner of each unit, pays condo fees, typically on a monthly basis. When residents are late with their payment, the supervisor must be sure that the cash is collected.

Write the residents that have outstanding fees a letter to remind them that their payment is late. Do not delay; act within a couple of days of this date the fees are expected. Remind the residents they have a contractual obligation to pay. Include in the letter that the amount due, late penalties, options for repayment, like by cash, check or cashier’s check, and also the address where the payment ought to be sent.

Limit the amenities that the tenant is able to utilize on the grounds. The condo fees help to maintain the amenities on the grounds; therefore, the tenant shouldn’t have the ability to use the facilities. For instance, prevent him from using the swimming pool, exercise room or attending a holiday party. The bylaws of the condo association should detail the features and facilities for which access can be restricted.

Seek the guidance of an attorney experienced in condominium cases. It is possible that the resident will take the situation more seriously if he’s contacted by an lawyer. Instruct the lawyer to inform the resident of all money due, which may include the original amount, added late fees and the additional cost of lawyer fees. If the resident is having trouble paying, especially with the added costs, you might think about offering a payment plan, in which the fees are spread out over six or 12 months.

File a suit in small claims court. You might have the ability to obtain a court judgment to garnish the delinquent owner’s wages or attach his bank accounts. In addition, a suit can also prompt the owner to bring his condo fees current since a court order can damage his credit record. The procedure for filing a lawsuit varies by condition; consult with an lawyer to be sure you’re following all appropriate procedures.

File a lien against the land. This will not bring a direct resolution, but if the person who owns the unit sells his condo, then the debt will have to be brought up to date. A lien also sends the message which the delinquent penalties are a serious matter. Most states allow liens to be submitted when the debt is 30 or even 60 days delinquent; check with your condition to ascertain the right quantity of time. Find a lien form from an office supply store or the circuit or county court on your town. Talk to an lawyer to be sure the lien form is filled out correctly. File the form with the circuit, county or superior court in your city. You should get notice of a court within the coming weeks, depending on the pace of the particular court.

See related