Mortgage Foreclosures Leaving Condo Associations Financially Squeezed

In Palm Beach County, Florida, The Palm Beach Post reports:

• At the CitySide townhouses in West Palm Beach, landscapers, bug men and security guards are showing up less often. At Paradise Cove in West Palm Beach, the water in the hot tub isn't so hot anymore. And at Carriage Pointe in Boynton Beach, homeowners are paying a combined $60,000 assessment to cover dues their neighbors aren't paying.

• The culprit in all three cases is the housing bust. With large numbers of homeowners unable to pay their monthly fees, condominium and homeowners associations are being forced to skimp on maintenance and security - and increase dues.

• Fully half of 487 Florida associations surveyed recently by Hollywood law firm Becker & Poliakoff say they're facing financial shortfalls because of the foreclosure crisis. After all, homeowners who aren't making their mortgage payments aren't paying their association dues either.

For more, see Foreclosures force homeowners associations to skimp.

For a related story, see Sarasota Herald Tribune: Foreclosures cause woes for property associations.