While nothing, including a reserve, can protect a homeowner from inflation, prospective buyers can protect themselves from unexpected assessments by investigating the financial state of affairs for each property they consider. Compare the HOA’s budget and reserve figures with the age and state of the property. Will the funds on hand cover any imminent repairs or planned improvements? Also, it might be worthwhile to buy assessment insurance, which pays all or part of the owner’s share if an assessment is levied..
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