05.16.2016
Comparing reserve account balances is not appropriate but there is a measurement known as Percent Funded which is helpful.
Comparing reserve account balances is not appropriate but there is a measurement known as Percent Funded which is helpful.
An Associating will usually have several options to consider when facing common area expenses related to poor installs other factors which have diminished the useful life of the component.
Providing building plans to the reserve analyst before or at the site inspection is a time saving and money saving option that many property managers can do with minimal effort. The Board will be impressed the reserve study will be more accurate and typically require less time to complete.
Utilize a simple process to find qualified and professional reserve study professionals in your region.
Being too optimistic regarding costs and useful life of components can severely impact the long term budgeting projections and leave a community underfunded right when it needs the funds for replacement of common areas.