What insurance is required for HOA in Washington state?
The board of directors must maintain insurance policies on all common property. Property insurance, commercial general liability insurance, and fidelity insurance are mandatory.
Homeowners Associations (HOAs) in Washington State are governed by a series of state and federal laws, the most comprehensive of which is the Washington Uniform Common Interest Ownership Act (WUCIOA). These laws provide a framework for HOA operations, including financial management and property rights.
HOA fees typically cover the costs of maintaining common areas, such as lobbies, patios, landscaping, swimming pools, tennis courts, a community clubhouse, and elevators. In many cases, the fees cover some common utilities, such as water/sewer fees and garbage disposal.
HOA insurance is a type of commercial property insurance that is paid through the dues you pay your homeowners association (HOA). It covers physical damage to structures and common spaces managed by your HOA as well as certain liability expenses.
Washington law currently does not dictate a limit or maximum rate an HOA can raise its dues. Members also usually need not vote on increases in dues, except as otherwise provided in the declaration.
The most important thing to know about HOA evictions is that your HOA can't legally evict you unless they own the home you're living in. They can place a lien on your house if you don't pay your HOA fees, even if your mortgage is up-to-date.
To create a homeowners' association, the initial board of directors or declarant must draft and adopt a community declaration. The declaration will include all the rules and regulations set forth by the association along with a map of all property within the community.
Nationally, about 22% of homes are part of an HOA. In Washington, 944,000 of the state's 3 million homes, 31.2%, are in a homeowner association. That ranks fourth among U.S. states. The average monthly HOA fee in Washington is $388.
The COA or HOA can usually get a lien on your home if you become delinquent in paying the assessments. After you default on the assessments, the COA or HOA may foreclose. Lien priority determines what happens to other liens, like a mortgage, if a COA or HOA lien is foreclosed.
At the state level, New York and Hawaii have the most expensive HOA fees in the country with median monthly fees of $570 and $520 respectively—meaning 50% of residents pay more.
What is an h06 policy?
Sometimes referred to as “HO6 insurance,” condo insurance can cover liability claims, damage to your condo unit and belongings, and additional living expenses if you're unable to stay in your residence due to a covered incident.
Since condo owners typically only have to insure the interiors of their homes, their liability insurance will only cover accidents that happen inside their units. Homeowners must insure their homes inside and out, so their liability coverage extends to the whole property.
Homeowners insurance includes coverage for your dwelling, personal property, liability, and loss-of-use. HOA insurance is paired with homeowners insurance if your home is part of an HOA. The master policy will usually cover property damage and liability expenses in shared spaces like a pool or a park.
HOA Powers in Washington
Additional powers of an HOA are outlined in the HOA's governing documents. The governing documents can give the HOA numerous powers, including restrictions on home ownership. Some restrictions may include exterior paint colors, fencing, and parking requirements.
The lowest average monthly HOA fees are in Arkansas ($202),
In Arkansas, the average monthly fee is $202, indicating that homeowners in this state pay less compared to residents in other states for these shared amenities and maintenance services.
Disadvantages of HOAs
HOA fees can increase over time. Amenities like pools, common green areas, and fitness centers. Restrictions on what you can do. HOAs can mediate conflicts between neighbors.
Every HOA has a set of CC&Rs (covenants, conditions, and restrictions) managed by an elected HOA board. These regulations control certain aspects of community life and may forbid rentals of any kind. If you bought a home in an HOA where the CC&Rs prohibits rentals, you must comply with this restriction.
If you live in an HOA community, you do not have the option to opt-out. However, if you are interested in getting rid of the HOA, there is often a way to do so; be advised the process is difficult, lengthy, and very costly.
The members of any association may by the vote of two-thirds of the members voting thereon, at any regular meeting or at any special meeting called for that purpose, vote to dissolve said association after notice of the proposed dissolution has been given to all members entitled to vote thereon, in the manner provided ...
The resale certificate is provided by the seller to prospective buyers. In Washington State, a resale certificate is require by law. Resale certificates contain a variety of information about a condo complex.
How do you get around a homeowners association?
- Sell your house. ...
- Invoke a de-annexation clause. ...
- Wait for the HOA or membership to end. ...
- Grandfather out. ...
- Organize to dissolve the HOA.
The Association's governing documents likely state that paying Board members is expressly forbidden. Board members are considered volunteers.
Your HOA's governing documents should outline what fees cover specifically — some common examples include grounds maintenance and landscaping, snow and trash removal and electricity and pest control for common areas. HOA dues can also pay for enforcement of HOA rules.
| METRO AREA | AVERAGE MONTHLY FEE |
|---|---|
| Phoenix | $144 |
| San Francisco | $325 |
| Seattle | $243 |
| Washington, D.C. | $246 |
$0.71 is the average monthly assessment owners in Seattle pay to their Condominium Associations per square foot (was $0.64) $0.61 is the average monthly assessment owners in Puget Sound pay to their Condominium Associations per square foot (was $0.52)
