More than half of the estimated 310,000 homeowner and condominium associations in the United States say they are feeling the financial effects from the mortgage foreclosure crisis, according to a national survey of community managers.
Forty-five percent of community managers say their associations face “serious” financial issues as a result of the housing and economic downturn, while 9 percent describe the impact as “severe.”
At least one-quarter of the associations reported a vacancy rate above 5 percent — a rate that cuts into associations’ fees and assessments collections, which are used to fund services like utilities, trash pickup and landscaping.
Economists say that the national investigation into improperly filed foreclosures may extend the crisis for the housing market and hamper recovery.
Complete survey data, compiled by the Community Associations Institute, can be found here.
