Inflation, Crime and HOA Budgets

Due to the unprecedented inflation currently taking place in the United States, most homeowner associations are finding it necessary to re-evaluate their operating budgets and reserve budgets. The cost of electricity, water, and natural gas has continued to skyrocket, and all products that are oil based such as roofing materials, paint, wood stain, plastic, and many chemicals are increasing in price, quite dramatically. Also, the higher cost of gasoline has increased costs for contractors and maintenance companies resulting in increased costs for associations. Lastly, the huge increase in crime we are experiencing all over the country has resulted in insurance companies increasing their insurance premiums for nearly every type of insurance policy. Now is the time to reevaluate your association’s budget in order to avoid special and emergency assessments in the near future.