One common challenge for IZ programs is that when affordable units are part of home owners associations there is a risk that market rate owners will vote to increase fees beyond the means of lower income owners.
This issue came up on the 12-16-08 Webinar the following brief exchange clarified the concern. If you have ideas or experience about how to best address this issue please post a response to this thread.
Andy Knudtsen:Perhaps the condo fees should be included in the calculation used to set the price of the affordable unit. We have suggested this approach to our clients.
Dena Al-Khatib:The problem with that is that the condo association can raise them or require special assessments. I agree that this would be a topic for a future call.
Heather Shea:That is what we do in Boulder Andy the HOA dues are part of the pricing and affordability calculation. Unfortunately that only helps at the time of the first sale, we have no control over how HOA dues increase in the future
Loryn Clark:We do consider HOA dues in the initial sale, but we're hoping that the 'transfer fee' mechanism will help address the increase in HOA fees over time.