CAI wants Realtors to fully disclose HOA issues

What You Should Know Before You Buy is the last entry in July for the CEO of CAI. It's a response to severe criticism of HOAs and the lack of full disclosure and allegations of misrepresentations in the promotion and selling process. Here's how CAI responds -- it puts the blame on the Realtor organizations.

"But regardless of where you live or what type of home you are considering - you need to be an educated consumer in order to make a purchase decision that is right for you and your family. While some states have very comprehensive disclosure laws regarding the information a seller must disclose to a buyer regarding a home in a community association, other states have very limited or no such requirements. That is why buyers must know what questions to ask of their Realtor and the seller before signing on the dotted line."

Yet, this publication also fails to fully disclose those aspects of loss of rights and homestead exemptions, failing of adequate due process by kangaroo courts, no accountability to the government (purely a civil action and no state penalties for behavior detrimental to society, like abuse of contractual obligations, etc), foreclosure punishments that can be viewed as excessive under the US Constitution, etc. No, nothing at all is mentioned. There is the implication, as above, that the existing state disclosure laws tell all -- not at all!

Consumers must beware. The government is on the side of the developer! And so is CAI.

"Community Matters - What You Should Know Before You Buy". (CAI 7/27/06 publication can be gotten from its web site)