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Difference Between a (Licensed) Community Association Manager and a Property Manager?

Difference Between a (Licensed) Community Association Manager and a Property Manager?

  • Posted: Feb 24, 2022
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Difference Between a (Licensed) Community Association Manager and a Property Manager?

The roles, responsibilities, and differences between these two jobs Key takeaways:

Find Property Managers

The terms property manager and community association manager are sometimes used interchangeably, but there are important differences.
Each job has its own responsibilities and functions. Property managers primarily work with tenants and oversee individual apartment units or homes.

A property manager’s typical responsibilities include collecting rent, showing vacant units to prospective tenants, and handling maintenance and repairs for individual apartments or homes.
Community association managers typically work with the board of directors of an HOA or COA.

A community association manager’s usual duties include preparing budgets, collecting bids from vendors, and overseeing repairs and maintenance of amenity spaces or common areas.
A property manager deals with the day-to-day operations of a property or an association, whereas a community association manager is more likely to be involved in large-scale or big-picture projects that affect the community as a whole.

It is important to know the differences between a property manager and a community association manager to hire the right professional for the task and contact the right person with your question or concern.
You may have heard the terms property manager and community association manager used interchangeably. While the two job titles have similarities, there are also key differences between them. If you’re a real estate or property management professional – or a vendor who serves these industries – it is important to understand that property managers and community association managers have different responsibilities and job functions. We will outline them below.

 

Property managers
A property manager is typically the liaison between tenants or homeowners and an HOA (homeowner’s association). They are responsible for individual units in an apartment, condo, or homes in a neighborhood or community.

Property managers oversee the physical property itself and generally respond to tenant inquiries about their particular unit. They are usually the ones who manage leases, collect rent or Condo/HOA payments, handle maintenance and repairs for units or homes, and address tenant complaints and concerns.

The core responsibilities of a property manager include:

Rent or HOA payment collection
Repair management and maintenance for each unit or home
Vacant unit showings to prospective tenants
Responding to tenant complaints
Inspecting units after tenants move out
Handling an eviction process
Community association managers
Community Association Managers (CAMs) are usually in charge of budgets, record-keeping, and managing community spaces such as a clubhouse, pool, or community landscape features. They’re involved in all aspects of running the HOA (if there is one) or the community and thus have extensive knowledge of HOA governing rules and local applicable laws.

LCAMs

Are usually hired by the board of directors of a homeowner’s association (HOA) or condo owner’s association (COA). They may plan community activities and help enforce community rules. A CAM’s exact duties are likely to vary slightly depending on the hiring association, but broadly speaking, they’re in charge of big-picture tasks and responsibilities.

The Core responsibilities of a CAM include:

Supervision of community maintenance, such as common areas, pool cleaning, landscaping, etc.
Creation and overseeing of budgets.
Site inspections.
Negotiation of contracts for common property repairs or enhancements.
Assisting the board in selecting vendors; collection and presentation of bids for projects.

The key differences

Both property managers and CAMs might handle tasks such as pool maintenance or trash collection, but in general the former takes on the responsibilities of a landlord while the latter oversees larger-scale projects and activities that have implications for the entire community. You can think of property managers as dealing primarily with individual tenant needs and CAMs as handling the needs of the entire building, neighborhood, or association.

Most states require property managers to obtain a real estate license, but this isn’t the case for CAMs. They may or may not have a real estate license, but they should be well-versed in local housing laws and know the rules of the owner’s association that hired them. It is important to properly vet prospective candidates whether you’re seeking a property manager or a CAM.

Why the differences matter
It is important to know the differences between a LCAM and a property manager so that you can hire the right professional for the tasks at hand. From a tenant, unit owner, or vendor perspective, knowing the differences between these two roles can help you determine which person to address with a specific questions or problem.

 


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Humans have a powerful connection to water. Learn how consistent lake management can help create happier, healthier communities.

Humans have a powerful connection to water. Learn how consistent lake management can help create happier, healthier communities.

  • Posted: Feb 18, 2022
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Improve YOUR Wellness with Healthy Water

Humans have a powerful connection to water. Learn how consistent lake management can help create happier, healthier communities.

 

It is scientifically proven that being around healthy, beautiful water can reduce anxiety and stress, boost creativity and improve our overall wellness. This is one of the many reasons why our community’s freshwater resources should be maintained with diligence. Discover how to best manage water quality issues and create a more relaxing, enjoyable space you, your loved ones, and your community can enjoy.

 

How Consistent Lake Management Helps Create Happier, Healthier Communities

Lakes, rivers, beaches, and even swimming pools have beneficial effects on the well-being of visitors that are hard to define. Water is not only essential for our survival, it has a profoundly relaxing and refreshing impact on people’s mental health and happiness. Human beings will always be inextricably connected to water physically, mentally, and spiritually. This helps explain why communities near large water systems are common vacation destinations and highly desirable places for residential communities. It also underscores the importance of preserving our precious aquatic resources.

The Effects of Poor Water Quality

Maintaining balanced aquatic ecosystems is more important than ever as water scarcity, eutrophication, drought, and increasing demand continue to cause depletion and degradation of water quality worldwide. Water pollution can lead to Harmful Algal Blooms, toxicity, nuisance and invasive aquatic weed growth, bad odors, and taste issues in drinking water reservoirs – among many other issues. These types of water quality challenges can lead to diminished property values and will undoubtedly have a negative effect on swimming, boating, fishing, wildlife watching, and overall enjoyment of nature.

Understanding the Cause of Water Quality Issues

In many areas, it’s common for water quality problems to shut down lakes and beaches throughout the summer, but few people are cognizant of why these problems occur and how significantly they can threaten our innate connection with the water. Assessing and addressing issues with water quality requires the experience and knowledge of experts who focus on optimizing all the benefits that balanced water can provide.

Preserving and enhancing water quality calls for successful proactive management with long-term results in mind. Lake and pond management is a science and taking all variables into account is the only way to address water quality issues at their root causes. Aquatic biologists pay close attention to detail and consider the entire aquatic ecosystem when collecting sound physical, chemical, and biological data.

Set A Management Baseline with Water Quality Assessments

Water quality assessments are a common starting point to uncover this important information and identify potential nutrient imbalances, pollutants, watershed inputs, algal populations, or other problems. With every visit to your waterbody, aquatic biologists can learn more from each new water sample.  This data creates a basis for management recommendations and informs the use of eco-friendly tools and advanced technologies.

Determining the Best Solutions for Your Waterbody

Depending on the challenges your waterbody faces, it may require a combination of solutions. Fountains and submersed aerators are excellent at increasing healthy dissolved oxygen levels in the water while circulating different areas of the water column. Likewise, new aeration solutions like side stream supersaturation are changing the game by making it possible to directly inject oxygen into the water to correct deficiencies, eliminate bottom muck, and potentially end reliance on herbicides.

Utilizing New Technologies

In the event that herbicides are required to achieve lasting aquatic weed control, advanced drone technology is now available to efficiently and precisely target affected areas. Drones also aid in surveillance, making it easier than ever to identify problems such as eroded shorelines, which can be rebuilt with innovative mesh technologies that integrate seamlessly into the landscape for lasting stabilization. These efforts are often paired with sediment removal strategies like hydro-raking and the application of nutrient management products that prevent future algae and aquatic weed growth. These steps can be further supported with the introduction of deep-rooted native vegetation, which form beneficial shoreline buffers that prevent undesirable nutrients and pollutants from entering the water.

Reach Your Goals with an Annual Management Program

These solutions provide immediate benefits, but they are not permanent. Lakes and ponds require year-round care for long-term success. An annual management program comprehensively supports aquatic ecosystems with many of these solutions and others that nurture waterbody health and functionality. When an annual plan is uniquely tailored to the individual characteristics of your waterbody, you can maximize the many physical, mental, and spiritual benefits of time spent in and around the water.

 

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WILL THE ASSOCIATION’S DENIAL OF AN ARCHITECTURAL REQUEST WITHSTAND CHALLENGE? Many Won’t – Find Out Why

WILL THE ASSOCIATION’S DENIAL OF AN ARCHITECTURAL REQUEST WITHSTAND CHALLENGE? Many Won’t – Find Out Why

  • Posted: Feb 15, 2022
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WILL THE ASSOCIATION’S DENIAL OF AN ARCHITECTURAL REQUEST WITHSTAND CHALLENGE?

Many Won’t – Find Out Why

For many homeowners associations, a top priority is ensuring that the homes in the community are maintained in conformity with the “community-wide standard.” But, what is this subjective standard? How is compliance measured? What is the process to be judged when a request to the association’s architectural review committee (ARC) is made? The ARC is instrumental in ensuring that the community-wide standard is met. However, your association may run into a problem if the ARC denies a request from a homeowner if the association has not adopted specific, objective criteria and guidelines on which the ARC can rely.

    Sometimes applications to the ARC are denied because the proposed modifications were not “in harmony” with the other homes in the community or did not conform with the “community-wide standard.” However, such a limitation is vague, and a denial based on whether a particular modification is “harmonious” is subjective. Thus, the members are entitled to specific guidelines regarding what is allowed and what is not allowed, and in fact, this is required by law.

    The association’s ARC can only be as effective as the objective guidelines and standards drafted into the declaration and board-adopted rules. If your ARC is relying on aesthetics or other subjective criteria that are simply “personal preferences” rather than written, adopted, and published objective standards and guidelines, any disapproval is vulnerable to a successful challenge. In fact, in the seminal case regarding approval of architectural modifications, Young v. Tortoise Island Homeowner’s Ass’n, Inc., 511 So.2d 381 (Fla. 5th DCA 1987), the court held that where the governing documents were silent as to the modification at issue, a denial could not be based on the architectural control board’s opinion regarding “aesthetics, harmony and balance—admittedly very personal and vague concepts.”

    In Young, the owners submitted an application to build a flat roof on their home. The homes immediately surrounding the home were all peaked roofs. Nothing in the governing documents prohibited an owner from building a flat roof, and the requested roof complied with all of the specific requirements set out in the governing documents. However, the architectural control board denied the owners’ request because there was a “very strong feeling” that the flat roof would not be “architecturally compatible with the other homes.” In the end, the Youngs built the flat roof despite the association’s disapproval, arguing that the architectural control board had no authority to impose a prohibition against flat roofs. The court agreed with the Youngs, holding that

            “In the absence of an existing pattern or scheme of type of architecture which puts a prospective purchaser on notice that only one kind of style is allowed, either in the recorded restrictions or de facto from the unified building scheme built on the subdivision, such a board does not have the power or discretion to impose only one style over another based purely on ‘aesthetic concepts.’”

    The flat roof violated no recorded restrictions, no objective rule adopted by the association, and no de facto common existing building style in the community. Therefore, the court held that it was beyond the power of the architectural review board to prohibit the flat roof.

    The concept in Young was further codified in 2007 in §720.3035(1), Florida Statutes, which provides that an association or the ARC has the authority to review and approve plans and specifications only to the extent that the authority is specifically stated or reasonably inferred as to location, size, type, or appearance in the declaration or other published guidelines and standards. More specifically §720.3035(1), Florida Statutes, provides that the authority of an association or any architectural, construction improvement, or other such similar committee of an association to review and approve plans and specifications for the location, size, type, or appearance of any structure or other improvement on a parcel, or to enforce standards for the external appearance of any structure or improvement located on a parcel, shall be permitted only to the extent that the authority is specifically stated or reasonably inferred as to such location, size, type, or appearance in the declaration of covenants or other published guidelines and standards authorized by the declaration of covenants.

    In other words, the ARC can only approve or deny requested modifications based on objective standards with specificity as to location, size, type, or appearance that are set out in the declaration or other published guidelines and standards. Without specific, objective standards to rely upon, the ARC is at risk of making arbitrary decisions regarding approval. Basing ARC denials on concepts like “aesthetics, harmony, and balance” will land the association in hot water if an owner challenges such denial. It is far safer to base approval or denial on objective standards as set out in the declaration or as adopted by the board.

    Creative drafting by an association’s attorney is critical in order to capture those ARC applications where a member may request a modification that is not squarely addressed by the governing documents. In plain English, a “catchall” amendment to the declaration can be artfully drafted that stands for the proposition that, if such a request is made, then the existing state of the community is the applicable standard by which the application is to be judged. For example, if the Tortoise Island Homeowner’s Association had had such a provision in its declaration, then given that there were no flat roofs in the community, the existing state of the community may have provided a lawful basis for the ARC to deny the request, thus possibly leading to a whole different result in the case.

    On a related note, there are strict procedural requirements that your association must follow, most especially if the ARC intends to deny an ARC request. It is likely many ARCs do not conduct their activities in conformity with Florida law such that a denial could withstand judicial scrutiny. Pursuant to §720.303(2), Florida Statutes, a meeting of the ARC is required to be open and noticed in the same manner as a board meeting. In other words, notice of the ARC meeting must be posted in a conspicuous place in the community at least 48 hours in advance of the meeting, and the meeting must be open for the members to attend. In addition, pursuant to §720.303(2)(c)3., members of the ARC are not permitted to vote by proxy or secret ballot. Bare bone minutes should be taken as well to create a record of ARC committee decisions, most especially denials.

    We hear from many associations that the ARC does not meet openly or notice their meetings. This leaves any decision made by the ARC vulnerable to challenge. If the ARC denies an application but fails to do so at a properly noticed meeting, the owner can challenge the denial claiming that it is not valid as the ARC did not follow proper procedures. Many declarations contain language which provides that if an ARC application is not approved or denied within a certain period of time, the application is deemed approved. In that case, if the ARC’s denial of an application is not valid because the ARC failed to comply with the procedural requirements for the meeting, an application which violates the declaration or the ARC standards may be deemed approved by operation of the declaration! By complying with the provisions of Chapter 720, Florida Statues, your association can avoid that disaster.

    Practice tip: Remember that notice of any board meeting at which the board will consider a rule which restricts what an owner can do on their parcel must be mailed, delivered, or electronically transmitted to the members and posted conspicuously on the property not less than 14 days before the meeting.

    If your association has not adopted objective ARC standards and guidelines including the “catchall” provision discussed above, now is the time to start! We recommend that you contact your association’s counsel prior to drafting such rules to ensure that the association is in compliance with the requirements of the governing documents and Chapter 720, Florida Statutes.

 

Jeffrey Rembaum’s, Esq.

legal practice consists of representation of condominium, homeowners, commercial and mobile home park associations, as well as exclusive country club communities and the developers who build them. Mr. Rembaum is a Board Certified Specialist in Condominium and Planned Development Law and is a Florida Supreme Court Certified Circuit Civil Mediator. He is the creator of “Rembaum’s Association Roundup,” an e-magazine devoted to the education of community association board members, managers, developers and anyone involved with Florida’s community associations. His column appears monthly in the Florida Community Association Journal. Every year since 2012, Mr. Rembaum has been selected to the Florida Super Lawyers list, and was also named Legal Elite by Florida Trends Magazine.

He can be reached at 561-241-4462.

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Join Becker Shareholders Steven H. Mezer, J. David Ramsey, and Senior Attorney JoAnn Nesta Burnett for this online class: 2/17 at 1:00 PM EST!  Emotional support animals on the property despite pet or animal restrictions.

Join Becker Shareholders Steven H. Mezer, J. David Ramsey, and Senior Attorney JoAnn Nesta Burnett for this online class: 2/17 at 1:00 PM EST!  Emotional support animals on the property despite pet or animal restrictions.

  • Posted: Feb 15, 2022
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Join Becker Shareholders Steven H. Mezer, J. David Ramsey, and Senior Attorney JoAnn Nesta Burnett for this online class:

2/17 at 1:00 PM EST!

Emotional support animals on the property despite pet or animal restrictions.

Register Today!

2/17 at 1:00 PM EST! Join Becker Shareholders Steven H. Mezer, J. David Ramsey, and Senior Attorney JoAnn Nesta Burnett for this online class where you will learn about the Fair Housing laws on the state, federal and local level that impact community operations and actions with respect to requests to maintain emotional support animals on the property despite pet or animal restrictions.

Participants will learn about the Fair Housing laws on the state, federal and local level that impact community operations and actions with respect to requests to maintain emotional support animals on the property despite pet or animal restrictions.
Some topics to be discussed:
• Fair Housing Act and Disability Accommodations
• Evolving Law of “Prescription Pets”
• Establishing a Handicap
• Competing Definition of Service Animal Under ADAAA and FHAA
• What to do When the Disability is Not Obvious
• What a Disabled Person Needs to Provide in Order to Own a Service Animal
• Innate Qualities of Service Animal
• Failing to Make Reasonable Accommodations and Modifications
• What to do when “Skeptical” Information is Provided
• Damages and Penalties for Discrimination
• Register Now
CEU INFORMATION
Florida
Provider: #0000811
Course: #9630287
Credit: 1 ELE
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The Broward County Condo & HOA Expo. February 15th at The Signature Grand.

The Broward County Condo & HOA Expo. February 15th at The Signature Grand.

  • Posted: Feb 12, 2022
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The Broward County Condo & HOA Expo. February 15th at The Signature Grand.

Come meet with the top Industry Professionals and Companies serving Condo and HOA’s.

SFPMA has so many of our members that take part in the Expos and Events for our Industry.

Learn how our members can help you with your Buildings.

 

If you have not Registered Please Do it Now!

 

Keep up to date with All of the Events on SFPMA

 

We’re excited to give away a $10,000 shoreline makeover to help enhance one lucky winner’s waterbody! by SOLitude

We’re excited to give away a $10,000 shoreline makeover to help enhance one lucky winner’s waterbody! by SOLitude

  • Posted: Feb 12, 2022
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Win a $10,000

Extreme Shoreline Makeover

Is your eroded shoreline hindering the enjoyment of your waterbody? Enter to win a shoreline makeover and enhance your lake or pond.

We believe balanced, healthy waterbodies help create meaningful experiences on and around the water, but erosion damage creates dangerous shorelines that severely affect our ability to enjoy our lakes and ponds. That’s why we’re excited to give away a $10,000 shoreline makeover to help enhance one lucky winner’s waterbody!

HOW TO ENTER:

Click the button below and submit a photo(s) of your eroding shoreline along with a few sentences sharing why your waterbody deserves this $10,000 makeover.

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Attention to detail. A simple phrase that’s not always so simple to comply with, especially in a community association context.

Attention to detail. A simple phrase that’s not always so simple to comply with, especially in a community association context.

  • Posted: Feb 09, 2022
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Attention to detail. A simple phrase that’s not always so simple to comply with, especially in a community association context.

by Howard J. Pearl / Becker

There are several technical provisions in the statutes governing community associations that
must be complied with. Chapters 607, 617, 718, 719, and 720, Florida Statutes have numerous
requirements that associations must adhere to. A few examples include meeting notice
requirements, board member eligibility requirements, record inspections, and others.
Associations must be cognizant of changes to the statutes regarding such requirements, some of
which pertain to regular or recurring events.
As associations go through the process of annual and election meeting notices, budget meeting
notices, etc., one cannot just blindly use the previous year’s notice as a template for the current
year’s notice. Associations must review any changes in the statutes to ensure this year’s notices
are still in compliance. Having your association attorney prepare, or at least review, all such
notices before they are sent out will help ensure the association is in compliance with the most
recently enacted statutes.
For example, Section 718.112(2)(d)(2.), Florida Statutes, previously provided that a person who
is delinquent in the payment of any monetary obligation due to the association, is not eligible to
be a candidate for board membership and may not be listed on the ballot. That provision was
changed in 2021 to now provide that a person who is delinquent in the payment of any
assessment due to the association, is not eligible to be a candidate for board membership and
may not be listed on the ballot. A small but significant difference. If your election meeting notice
includes any information about candidate eligibility, blindly copying the previous year’s notice
would have the association sending out inaccurate information regarding board member
eligibility. Attention to detail.
Another example pertains to a condominium unit owner’s suspension of voting rights due to a
delinquency. Section 718.303(5), Florida Statutes, previously provided an association may
suspend the voting rights of a unit or member due to nonpayment of any fee, fine, or other
monetary obligation due to the association which is more than 90-days delinquent. That
provision was changed in 2017 and now provides that an association may suspend the voting
rights of a unit owner or member because of nonpayment of any fee, fine, or other monetary
obligation due to the association which is more than $1,000 and more than 90-days delinquent.
While this change went into effect a few years ago, unfortunately I still run across associations
attempting to suspend voting rights of owners who are more than 90-days delinquent, but such
delinquency is not more than $1,000. Again, attention to detail.
Another area where attention to detail is necessary is the preparation of limited proxies. When
voting on a waiver of reserves in a condominium, Section 718.112(2)(f)(4), Florida Statutes,
provides that proxy questions relating to waiving or reducing the funding of reserves or using
existing reserve funds for purposes other than those for which the reserves were intended must
contain the following statement in capitalized, bold letters in a font size larger than any other
used on the face of the proxy ballot: “WAIVING OF RESERVES, IN WHOLE OR IN PART,
OR ALLOWING ALTERNATIVE USES OF EXISTING RESERVES MAY RESULT IN
UNIT OWNER LIABILITY FOR PAYMENT OF UNANTICIPATED SPECIAL
ASSESSMENTS REGARDING THOSE ITEMS.” When reviewing limited proxies prepared by
associations for such votes, very frequently I notice that while the disclaimer language is in
capitalized, bold letters, it is not in a font size larger than any other used on the face of the proxy
ballot. Attention to detail.
Posting of meeting notices is required by the statutes. Forty-eight (48) hours’ notice for a regular
board meeting; fourteen (14) days for some board meetings; 60-days for election meetings, etc.
Only mailing, or emailing notices is not sufficient. Some meeting notices require an association
to execute a proof of meeting notice (usually an affidavit signed by an association board member
or manager). While these notice requirements may seem trivial, especially since the notices are
mailed and/or emailed to owners, they are required by statute. Failure to properly post such
notices may result in any action taken at said meeting being void. Failure to maintain proof of
meeting notices when required may have the same effect, if any action taken at said meeting is
challenged. Attention to detail.
In regard to homeowner associations, Section 720.306, Florida Statutes, previously provided that
official notices were to be sent to the address on the property appraiser’s website. That provision
was changed to provide that official notices once again are to be sent to the mailing address in
the official records of the association under section 720.303(4), Florida Statutes. Attention to
detail.
There have been technical changes in how associations must notify owners of delinquent
assessments before the owner can be sent to the attorney for collections. These are technical
requirements that should be discussed with your association attorney. Blindly following previous
practices in regard to such collection notices and actions will result in delays and owner defenses
to association collection actions. Attention to detail.
In regard to budgets, remember that budgets mailed to association members must contain the
period of the budget year (for example, Jan 1, 2022 – Dec 31, 2022). I have seen many
associations go through the arduous process of preparing and adopting a budget, only to have
such budget challenged by a member because it did not contain the actual budget period, even
though there was enough information on the budget to know what period it was for. Attention to
detail.
While some of the above matters may seem minimal in regard to their impact on the association
or its members, the Florida Department of Business and Professional Regulation, Division of
Condominiums, Timeshares and Mobile Homes (“Division”) has recently changed its approach
in regard to association education versus fining. In the past, a first violation of one of the above
provisions, or another what would appear to be “minor” violation, was generally resolved by the
issuance of a warning letter from the Division, recounting the violation, the remedial measures,
and a warning to the association that future similar violations could result in a fine. Those
“warning” days appear to be over, as the Division has adopted a much more stringent
enforcement posture, which usually results in a fine to the association, even for a first violation
of a seemingly minor provision. Fines range from $10 to $30 per unit, with a maximum fine of
$5,000. I have seen recent cases where the Division initially sought to impose the maximum
$5,000 fine for an initial, minor violation (minor in accordance with Rule 61B-21, Florida
Administrative Code.)

Howard J. Perl

Shareholder

 HPERL@beckerlawyers.com

 

 

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Join The Falcon Group in congratulating our two newest Principals of the firm!  Mr. Steven Lang, R.A., AIA, NCARB  and Mr. Sinisa Kolar, P.E.

Join The Falcon Group in congratulating our two newest Principals of the firm! Mr. Steven Lang, R.A., AIA, NCARB and Mr. Sinisa Kolar, P.E.

  • Posted: Feb 09, 2022
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Join The Falcon Group in congratulating our two newest Principals of the firm!

Mr. Steven Lang, R.A., AIA, NCARB

and Mr. Sinisa Kolar, P.E.

Steve Lang oversees Falcon’s building envelope division for the New Jersey, New York State and Connecticut regions. His responsibilities encompass all low-rise, mid-rise and high-rise building envelope and roof related projects within these regions. Steve has been the architect of record on 250 successful roof replacements. He assists clients in identifying deficient conditions, executing detailed investigations of specific concerns or complaints, developing repair details and specifications, and oversees a team of Project Managers, Senior Project Managers and Architects.

Sinisa Kolar is based out of the Miami office for The Falcon Group and brings over a decade of both international and domestic experience in all aspects of construction and engineering to the firm. Some of his responsibilities include design, construction, quality control, litigation support, retrofit and repairs of various residential and commercial structures. He works very closely with developers, contractors, attorneys, management companies, condominium and homeowner associations, private clients as well as architects and engineers.

Congratulations to you both on your new positions at The Falcon Group and we cannot wait to see all of the successes and what the future holds with you two as Principals!

CONTACT US

www.thefalcongroup.us

info@thefalcongroup.us

(908) 595-0050

Real Estate Agent vs. Broker in Florida

Real Estate Agent vs. Broker in Florida

What is the Difference Between a Real Estate Agent and a Broker in Florida?

by Prolicense Florida

If you are just beginning your Florida real estate career, or coming with experience from another state, it’s important to understand the differences between a sales associate (real estate agent) and a broker. It is also useful to know the required qualifications and duties of these two types of real estate licenses in Florida.

The Sales Associate

Sales associates are most commonly called “real estate agents” by the public. In Florida, a sales associate is a licensed real estate professional who can list properties, carry sales transactions, represent buyers or sellers, and earn commissions. Sales associates provide the necessary information to guide their clients through the contractual aspects of the purchase or sale. They arrange showings and negotiate transactions.

A sales associate must always work under the direction of a broker.

A licensed sales associate is allowed to practice in five (5) main sales specialties of the real estate market:

  • residential

  • commercial

  • industrial

  • agricultural

  • business

They are no additional education requirements to practice in any of these specialties. Once you get your sales associate license, you are free to market your expertise in any of these fields.

To obtain a sales associate license in Florida you must:

  1. Complete a pre-licensing course of 63 hours.

  2. Get your fingerprints taken.

  3. Submit an application to the State.

  4. Pass the Florida real estate sales associate exam.

Florida has reciprocity with 10 states. Mutual recognition means that if you are licensed in one of these states, you can bypass the education requirement.

After getting your license, you will be required to complete post-licensing and continuing education to maintain your right to practice as a sales associate.

The Real Estate Broker

To become a real estate broker in Florida you must first have experience as an active Florida sales associate for at least 24 months or must have held a valid real estate license for at least 24 months in any other jurisdiction of the United States.

Brokers can operate independently, or have sales associates work for them. A broker can list and show properties just like a sales associate, but a sales associate cannot perform the duties of a broker.

Brokers oversee their sales associates, making sure their clients get the best service and that all laws are being observed. Brokers may be disciplined for failing to direct, control or manage sales associates who work under them.

A broker may elect to change her/his license from “broker” to “broker sales associate.” A “broker sales associate” is a real estate broker licensee who prefers to operate as a sales associate in the employ of another broker. A broker sales associate avoids the additional responsibilities and compliance requirements of an actual real estate broker.

To get a real estate broker license in Florida you must:

  1. Complete a Pre-Licensing Course of 72 hours.

  2. Get your fingerprints taken.

  3. Submit an application to the State.

  4. Pass the Florida real estate broker exam.

 

The Pros of Becoming a Real Estate Broker

• More control over your career

• Earn higher income

• Establish and run a property management company

• Use your experience to get leverage in marketing

 

The Cons of Becoming a Real Estate Broker

• More Requirements

• More Responsibility

• More Risk

As you plan your future as a real estate professional, consider your personal goals and how much responsibility you want to accept. The sky is the limit!

 

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Fishy Legal Tactics HOA Attorneys Have Used for Collections by Mitch Drimmer

Fishy Legal Tactics HOA Attorneys Have Used for Collections by Mitch Drimmer

  • Posted: Feb 05, 2022
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Fishy Legal Tactics HOA Attorneys Have Used for Collections

Mitch Drimmer  / Axela Tech

 

Thinking outside the box can be great, especially in the homeowners association and condo association industry. It’s what makes our signature collections process here at Axela so successful.

But out-of-the-box thinking can be used against you, too. Attorneys are always looking for new ways to make the most money, even HOA attorneys. Time and again we’ve seen the tricks they use claiming to try to collect for your association, but really they’re just lining their own pockets. So often, using an HOA attorney ends with the association losing the money owed to them, and having to pay on top of that to cover lengthy legal efforts that didn’t succeed anyway.

Every time we hear stories about the crazy lengths some lawyers will go to when collecting for HOAs or condos, we start to think maybe the box is there for a reason.

Unjust Enrichment Someone Expense Someone Else

Unjust Enrichment

A while back we talked about a community in a sticky collections situation. One of their unit owners had passed away, leaving a mortgage-free title to an heir. But, it came with a $13,000 tax certificate (which had been sold to an investor) and $17,000 owed to the association, as well as a tax-deed sale that had already been set. The perfect storm for the association to lose out on a hefty chunk of change. Now Axela was able to draft a clever plan to avoid that and had to act quickly to make it work, but if we hadn’t been called in, here’s what would have happened:

The HOA’s attorney wanted to let the unit go to the tax-deed sale and then file a suit for something called “unjust enrichment.” This is a claim basically stating that someone (in this instance, the investor who’d purchased the tax certificate) was paid at the expense of someone else (the association).

This is a risky play for a lot of reasons: first, if the tax sale goes through, the money owed to the association is ‘wiped out,’ meaning there is no chance of recovering money from the sale or from the owner after the fact. Additionally, if the judge found that the investor was not unjustly enriched (which is the likely outcome) their tax lien would have been rightly prioritized over association fees.

So the idea of unjust enrichment was a wild reach that was almost certainly going to be unsuccessful in recovering for the association. But it would have been a definite way to tack on a ton of hours in legal fees for the attorney, wouldn’t it?

Fishy Lawsuits Questionable HOA Attorneys

Sneaking In New Rules

Fishy lawsuits aren’t the only questionable trick attorneys have up their sleeves. One client we worked with had an attorney attempt to completely ignore state statutes by advising the Board to modify the community’s governing documents to contradict state laws. This was complicated and unethical for several reasons, like the fact that governing documents don’t overrule state statutes (something an HOA attorney would be WELL aware of!) so the attorney’s time and counsel which they charged the association for were totally unnecessary.

To add insult to injury, these changes were made to try to force the bank to take responsibility for debt owed to the association, creating a lengthy legal battle as part of this ridiculous plan. Again, we’re seeing a trend of attorneys being paid but the association not recovering their lost income – in fact, the community often winds up owing the attorney more for their efforts and having to write off the bad debt from the delinquent assessments. Talk about throwing good money after bad!

Attorneys Being paid associations not recovering

Just Because it’s Legal Doesn’t Make it Ethical

Clearly, all HOA attorneys are not the same, and we hope that your community association’s attorney is an upstanding and ethical partner for your community. You need your attorney to be available to advise you on decisions the Board makes to help prevent future lawsuits and to deal with any that do come.

But your attorney is just one of the tools in your community association’s toolbox. Just as you wouldn’t use your HOA attorney (and pay their high fees) to perform management tasks, you also shouldn’t be hiring your attorney to perform collections. The attorney’s only recourse is to take the issue to the courts. That means pursuing foreclosure, or, if that’s not likely to be successful, trying some legal scheme like these that will get the attorney paid for their time, but is unlikely to end with money in the association’s pocket.

The Attorney's Recourse To The Courts

Treating People Like People

Thinking outside the box can be great, but the more we hear about the crazy legal hoops attorneys find to jump through that only seem to take advantage of the association, the more we think that they need the box.

There’s at least one ethical, merit-based way that has a 95% success rate when it comes to collecting debts owed to associations: Axela. Our proprietary technology and process empowers defaulted homeowners to set up payment plans they can actually pay off, rather than harassing them for lump sums of money they’ll never be able to repay, or putting them out of their home in a foreclosure.

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