Home › Forums › Real Estate › What are other condo associations doing, if anything, to limit renting to comply with mortgage financing rules (such as those under FHA)? › Reply To: What are other condo associations doing, if anything, to limit renting to comply with mortgage financing rules (such as those under FHA)?
We too cap our allowable rentals at around 20%. Rather than telling people they can NOT rent after we hit the cap we simply assess a massive monthly rental fee/penalty to discourage people from exceeding it. We also have fines for not providing copies of leases or tenant contact information. We also will not permit a unit owner (or their tenant) to have his or her name and number in our call box or access the gym or other amenities if the unit is not registered or doesn’t come within the cap. So far we have been very successful and once we developed our anti-renter environment and made it very taxing for people to rent we have found rather than renting people just sell when they move. We are around 85-90% owner occupancy at the moment so we are happy with our results…oh and we cleared them with our lawyer first so we knew they were legal when we implimented them.