Skip to main content

Study: Condos Have Greatest Level of Construction Woes

Phil Hall
Mar 10, 2017
When it comes inadequate (or worse) construction practices, the majority of deficiencies occur in new condominium developments rather than townhomes and single-family homes

When it comes inadequate (or worse) construction practices, the majority of deficiencies occur in new condominium developments rather than townhomes and single-family homes, according to a new study released by the Community Associations Institute (CAI).
 
The CAI study, “Protecting Homebuyers and Homeowners from Construction Deficiencies in Condominiums and Preserving Property Values Survey," concluded that 81 percent of respondents identified poor workmanship as the most common type of construction deficiency, resulting in plumbing leaks, electrical or mechanical problems, and cracks in foundation walls. Thirty-five percent of respondents complained that construction deficiencies created a negative impact a homeowner’s property value and hampered resale efforts.
 
In a press statement, the CAI said it was is promoting its study to highlight how community associations have been “under attack in state legislatures and municipalities by legislation and ordinances aimed at stripping associations’ ability to seek relief from damages due to legitimate deficiencies found in the construction of homes, units, or common areas.” CAI also insisted that supporters of these legislative efforts were arguing that “frivolous lawsuits filed by associations and the costs associated with them make building affordable condominiums too risky.”
 
But that is not say that community associations did not press their cases in court–44 percent of these lawsuits were resolved in out-of-court settlements.
Ocwen Financial To Acquire Reverse Mortgage Servicing Platform

Ocwen Financial Corporation's wholly-owned subsidiary, PHH Mortgage Corporation will acquire RMS' reverse mortgage servicing platform.

Industry News
Jun 18, 2021
UniteCT Emergency Rental Assistance Succeeds

Thanks to the successful launch of the UniteCT program, emergency rental assistance funds are helping Connecticut residents maintain housing.

Industry News
Jun 17, 2021
Angel Oak Mortgage Announces Initial Public Offering

Angel Oak Mortgage announced its initial public offering of 7,200,000 shares of its common stock at $19 per share.

Industry News
Jun 17, 2021
Mortgage Apps Rebound After Three Consecutive Weeks Of Declines

The Mortgage Bankers Association reported the first increase in mortgage applications after a three consecutive weeks on declines.

Industry News
Jun 17, 2021
CFPB New Rule Prevents Predatory Lending To Military Service Members

The CFPB stipulates its authority to examine supervised financial institutions for risk to active duty servicemembers and their dependents.

Industry News
Jun 16, 2021
Inventory Begins A Slow Recovery

Inventory grew 3.9% from April to May, according to Zillow's latest Market Report, after a year of steady decline.

Industry News
Jun 16, 2021