Restrictions

Home Restrictions

The worst thing that can happen to a seller is that they never get an offer. I’ve heard a Seller say about their Realtor (never at Echo), “We didn’t get one offer. Not even an insulting one!” People take no offers seriously – like they are dating, and nobody is picking up the phone to ask them out thinking they are hideous. But there is something worse than the “no offer” and that is the conniving offer!

Years ago a contract came through. I reviewed the offer and noticed that the home in PGA National didn’t have the PGA POA form included in the offer. Before sending the offer over to my client, I picked up the phone and called the agent. Really nice agent but more of a part timer. I asked if the form being missing was just an oversight. The Realtor said, “Huh, that’s funny as I thought I included it. Let me find out”. Sure enough he called me back and told me it wasn’t an oversight and the lawyer advised them not to include it. I said, “who is the lawyer?” It was someone I had never heard of and from a 239 area code which is the west coast of Florida and not a local. I called the law office and asked to speak to the attorney. He said he was the attorney. That was 2 red flags! One is it’s the other coast and the second is he was answering his own phone.

The lawyer told me that my people shouldn’t worry about it as he would deal with it at closing. I said, “Look, I’ve done hundreds of transactions in PGA National, and everyone has to fill out the PGA-POA disclosure. It outlines how gates are fully manned from 9pm to 6am, how common area is taken care of by the community, and that the PGA POA has right of first refusal.” The lawyer then said, “Yes, I don’t like that right of first refusal clause. We are going to fight that.” I replied that your clients seem very nice. Both are older and want an easy home in an easy community. If they don’t want restrictions, than perhaps they should buy a plot of land in The Acreage or around Lake Okeechobee. There, they can build whatever they wish and open up a Sanford and Sons Salvage on the property for all we care. But if they want to be in PGA, we were not interested in some giant legal fight and holding up a sale in litigation with all 4963 homeowners in PGA National. Fortunately, the client wasn’t aware of the legal maneuvering of their attorney and signed off on the form.

Restrictions are actually something that the majority of people want but not all. Here are 7 broad categories of restrictions you must be aware of when purchasing in a community. I also included some the strangest ones ranging from pet restrictions to one community who needs 5 social sponsor approvals…..

Pet Restrictions

According to the American Pet Products Association (disclaimer that while I own 3 pets, I am not part of APPA and can’t verify the stats), 70% of households have a pet. 86.9 million families have at least one furry, feathered, scaly, or aquatic friend. But not all communities take in your beloved animal. Some allow none (usually older condos), while others have 25 or 50 pound limits or breed restrictions. Others put a limit on how many you can have. I’ve seen lawsuits in the most ritzy gated country club communities because one subdivision or villa association has a different set of restrictions than another. People try to sneak in their pet and it’s resulted in them needing to sell after the association comes down hard. In PGA National there are 43 subdivisions all with different sets of rules for pets. New construction is much more lenient and even older condos are now amending the rules as it limits resale and enjoyment. If you are buying in a condominium or townhouse, I’d just test out the noise factor between floors to make sure it’s ok. Which reminds me of this Borat House Buying Restrictive Tour at the 6:55 mark. * Note, not for the easily offended!

One condo commando President recently told me that if a resident has a signed therapy approval pet, they don’t even bother to fight it. He told me that even though one is allowed, one applicant had 2 different dogs with each one having a different therapy reason. On the flip side the Village of Abacoa has a doggie DNA test. Your dog has to have their pets tongue swabbed. Someone in the HOA then tests the Doogie poop if left on the ground. What a job that is!

Rental Restrictions

Rental restrictions are like a booby trap room at the carnival. On the purchase side, you need to know what you are allowed to do and what you are not allowed to do. Many subdivisions today have a one year moratorium before you can rent. They do that to keep out the investors and not have the community turn into a hotel parking lot. Back to pet restrictions, one condo and townhouse community in Palm Beach Gardens allows rentals but won’t let a tenant have pets despite allowing owners to have pets.

Many communities put limits like 3 or 6 months or one rental per year. And some communities allow no rentals altogether. Individual rental contract restrictions can be weird and weirder. I’ve seen building deposits, specific cleaning supplies (Spic n’ span versus Fabuloso), drying the entire shower after each use to make sure there is no excess water, and limits and certain restrictions on what type of spicy foods can be cooked in the house. One landlord put in a clause that if they were called after 5:30pm to fix something that the landlord deemed trivial, that they would be subject to a $250 deduction in the security deposit. Some people just shouldn’t rent out the house.

Resale Restrictions

The right of first refusal is something most communities have and it’s in there more for foreclosure purposes. Other restrictions let an HOA make sure everything is up to snuff and unpaid dues can be collected before final resale approval. Some communities do background checks with prison records. Lost Tree is the most restrictive community I’ve ever seen. Not a place for a loner! Take at look at their application process – this is from their realty website….

How do I apply for membership in the Property Owners Association?

You should have two current residents with whom you have had a prior social relationship to sponsor you for the Property Owners Association; a sponsor and a seconder.
You must also have five personal references, at least three of whom must be members of the Lost Tree Village Property Owner’s Association.
You will be asked to pay a one-time initiation fee of $50,000.
A personal interview will be arranged by the Admissions Committee. Notification will be made in writing to the prospective purchaser on the final decision of the committee.

Vehicle Restrictions

Restrictions on trucks or stickers advertisements on cars. However Florida Bill 1203 prohibits the HOA from enforcing not allowing a pickup truck or commercial vehicle from being parked in a driveway.

55 + community resale restrictions

In some communities it’s only a percentage ratio of who is over 55+ so you need to ask your Realtor for specifics. But do you really want to be the youngster kicking all the older folks at pickleball?

Club communities

Every club is different. Our club community comparison chart will show you the dues and prices. Some clubs only let you buy the membership that the current owner has which means you have to go on a waiting list for the membership you want. Some clubs have certain memberships that are more in demand or less in demand. The membership situation in every club differs and it can have a positive or negative effect on the price of the individual house +/-. You need to know this when buying and selling so you don’t overpay or sell for less.

Other restrictions

Most homeowner associations have painting restrictions in terms of color. One homeowner told me that this holiday season, a homeowner actually painted their shutters red (only black and white allowed). When confronted with this, the owner said that his family always paints their shutters red for the holidays. New Florida law also says that they only have to take down decorations or in this case re-paint the shutters one week after the HOA gives written notice after the holiday. I wonder if other holidays apply like Saint Paddy’s Day or Extraterrestrial Abductions Day (March 13^th)? For-Sale signs in some communities are allowed while others disallow it so the community doesn’t look trashy. Finally, political signs are disallowed by many to keep the peace although many get around that by wrapping their cars or boats with their favorite politician. As for me, I would normally like to show off allegiance to my favorite baseball team with a flag. But with my White Sox losing a MLB record 121 games, I don’t think the rules committee has to worry about me putting up a White Sox flag. I’m not interested in being the laughing stock of my community.