Townhouse and condominium owners enjoy many economic benefits and amenities by living as a community. But there can be complications when the exterior property is damaged. Here are answers to frequent questions about roof damage in a townhouse or condominium community.
My townhouse/condominium roof is leaking. What do I do?
First, consult your homeowner association covenants. Some HOA covenants require each homeowner to pay for exterior maintenance and for getting homeowners insurance for things such as roof damage. In those cases, your situation is like any single-family homeowner In most cases, though, roof damage is covered by community-wide hazard insurance. In these cases, your first step is to contact your homeowner association board. The board is responsible for working with the community management company and the insurance company to get your roof repaired.
How much of the townhouse/ condominium roof cost will each homeowner have to pay?
This depends on three things:
- The provisions of the HOA covenants. Your out-of-pocket responsibilities may be spelled out in the covenants.
- The difference between the insurance company’s coverage (called “insurance proceeds”) and the roofing company’s bill.
- Whether the HOA board has a reserve fund and how big it is.
Let’s say your HOA’s insurance company will pay for a replacement of half your community’s roofs and offers insurance proceeds of $500,000. Let’s also say the roofing contractor estimates it will cost $800,000 to do the job right. The $300,000 difference will come out of the HOA reserves fund. If that fund isn’t large enough, each homeowner will be assessed their share of the difference.
I am on the townhouse homeowner association board. What should I know about finding a roofing company to repair or replace our roof?
Maximize the work you receive from the roofing company for your insurance proceeds. This is the most important step for getting your roof repaired or replaced. If you do it wrong it could cost your HOA tens of thousands of dollars You need to get help with this step. Your management company is not the first place to check with. Your first step is to find a roofing company that you can trust. ( Mountain States Roofing has experience working with insurance companies and has built a reputation as a fair and honest company. Their BBB rating will confirm that.) The roofing company should be on site when the insurance adjuster comes to inspect the roof. That way they can make sure that the insurance adjuster assesses the damage correctly. If there is a difference of opinion and then your roofing company may want to consult with a public adjuster. (See below)
What if we are not happy with the insurance company’s estimate?
A homeowner association may want to consult with a “public adjuster.” These independent claims adjusters can inspect the roof and determine if the amount of money the insurance company is offering is a fair settlement. A good public adjuster will know how best deal with the insurance company to maximize the insurance proceeds. If the public adjuster thinks your HOA has a good case to collect more money on the claim they will enter into a contract with the HOA to represent them in claims negotiations. Experienced roofing contractors like Mountain States Roofing, Inc have worked with insurance companies and independent public adjusters. Select one that will be your partner in figuring out whether a public adjuster makes sense in your case.
What should an HOA board know about getting bids from roofing companies?
Getting bids to repair or replace the roof in you community is not about cost, it is about how much is the roofing company willing to do for the insurance proceeds. To learn more about this process click on this link to request a document that outlines how to put out a bid and negotiate for roof repair or placement.