HOAs in 2026 are receiving increased scrutiny from buyers in Maple Valley and across King County, Washington, especially as special assessments and reserve studies become more central to financial decision making. Whether you are buying a condo, townhome, or single family home within a homeowners association, understanding HOA health is critical before removing contingencies.
Communities throughout East and Southeast King County, including Maple Valley, Covington, Black Diamond, Renton Highlands, Enumclaw, Ravensdale, and Issaquah, include many properties governed by HOAs. These associations manage shared assets and enforce community standards, but they also carry financial responsibilities that directly affect homeowners.
Below is a practical, plain language breakdown of what buyers should know in 2026.
What Is a Special Assessment in Plain English?
A special assessment is a one time or short term extra charge the HOA requires owners to pay when regular dues and reserves are not enough to cover a major expense.
Common triggers include:
Roof replacement
Siding repair or repainting
Exterior rot or building envelope work
Asphalt, balconies, decks, or railings
Plumbing re pipes
Insurance cost spikes or coverage gaps
It does not automatically mean the HOA is poorly managed. However, it does mean buyers should slow down and understand the reason, the amount, and the long term plan.
Washington condominium law addresses assessments and owner disclosures under RCW 64.34, and homeowners associations are governed under RCW 64.38 and the Washington Uniform Common Interest Ownership Act, RCW 64.90.
How Do Buyers Find Out If a Special Assessment Is Coming?
In Washington State, buyers typically receive a resale certificate package for condos and many common interest communities before closing.
The resale package often includes:
Current special assessments
Pending or planned assessments
Budget and reserve balances
Delinquency rates
Recent meeting minutes
The Washington Condominium Act outlines resale certificate disclosure requirements under RCW 64.34.425. These disclosures are designed to give buyers financial transparency before completing a purchase.
Meeting minutes are especially important. They often reveal discussions about upcoming roof replacements, insurance concerns, drainage problems, or contractor bids that may not yet appear in the formal budget.
What Is the Difference Between HOA Dues and Reserves?
Monthly HOA dues cover routine operating expenses, while reserves are savings set aside for major repair and replacement projects.
Dues typically fund:
Landscaping and maintenance
Property management
Insurance for common areas
Utilities serving shared spaces
Reserves are intended for large capital items such as roofs, siding, pavement, and structural components.
Washington law includes reserve study provisions for many associations under RCW 64.38.065 and RCW 64.90.545. If reserves are underfunded, associations may need to raise dues, defer maintenance, borrow funds, or issue a special assessment.
For single family homes within an HOA, reserves may apply to shared amenities such as private roads, stormwater systems, parks, or clubhouses.
What Is a Reserve Study and Why Should Buyers Care?
A reserve study is a long range maintenance and funding plan for major components in an HOA community.
It typically identifies:
Components expected to wear out
Remaining useful life of each component
Estimated replacement cost
Recommended funding strategy
The Community Associations Institute explains that reserve studies are essential to long term financial planning for HOAs
Why it matters in Maple Valley and King County: A well funded reserve study reduces the likelihood of sudden large assessments and helps protect property values. Buyers often compare reserve strength when choosing between similar communities.
What Are the Biggest Red Flags in HOA Documents?
Certain patterns should trigger deeper investigation before proceeding.
Key red flags include:
Low reserves combined with major projects referenced in meeting minutes
No reserve study or one that is outdated
Sudden insurance premium increases
High delinquency rates among owners
Chronic deferral of visible maintenance
Insurance instability has become a growing issue statewide. The Washington Office of the Insurance Commissioner provides updates on property insurance trends.
If a community appears physically worn or repeatedly references deferred repairs, financial strain may follow. For single family HOA communities, this may affect private roads, shared septic systems, or stormwater management infrastructure.
Should Buyers Walk Away If There Is a Special Assessment?
Not necessarily. The more important question is whether the assessment is reasonable, transparent, and part of a responsible plan.
A special assessment may indicate:
A proactive community addressing maintenance correctly
A community that delayed maintenance too long
A financially unstable association
Buyers should review:
Scope of work
Contractor bids
Timeline for completion
Whether the reserve study anticipated the expense
Whether this appears to be a one time correction or a recurring issue
Lenders may also evaluate HOA health. Fannie Mae provides project eligibility guidance that can affect financing in certain condo communities.
Can Buyers Negotiate Around Special Assessments?
In some situations, yes. Strategy depends on market conditions and lender requirements.
Common approaches include:
Seller credit to offset assessment amount
Price adjustment reflecting future payments
Seller paying the assessment at closing when feasible
Requesting documentation such as contractor bids and paid invoices
Negotiation must align with financing guidelines and appraisal considerations. Transparency reduces friction for all parties.
What Should Sellers Do Before Listing an HOA Property?
Preparation protects timelines and builds buyer confidence.
Sellers should:
Order the resale package early
Review financial statements and meeting minutes
Disclose known assessments clearly
Be prepared with documentation if projects are underway
Early transparency reduces surprises that could delay closing.
Expert Insight: What This Means Locally
In Maple Valley and throughout King County, HOA communities include condos, townhomes, and many single family neighborhoods with shared infrastructure. Buyers sometimes assume HOA review only applies to attached housing, but private roads, stormwater systems, and community amenities in single family developments carry financial obligations as well.
Our team regularly reviews HOA documents with clients before contingencies are removed. The goal is not to create fear. The goal is clarity. Strong reserves and responsible planning support long term stability. Underfunded associations introduce risk that buyers should price appropriately.
Simple HOA Review Checklist for Buyers
Before removing contingencies, review:
Resale certificate package
Current budget and reserve balance
Reserve study summary
Meeting minutes from the last 12 months
Insurance summary
Any pending litigation if disclosed
HOA documents are complex. Buyers are not expected to become accountants. The objective is to identify material risk early and make informed decisions.
Frequently Asked Questions
Do single family homes in Maple Valley have special assessments too?
A: Yes, if the home is part of an HOA. Special assessments may apply to private roads, entry monuments, shared parks, or stormwater systems maintained by the association.
How much should an HOA have in reserves?
A: There is no single number, but reserve funding should generally align with the most recent reserve study recommendations. Buyers should compare reserve balances to projected capital expenses.
Are high HOA dues always a bad sign?
A: Not necessarily. Higher dues may reflect strong reserve funding and comprehensive maintenance. Extremely low dues can sometimes signal underfunding.
Can a lender deny a loan because of HOA problems?
A: In some condo projects, yes. Lenders may review financial health, litigation, and insurance coverage before approving financing.
How far back should buyers read HOA meeting minutes?
A: At minimum, review the past 12 months. If major issues are mentioned, request additional history for context.
Helpful Resources
Washington State Legislature RCW 64.34
https://app.leg.wa.gov/rcw/default.aspx?cite=64.34
Washington Condominium Act provisions.Washington Uniform Common Interest Ownership Act
https://app.leg.wa.gov/rcw/default.aspx?cite=64.90
Governs many newer HOAs in Washington.Washington State Office of the Insurance Commissioner
https://www.insurance.wa.gov/
Information on property insurance regulation and trends.Community Associations Institute
https://www.caionline.org/
Education on HOA governance and reserve studies.Fannie Mae Selling Guide
https://selling-guide.fanniemae.com/
Project eligibility standards affecting condo financing.Washington State Department of Financial Institutions
https://dfi.wa.gov/
Consumer protection and financial education resources.
If you are thinking about buying or selling a condo, townhome, or single family home within an HOA in Maple Valley or anywhere in King County, our team can help you review HOA documents and translate them into real world impact. That includes monthly costs, potential future assessments, and negotiation strategy.
Reach out with questions or to start a conversation.
📧 clientcare@perkinsnwre.com | 📱 (206) 960-4985
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