SENATE BILL 177:
TAKING AWAY HOMEOWNERS’ RIGHTS:
Would Allow Builders To Continue Setting Rules. Currently homeowners can amend declarations later with a 2/3 vote. SB 177 would prevent amendments to the parts dealing with construction defects.
Would Restrict Homeowners’ Expert Advice. SB 177 restricts the ability of homeowners to hire construction and legal experts to assess the scope/impact of a construction defect.
Would Suppress Homeowner Input. Would Suppress Homeowner Input. The bill would prevent homeowners from making construction defect decisions through their elected HOA board if they want – or to require written statements from a majority of owners, making it difficult for military personnel stationed overseas, people working two jobs and those who speak English as a second language. It also allows builders to transfer title to a related entity in order to vote to prevent a lawsuit.
Would Mandate Unappealable Arbitration. Not only is arbitration/mediation biased toward builders due to control of declarations, homeowners would not be able to appeal under SB 177.
Would Shift Expensive Costs to Homeowners. SB 177 imposes expensive mandatory arbitration/mediation on homeowners, costing thousands of dollars in an attempt to deter claims.
Would Interfere With Right to Jury Trial. In the name of expediency, SB 177 would strip homeowners – citizens of our state – of the civil right to a jury trial.
NOT ABOUT AFFORDABLE HOUSING
A rigorous January 2015 Pacey Economics, Inc report shows that the classic economic theory of low demand explains slow condo development. Factors include:
- More stringent lending requirements, higher down payments, higher purchase fees
- Lower real income and higher unemployment as compared to pre-recession levels
- Later marriage rates, delay of child rearing and higher college debt
- Colorado trends are consistent with other western states
DEFEND HOMEOWNER PROTECTIONS – LEAVE CONSTRUCTION DEFECTS LAW ALONE
Homeownership is a cherished Colorado value – every homebuyer should expect that their new house be built right with no construction defects. But some homes are simply NOT built right.
- Do not let bad builders shirk their responsibilities if they don’t build a good product
- Builders can solve the problem of construction defects by building homes right the first time