Washington Reserve Study Law

September 6th, 2012
Presented by:
Angie Bagby, Partner, Barker Martin, P.S.

Reserve Study Overview

• A Reserve Study is a budget/cash flow model to ensure there is money to complete repairs with NO special assessments

•    NOT a maintenance or repair  plan
•    NOT a building envelope  inspection

• Reserve Studies provide information for owners and buyers

•  Whether funded or not, should  provide  buyers with notice of upcoming repair expenses
•  Whether funded or not, may affect sale-ability and market value of units
•   Unfunded reserve requirements affect lender willingness to fund loans

• Why Reserve Studies are recommended