The HOA Detective

The HOA Detective is a blog space that is sponsored by the founders of the CRC REPORT®. The primary blogger is Carson M. Horton, RS®. Mr. Horton is the managing partner and CEO of Capital Reserve Consultants, LLC. CRC is a reserve planning and consulting firm that performs reserve studies and property condition assessments for homeowner associations and institutional clients throughout the United States.  In 2012 Mr. Horton and business partner L. Law Broili, launched the CRC REPORT®, the nation’s first financial due diligence service for condominium buyers.

The idea for the CRC REPORT® is the brainchild of Ms. Broili, whose experience working in the community management industry led her to the conclusion that buyers who purchased homes in a homeowner association (HOA) were often misled, or at the very least “under-informed,” with respect to the fiscal stability of the HOA they were buying into. After witnessing more than a few hapless buyers fall victim to the financial hazards of purchasing a home in an HOA, without first becoming fully informed about the financial condition of the organization, she became convinced that there had to be a better way.

After founding CRC with Mr. Horton in 2006 she began to share her experiences dealing with exasperated buyers who would often call the management office where she worked to vent their frustration after learning that they had just purchased a home or condominium in an HOA that was a financial train wreck! Upon hearing these stories Mr. Horton immediately realized that what was missing from the buying process was the element of financial due diligence; his own experience as a businessman having taught him that such due diligence was commonplace in many other investment arenas.

After much discussion and several years of weak housing sales as a result of the 2008 economic downturn, the intrepid partners began offering the CRC REPORT® in 2012. At that time their internal research was unable to identify any direct competition in the market, hence there was no established business model that could be used to gauge demand or to pattern their newly formed enterprise after. The result has been a business process and report format that has evolved organically and deliberately as feedback continues to pour in from clients and business colleagues who have been highly supportive of the endeavor. No doubt this strategy will result in future changes in the report itself and the underlying business model, as the CRC REPORT® is adapted to the needs of buyers and the marketplace.

Less than three years after launching the service it is fast becoming a standard component of the home buying process as a result of marketing efforts which have been aimed at educating Realtors® and other industry professionals about the importance of the due diligence process for buyers who purchase a home within an HOA. It is our belief that the service should and will become as commonplace as a home inspection for any buyer purchasing a home in an HOA. In 2015 the firm launched the website and along with it, The HOA Detective blog.

Our motto is Because You are Buying More Than a Home. The tag-line refers to the fact that when you purchase a home in an HOA you are not only buying a piece of real property, you are also becoming a part-owner of a non-profit corporation, which in many respects is no different from investing in a for-profit business. To learn more about how the purchase of a home in an HOA is different from purchasing a home that is not located in a HOA you may browse the posts on this blog. Be sure to bookmark our site and return often to continue educating yourself about the complexities of HOAs and how being a member of an HOA can impact your home ownership experience.