Both views are, in my opinion, shortsighted and not in the best interests of the membership. A community with full reserves can be a lot more attractive to potential purchasers than a community with older components and no financial cushion. A community with full reserves can also provide much-needed peace of mind to existing residents.
Even folks who understand all the benefits of reserve funding still find themselves confused over the details such as:
What community components merit reserve funding?
What percentage of the membership is needed to waive reserves?
This work by Donna DiMaggio Berger, Esq. is licensed under a Creative Commons Attribution-NoDerivs 3.0 Generic License.