FHA approval is a status condo associations can attain, allowing unit owners/buyers to receive FHA insurance on their loans which make those loan more attractive to lenders.
Great question! A reader asked this yesterday, describing their association as a residential association with many private homes along a common street, with little other common area assets (a gate system and a tot lot).
Boards are free to choose how to fund Reserves. Typically Governing Documents require the Board to collect "adequate" or "sufficient" Reserves to care for the association's common areas.
