What is a HOA?

HOA stands for Homeowners Association and what a HOA does is charge a monthly fee that covers the upkeep and maintenance of amenities in the community. This may include pools, gyms, tennis courts, exterior of the buildings, maintenance of the grounds and common area insurance.

Each HOA is different so it is important to find out the costs and the benefits of living in a community with a Home Owner’s Association and what is covered by your fees.

Benefits

Recreational Amenities:

While not all communities with HOA’s have swimming pools and tennis courts, many offer a large range amenties such as fitness centers, walking trails, playgrounds, community centers and marina’s

Community Upkeep/Appearance:

HOA’s are in charge of taking care of the apperance of the community. They will make sure the common areas are clean and the lawns are manicured, they may even touch up paint and perform other maintenance duties around your home and common areas. HOAs often have a high standards for the communities appearance.

Property Values:

HOA’s protect property values by providing certainty that the community will remain physically attractive over time by imposing, and privately enforcing through fines and assessments, rules on architecture, landscaping, accessory buildings, fences, signs, and related matters.

Safety:

Many HOA’s offer residents a sense of personal safety and security because the development is a “gated” community that restricts access to community residents and their guests and invitees. Most communities have 24 hour security and active neighborhood watches, some may even have security cameras and built in alarm systems.

Social Benefits:

The common areas are great places to get to know your neighbors and other residents in the Association. Many HOA’s also host events and it’s a good idea to attend a board meeting to stay informed.

Drawbacks

Customization:

You may be restricted from choosing finishes, paint color, the amount of vehicles you can have in your yard at one time. You can even be restricted in the number and size of pets you are allowed to have in your home. In some communities your home may look exactly the same as your neighbors.

Fees:

All the amenities and maintenance performed by your HOA doesn’t come free. You will either be paying a monthly, quarterly or annual fee. You need to understand the rules and costs when you’re considering buying a home. This will be an added expense to your monthly budget. These fees can also be raise at anytime if the HOA sees fit.

Fines:

If you do not comply with the rules you will be fined, you can be in breach of your contract for something very simple and still be fined for it.

An Ineffective Board:

If the board of directors do not enforce the rules it can be a dysfuntional and disorganized environement to live in. On the other hand if the board takes the stance that it’s “The Boss” then there will be little understanding in handling enforcement issues and interacting with the board in general.

 

Each community is different and have thier own ways of handling things, such as maintenance, rules and regulations. The most important part of looking at communities with HOA’s is making sure you understand all of the rules and what you are getting into. Whether you decide that a community with a HOA is for you, or you’d rather a stand alone home, your first step to finding the neighborhood that best fits your needs it to start with a good Real Estate Agent. Let us help you out with that!