What you should know about Homeowner Associations (HOA)

homeowner associations

Have you seen subdivisions wherein they have amazing landscapes? Have you ever wondered why there are communities that seem to be so much quieter than others? You have probably seen areas that boast excellent features such as pools, clubhouses, and other fun activities. A lot of people are able to enjoy this type of lifestyle due to their management by Homeowner Associations.

Before you decide on buying land to build a home or purchase a house in a particular community, you have to know their covenants, conditions, and restrictions (CC&R). You want to make sure you are okay with the rules on what you will be allowed to do on your own property. One suggestion is to find out if  Homeowner Associations strictly enforces the rules or if they’ve been willing to let some things slide in the past, especially if you’re someone who doesn’t like the idea of having restrictions on your property. This should be high on your Homeowner’s checklist.

How much the HOA fees will be is contingent upon the number and kind of features they manage. The HOA collect the dues monthly, bi-annually, or annually. The dues pay for the neighborhood up-keeping. This will include roads, street lamps, bodies of waters and other things neighborhood related. The dues fund whatever recreational facilities the neighborhood may have. These facilities include clubhouses, sports facilities, and other type of outbuildings. The usage is typically restricted to members only.

For newly built subdivisions, where the developer handles the HOA, may have lower fees to start with. HOA duties are handed over to the community when the neighborhood reach near full capacity. At that point there may or may not be an increase in the HOA fees. They may also establish fines or penalties in the event their code is broken.

The purpose for homeowner associations

The purpose of Homeowner Associations is to help protect both your interest and value of your property. You’ll find that most of the quality neighborhoods have a HOA. So, prior to purchasing a house in any particular subdivision, you need to research the HOA. You’ll need to decide if their fees, and the rules concerning increases, are affordable for you. It’s important that you read through them carefully. Homeowners must follow the HOA rules once they have moved in.

You may also like