Homeowner associations can get a bad reputation. Many people are strongly against living in a neighborhood that has a HOA while others choose to live in one. The truth is that HOAs are unique to each neighborhood. Some are strict while others are lax. As a home buyer you have to decide whether you are comfortable abiding by the HOA regulations before you purchase a home. Keep reading to learn more about HOAs.
What is a Homeowners Association?
In the simplest terms, a homeowners association is an organization that makes and enforces regulations for properties within the neighborhood. Homeowners associations are found in condominium complexes and single family home communities.
How are homeowners associations run?
Typically, homeowner associations are run by homeowners. Volunteers in the community offer their time and services to participate on the board which establishes rules and enforces them. Sometimes, in the early stages of a community being developed representatives from the builders will also participate on the HOA.
What rules do HOAs have?
Usually the rules of an HOA deal with the exterior appearance of your home. There can be expectations that the grass is cut, you may need permission before altering the appearance of your home like painting the door, or there can be regulations on the type of fence you can have. Every HOA is different; what is regulated by one may not be by another.
How much do HOAs cost?
Every HOA has a fee that residents pay. Some collect it annually, some are quarterly, and some monthly. The cost depends on what services the HOA provides. HOAs can provide services like swimming pools, common ground maintenance, playgrounds, and community events. Communities with more amenities most likely have a higher HOA fee.
What are the pros about living in an HOA?
HOAs can provide additional community amenities. Lake of the Woods in Locust Grove, VA maintains two swimming pools, multiple parks and playgrounds, two lakes, and more. Because HOAs regulate the exterior of homes, this can help to maintain the property value for all the homes in the neighborhood.
What are the cons about living in an HOA?
The annual fee for living in the community can be expensive for some people. If your community offers amenities that you don’t use, then you may feel like you are not using your money wisely. Some people feel like HOAs are too restrictive.
What if I don’t like the regulations of an HOA?
When you are in the process of purchasing a home in an HOA, your Realtor® will share the HOA documents with you. These documents include all of the rules and regulations, amenities, and fee for the neighborhood. Read these documents carefully! If you find that the HOA regulations won’t work for you, then you have a short window where you can exit the contract.
