Homeowners Association, What is it?

You're excited just found a new home, but its in a homeowners association. What does that mean for you?

Genrally all associations are going to be slightly different depending on the area. This is what you can expect when joining a association. An HOA is an assocation that makes and enforces rules for a certain neighborhood, subdivision, etc. homeowners pay a fine for the associtation in order to use ammenties and common areas. each neighborhood is going to have different sets of rules and price, depending on the area. Have your real estate agent look into the laws and bylaws for the HOA and how much more itd cost you to live there. Here are some pros and cons to buying into an HOA.

PROS OF HOA

Maintenance- Usually an HOA takes care of trash removal, lawn care/ landscaping, repairs to common areas

Insurance Policy- homeowners pay less in insurance policies for resident, by having insurance themselves for repairs.

Amenities- Usually common areas and amenities are included like; a park, community pool, clubhouse, weight room, co working area.

Increase in property Value- generally HOA are maintained very well and good neighborhoods, Makin your home worth more due to the area.

Dispute conflict between neighbors- Having to deal with that neighbor by yourself is unnecessary in an association by them establishing rules for them.

CONS OF HOA

Fees - A monthly fee that can range from $200 to over $1,000 depending on the area, paid to cover insurance, amenities, and common areas. Any HOA payment is non deductible on taxes.

Community Rules- under an association there are strict laws that you have to follow while living under the association.

Fees can change and increase over time

If rules violated or unpaid legal steps can be taken- an HOA can put a lien upon your property due to not following rules or unpaid fees.

At the end of the day theirs nothing wrong with buying a home under a HOA!