If you’re thinking of buying a home in an HOA neighborhood, there are a few things you should know.
As a homebuyer, there are a few important things you should know about Homeowners Associations (HOAs) before buying a home located within one.
First, know what their rules are. For example, some HOAs don’t allow residents to park on the street overnight. Also, you need to know your temperament. Are you a person who likes rules or doesn’t like them? HOA rules can be a good thing in terms of keeping your neighbors in check and preventing the neighborhood from deteriorating, but they’ll also keep you in check. If you don’t like rules, I recommend looking at homes that aren’t located within an HOA.
Second, find out how well the HOA enforces things. Do all the houses look similar, or does something indicate lax enforcement of the rules? If the HOA isn’t enforcing things, that might affect your temperament, so keep that in mind.
Finally, consider the HOA expenses. How much are they? Are they going to increase? If you have a simple HOA with, for instance, just a security gate, you probably won’t be charged exorbitant fees. If you have a small community with one gate and a private road, on the other hand, you’ll have quite a few fees. If you’re looking to buy a condo or townhome, you might have to pay less in insurance because the HOA will cover roof expenses.
In any case, pay attention to the little details and any changes that take place, because HOA expenses can affect your mortgage payment and bottom line.
If you have any questions about this or any other real estate topic or you’re thinking of buying or selling a home soon, don’t hesitate to reach out to me. I’d be happy to help you.