Home Owner Association Services are there to assist residential communities in many different ways. While their main focus is to help you maintain a clean, cohesive atmosphere in your neighborhood they also come with some obligations you should know about.
Know What to Expect to Pay
According to Trulia HOA fees can range anywhere up to $600 per month depending on where you live. Of course, there are other considerations that also factor in here as well. This typically includes things like the number and size of amenities, the amount of upkeep the property requires, and how big the neighborhood itself is.
Know What You Get
You’ll find that the rights, services, and amenities that the HOA is responsible for will vary. This is why you need to take time to look at what is and isn’t included so you’ll know how this will affect your household’s finances. Some things to consider here are whether garbage pickup, utilities, cable, and internet are included in the HOA fees. Amenities (e.g. recreational facilities, pools, tennis courts) may also be included in the fee even if you don’t use them.
Know What Other Fees Exist
There are several ways in which an HOA may approach financial management. Some will keep a large cash reserve on hand to manage maintenance, legal, and managerial obligations when they arise. Others will levy funds outside of the HOA fees for these things.
Know What “Compliance” Means
When you’re buying a home that has an HOA associated with it you should inquire as to the homeowner’s standing with regard to the HOA. You don’t want to be responsible for handling their problems when you buy their property. While some of these issues are obvious (e.g. overgrown landscaping, flaking paint) others may not be so obvious (e.g. changes that were made to the property that don’t have HOA approval). You may be able to have the homeowner fix these issues before you buy their property or they may provide you with cash at closing so you can fix them yourself.
Know the Bottom Line
Living in a planned development according to the rules of Home Owner Association Services is a mixed blessing. While you’ll have fewer responsibilities and more amenities and security you may less say in how you decorate the outside of your home. This is why it’s important to be well-informed regarding these things before buying your new home.