Most condominiums and townhomes—as well as many detached homes—are located in communities governed by homeowners’ associations (HOAs). These are often managed by a board and/or an independent property management company. Homeowner Associations collect fees from residents to provide maintenance and other services for the community. If you are thinking about purchasing a home in an HOA, here are a few important things to know about:
- The monthly fees and what they cover. On average, HOA fees can range from $150 – $850 per month and can cover a variety of services. For instance, most HOAs handle maintenance and landscaping of common areas, but others may include the upkeep needed for a pool, fitness center, sports courts, or walking trails, in addition to services like security or a concierge. Some HOA fees also cover month-to-month costs such as water, sewer, cable, or trash and sewage removal. Since these fees may constitute a significant portion of your monthly budget, it’s important to understand how much they are and what they cover before making an offer on your new home.
- The financial health of the HOA. Despite collecting fees, some HOAs may still be underfunded. To get a better idea of the HOA’s financial health, request a copy of the financial records made available to homeowners, and pay particular attention to how often dues are typically increased. Your real estate agent can help you obtain these records
- The Declarations, Covenants, and By-Laws. Most HOAs impose rules on homeowners. These can touch upon various aspects of living in your home, from the types of pets you can own to the colors you can paint your house to how many vehicles can be parked in your driveway. Researching how restrictive a community’s CC&Rs are before signing on the dotted line can help ensure that you will be happy and comfortable in your new home. Many associations also provide a Resident’s Handbook which breaks down the rules and regulations into an easier-to-read format.
Before making an offer be sure to get all the info.
Call Julie & Company today at 614-259-8229 or email Admin@JulieandCoRealtors.com so you can be connected with a real estate agent who has your best interests at heart.