Pros and Cons of Homeowners' Associations
Category Advice
A homeowners' association (HOA) is a board of elected residents who are responsible for setting rules and regulations for their neighbourhood to uphold.
An HOA community isn't for every household. While some families might value living in a well-controlled community with standards and order, other families might find restrictions from managing their own property unappealing.
If you're not sure how you feel about living in an HOA-managed community, have a look at the pros and cons before you make a decision:
Pros
Access to amenities
Most HOA communities provide amenities and recreational facilities, such as playgrounds, swimming pools, tennis courts, fitness centres and more. Enjoy these luxuries all within the comfort and safety of your gated community, right outside your doorstep.
Low maintenance
You can expect an HOA community to be neat and tidy, as there are generally high appearance standards. While you are responsible for your private space, you won't have to worry about mowing the communal lawn, weeding the flowerbeds or clearing out the pool. Some HOAs even maintain the landscaping in front of your unit!
Mediates neighbour disputes
Not a fan of conflict? The homeowners association is responsible for mediating conflict between neighbours - relating to the violation of regulations - to keep the peace and uphold the standards within the community. Don't worry about confrontation: rather file a complaint with your HOA so they can deal with the issue.
Cons
Less freedom
Whether you think they're necessary or not, you will need to comply with the HOA rules. For example, there might be standards to the appearance of your home, or restrictions regarding pets. You do have the option to officially petition a rule, but if it's rejected, your hands will unfortunately be tied.
Monthly HOA fees
Above the cost of your mortgage, you will be obligated to pay HOA fees. Although you won't have to physically handle the up-keep of the community, it doesn't come free. Make sure you calculate whether you can afford to pay a monthly HOA fee when considering your budget. Some HOA communities also have the right to increase monthly fees if they aren't receiving enough income for maintenance.
Repercussions for unpaid fees
Failing to pay HOA fees could result in the foreclosure of your home. Even if you are up to date on your mortgage payment, you still are at risk of losing your property if you are behind on HOA fees. In some circumstances, communities will accrue the amount owed over time, until it is paid.
If your community could benefit from professional homeowner association management service, SAproperty.com specialises in this area. Read more!
Author: SApropety.com
