HOAs 101

Homeowners Associations, commonly referred to as HOAs, manage and maintain communities. In return, residents must 1) abide by HOA rules, and 2) pay a regular fee (be it monthly, quarterly, or annually). Opinions on HOAs vary. Click on the video below to hear about what an HOA does and how it works. The main arguments for and against HOAs are summarized further down.

For: 

HOAs set standards that homes must meet, meaning you'll seldom see a home with an unkept lawn or peeling exterior paint. HOA services ensure that the community looks it best by handing trash removal, snow removal, and lawn care. This leaves much less work for homeowners. Homeowners also enjoy HOA amenities, from swimming pools and tennis courts to walking trails and community centers. amenities differ, so be sure to ask what the HOA fee includes when you are considering buying a property that has one. HOAs also make it easy for residents to solve disputes. Management can handle problems you have with your neighbors (for example, noise complaints), so that you do not have to confront them directly. 

Against: 

This convenience comes at a price--literally and figuratively. HOA fees vary widely, depending on what amenities they include and which services they cover. Ask yourself how often you would use the amenities provided. Paying a HOA fee that includes a gym membership may be a significant perk to an athlete, but seen as an unnecessary expense to someone who seldom works out. Then again, the more amenities (regardless of your personal usage), the better your home's value for future resale. The rules and regulations associated with HOAs can be both a pro and a con. While they often enhance the physical appearance of a neighborhood, some rules and regulations are quite particular and therefore may be hard to comply with. HOAs can dictate what vehicles you can/cannot park in your driveway, whether or not you can have garage sales, or if you can run a business from your home. If you'd like a voice in HOA policies, you can join the committee or board of directors. Their decisions are then enforced by a paid management company or group of volunteers. Be mindful that failure to comply with HOA regulations often results in a warning and, if unresolved, a fine. 

Overall, it comes down to personal preference and circumstance. HOAs are popular among people who split their time between homes. When away from one home, they do not have to worry about maintaining it. That's what HOAs are for. However, others may view them as burdensome or unnecessary. The ultimate choice is yours!