HOAs

Home owner's Associations can be confusing for first time buyers of condos and homes, and for people who have never dealt with an HOA. Basically, and HOA is a legal entity that the home owners or builder has set up to take care of common areas. Found in condominiums, gated and un-gated developments, HOAs charge a monthly, quarterly, or yearly fee to those that live there, and in return pay for the short term and long term care of common grounds, streets, and other things such as pools, parks, clubhouses, and trash removal. In addition to paying into the common fund, homeowners have to abide by the CC&Rs- Covenants, Conditions, and Restrictions. These can be as simple as keeping your lawn mowed or only parking in your designated spot, or as complex and restrictive as your ability to have a home business, what colors you can paint your home, and if you can have pets. It is extremely important when buying any property, condo or detached home, to make sure you know if there is an HOA, what the fees are, what the long term plans are for the community and how much you will be contributing financially, and what you can and cannot do as outlined by the CC&Rs. HOAs can be extremely beneficial to a community, keeping property values rising by keeping the building or neighborhood desirable, but as with any contract, it is important to know exactly what you are getting into.