Often set up by housing developers, homeowners associations (or HOA) are gradually becoming popular throughout the country. This growth could mean that a there is a growing number of people who are supporting this institution, yet some see this as a nuisance to the community - interfering with the freedoms and ignoring the individuality of each person.
Buying a home run by homeowners association can affect both your lifestyle and your investment. While there are those organizations that outstanding when it comes to community management, there just are those that are indescribably horrible. To help you decide on how to make the right choice, we list some advantages and disadvantages of such institution.
ADVANTAGES OF HOA
Increased value of homes. Because houses belonging to these organizations are subject to a set of rules, the value of your home goes higher. In homeowner associations, members must follow certain rules and standards which include maintenance of their fences and lawns, the types of fixtures that you can add to your home - all to keep your home looking presentable.
Less expensive facilities. Most homeowners associations builds residential and creational facilities like swimming pools, basketball and tennis courts and recreation for members to take advantage. Unlike building your own swimming pool or basketball court in your own own which can be very expensive to start with, HOA makes you enjoy those leisure without much expense.
Less Nuisance . With homeowners associations, disputes between neighbors are determined by an officer instead of exchanging nasty arguments on both sides. In addition, parking disputes and traffic accidents are less likely to happen because residents are prohibited from parking their cars on the side of the street as well as in their front yards.
DISADVANTAGES OF HOA
You lose your individuality. Because homeowners associations have a set of rules to follow in aspects such as home design and landscapes, these organizations are known to be intruders of individual rights to design and renovate their homes based on their own preferences. And the worst things is, even the landscaping plans for each house are required to be submitted in HOA for approval.
Fees. Since homeowners fees are not part of the price of a house, this is an extra burden on the pockets of residents. These fees are monthly or quarterly depending on their agreement. While home mortgages are eating up a big part the of income of residents, these monthly payments are just making the load worse.
To help you decide if you want to be part of the Owners Association in your community, you must first take into account your income, your preferences with regard to security and lifestyle, as well as the measure of how much he of your freedom to be overshadowed by the rules. Talk to representatives of these organizations and to listen carefully to their conditions. And for professional advice, ask for help from a realtor.