What to Know About HOA’s

chris.ha • Sep 25, 2019

We get this question a lot. Should I try to find a home that is not in a HOA? What are the benefits of an HOA. Well, many people will tell you that paying those HOA fees is pointless and to find a home without it, but many people can also tell you otherwise. Just like anything, HOA’s have their upsides and downsides, but it’s up to you to determine whether or not living in an HOA area is right for you!


What is an HOA?


Home Owner Associations (HOA) are simply an organization in a neighborhood, community, or condominium complex that makes and enforces rules for the properties and their residents. When you buy a home in an HOA, you are required to be a member and pay a set of monthly and/or annual fees, as well as keeping up with assessments that may be brought to you.


Pros:

  • Amenities: One HUGE pro that everyone usually enjoys about having an HOA is the amenities that they can offer. Such as community pools, gyms, game rooms, and more! The perk of having these things within walking distance of your home can be a game changer. Maybe you don’t go to the gym as often as you’d like because it’s far and you’ll have to get up way earlier to make it. Well if your HOA has a gym, that’s no longer an issue! One of the most attractive amenities though, is a pool. Most people would love to have a pool in their backyard, but those expenses can add up tremendously! But with an HOA, you’ll no longer have to worry about that expense, and you can take your family to the pool any day you’d like!
  • Reduced responsibility: Another perk of having an HOA is that a lot of work is done for you. Home Owner Associations tend to hire contractors to do the work that most people don’t want to do. This usually includes lawn maintenance, snow removal, trash pickup, etc. This not only takes out the work for you, but it makes these jobs cheaper. Instead of paying contractors each time you need jobs done such as cleaning gutters, mowing the lawn, exterior maintenance, etc., you’ll only pay a set amount per month for ALL of these services!
  • Upkeep: One of, if not the best thing about an HOA, is that they help maintain and keep up with properties. As an HOA, they want to keep the value and appearance of the community in the best possible shape! While this means there will be a set of rules in place, this also means the likelihood of your property value decreasing is much lower. Another upside to having these rules is, if you have that ONE neighbor who breaks all the rules and is very disturbing, they won’t be around for long. This allows for a better overall experience within your community.


Cons:


  • They can foreclose on your home: This is a BIG one! Most people are very uncomfortable with the fact that an HOA has this kind of power, but just like a landlord can evict a tenant for not paying rent, an HOA can foreclose on your home. If you’re late with your HOA fees or have a significant unpaid balance, your HOA will have to decide how they’re going to get their money. While rules and procedures will vary by state, and foreclosure is a “last resort” form of collecting payments, it is highly recommended that you don’t miss any HOA fees to avoid losing your home.
  • HOA’s can create assessments: The unfortunate matter of fact is that HOA’s are usually very underfunded. This results in any association to take extra steps to gather funding for their projects, and since the beneficiary of these projects happens to be the homeowners, that is who they go after for the money. These assessments can be sprung on you at any time for any reason, whether they’re building a play ground for the local children or they need to fix the roads for safety. The HOA will ask you for a set amount of the funds to make sure the job gets done. Just like we mentioned before, if you do not pay these assessments, HOA’s can take legal action such as placing a lien on your property. It’s important to take a look at your HOA’s budget before moving in to determine how much you will likely pay in monthly/annual fees as well as any assessments that may come up.
  • Rules: The rules set by an HOA can be a determining factor for anyone. Unfortunately, these rules can vary from what types of shrubs/trees are allowed, what pets are allowed, and even what vehicles are allowed in the neighborhood. HOA’s are especially evil for investors because most associations will not allow the owner to rent out the property, and if they do allow rentals there are very specific guidelines in which to follow. These rules are the cause of many homeowners having a hefty fine to pay. It’s just as important to view the rules of an HOA as it is to view the budget. You want to know every in or out of the rule book so you do not rack up any fees just for throwing out a certain product or planting a specific tree in your yard,


All in all, Home Owner’s Associations can be very helpful in maintaining and increasing the value of a community. If you’re not careful, an HOA can be the reason you lose your home or have a big bill to pay each month. Our best advice for HOA’s is to talk to your Brown Home Group agent about which community/HOA would be right for you.


Written By:



Blaine Wyker

Brown Home Group @ Keller Williams Advantage II Realty




Sources:

https://www.bankrate.com/real-estate/hoa-homeowners-association-rules/

https://www.investopedia.com/articles/mortgages-real-estate/08/homeowners-associations-tips.asp

https://www.allstate.com/blog/homeowners-associations/



By David Dixon 18 Apr, 2024
Choosing Between a Starter Home and Forever Home:  Making the Right Real Estate Decision
By David Dixon 10 Apr, 2024
A Practical Guide for Reinventing Yourself In A New City Post-Setback
By Rick Brown 20 Mar, 2024
Tenant-Centric Property Management: How to Make Renters Feel Appreciated
By Orlando Law Group 15 Nov, 2023
We're here to help with your small business needs
By Orlando Law Group 08 Aug, 2023
Need help with your HOA? We are here for you
By Orlando Law Group 10 Jul, 2023
Why Hire an Orlando Law Group Real Estate Attorney?
By Rick Brown 19 Jun, 2023
The Ultimate Home Renovations Guide: Tips and Insights If you are a homeowner and have ever considered giving your home an upgrade, then you are not alone. Home renovations have been gaining popularity in recent years, as more people realize the benefits of making improvements to their living spaces. However, home renovations can be a daunting task, and without proper planning, it can quickly turn into a nightmare. In this article shared by the Brown Home Group, we’ll cover the basics of home renovations, pros and cons, common types of remodels, and some practical tips for a successful renovation. Pros and Cons of Home Renovations Before embarking on a home renovation, it is essential to consider the pros and cons. Here are some of the factors to consider: Pros ⦁ Increases home value: One of the significant benefits of home renovations is increasing the value of your house. A good renovation can boost the value of your home significantly, especially if you are planning to sell it in the future. ⦁ Personalization: Another advantage of home renovations is that it allows homeowners to personalize their living spaces. You can express your personal taste and style and create a unique space that fits your lifestyle. ⦁ Improved functionality: Home renovations can also improve the functionality of your space. For example, remodeling your kitchen can create more storage space, allowing you to be more organized. Cons ⦁ Cost: Home renovations can be expensive. Even a small renovation can quickly add up, and it's crucial to have a budget before starting the project. ⦁ Time-consuming: Home renovations can take time, especially if it's a significant remodel. Be prepared to manage your time carefully, and consider temporary living arrangements if necessary. Common Types of Home Remodels There are several types of home remodels, ranging from minor updates to significant renovations. Here are some of the most common types of home remodels: Kitchen Remodels Kitchen remodels are some of the most popular home renovations, and with good reason. The kitchen is the heart of the home, and remodeling it can significantly increase the value of your home. Some kitchen remodel ideas include updating the cabinets, installing new appliances, and replacing outdated countertops. Bathroom Remodels Bathroom remodels are also popular, and they can significantly improve the functionality of your bathroom. Some bathroom remodel ideas include upgrading the shower or bathtub, replacing old tiles, and installing new fixtures. Room Additions If you require additional living space, room additions could be an excellent option. Room additions can include anything from adding a new bedroom to creating a home office. Outdoor Living Spaces Outdoor living spaces have become increasingly popular in recent years. Outdoor living spaces can improve your home's functionality and increase its value. Some outdoor living spaces include outdoor kitchens, patios, and decks. Clearly Define Your Desired Outcome Before starting any home renovation project, it's essential to have a clear idea of what you want to achieve from the renovation. Clearly defining your desired outcome will help guide you through the renovation process and ensure that you stay on track. Some essential questions to ask yourself include: ⦁ How much am I willing to ⦁ spend on the renovation? ⦁ What is the ultimate goal of the renovation? ⦁ What style and design do I want for the renovation? Use a Home Maintenance and Repair App Using a home maintenance and repair app can help connect you with professionals for all of your home renovation needs. For example, this home management app puts experts in your hand; you can find pros for everything from painting to plumbing. The app provides a simple and hassle-free way to find a professional for your home renovation needs. Apply for a Home Improvement Loan If you need additional financing for your home renovation project, consider applying for a home improvement loan. A home improvement loan is a type of loan that you can use to finance your renovation project. You can find home improvement loans from banks, credit unions, and other financial institutions. Keep Track of All Expenses It's essential to keep track of all of your expenses during your home renovation project. Maintaining a budget and sticking to it will help you avoid overspending. You can use a budgeting app like Mint to keep track of your expenses and set up alerts when you go over your budget. Home renovations can be a great investment, but it's crucial to plan and budget accordingly. Always define your desired outcome and work with professionals to ensure high-quality work. By following these basic tips, homeowners can have a successful home renovation project. If you’re in the market for a new home, Brown Home Group can help you find exactly what you want. Contact us today by calling (321) 348-8720. David Dixon David@neighborhoodweek.org
By Rick Brown 09 May, 2023
Buying or selling a home is an exciting process, but it can also be overwhelming with all the paperwork involved. To help make things easier, contact the Brown Home Group. We've compiled a list of tips and tricks to help you keep up with the paperwork during the home buying and selling process. Gather Your Documents Gathering the necessary documents is the first step when buying or selling a home. This includes tax returns, bank statements, and pay stubs. Having all of these documents organized before beginning the process will ensure that everything goes as planned and there are no delays at closing. Take Note of the Timeline It’s important to document the timeline for each step of the home buying and selling process so you know when key deadlines are due. This will help you stay organized and on top of any deadlines that need to be met in order for the transaction to go through without any issues. Additionally, crosscheck any deadlines with your real estate agent or lawyer so you can be sure they are accurate. Keep Documents Updated Regularly updating relevant documents throughout the home buying and selling process is an important step to take. Doing so ensures that all information is current, which can be invaluable if any last-minute changes or updates are needed prior to closing on a sale. Keeping up with document updates will save you time in the long run. Digitize Documents In today's digital age, it is important to digitize documents into PDFs so they can be easily shared between parties in any transaction. With the help of a PDF merger, multiple documents can be combined into one single file, making them more accessible when needed. You can convert them with ease from other file types, as well, and store them securely for future reference. Switch to Digital Banking Online banking services make it much easier to transfer funds between parties than traditional methods such as cash or check payments. This is an advantage that offers convenience, security, and efficiency in money transfers. Some banks also offer additional services such as wire transfers, which enable money to move from one account to another quickly and securely. Easily Locate Physical Files Color-coding your files is a great way to stay organized and find things quickly during this stressful time. Not only does it help keep everything in one place, but it also makes sure nothing gets lost in the shuffle. Having easy access to important files is essential, so take the time to color-code them for convenience. Set Deadline Alarms Setting reminders is an important part of staying organized during the home buying and selling process. Key deadlines come and go quickly, so setting reminders ensures that you are always up-to-date on all the necessary information. Online calendars and phone apps are perfect for staying organized with tasks. The paperwork involved in buying or selling a home can seem like a lot at first glance but by following these simple tips and tricks, you can make sure everything gets done quickly and efficiently. Keeping track of necessary documents, digitizing them, and setting reminders about key deadlines — these are just best practices that will put you at ease.
By Rick Brown 14 Apr, 2023
Moving to a new city is an exciting time, but it can also be stressful if you’re trying to start a business at the same time. There are many things to consider when starting a business. To help make this transition smoother, here are some tips from Brown Home Group that will help you successfully move and start your business. Get Your IT Bachelor's Degree Online Before starting your own business, it pays to have a good understanding of technology. Earning an online bachelor's degree in IT will give you the skills and knowledge you need to not only run your business professionally but also protect it from security breaches or other malicious activities. This page deserves a look if you're interested in returning to school online. An online degree program makes it easy to earn a degree when it works best for you. Qualities To Look For In A New House Moving for business can be a difficult process, with lots of factors to consider. When relocating, it is important to make sure the area meets all of your needs, from commute times to the cost of living and nearby amenities. Research the area thoroughly before deciding whether you should purchase or rent a property there. Steps of Purchasing a House When it comes to buying a home, understanding the process is key. Pre-approval loans, working with real estate agents such as those from Brown Home Group , and attending open houses are all steps you must take in order to make an informed decision. Taking the time to understand the home-buying process will save you time and money in the long run. Keep Your Contact Info Up to Date On Your Website Moving can be stressful and time-consuming, but it is important to update your contact information on all of your website pages and social media accounts. By updating these channels with your new address, customers will know where to reach you after relocating and can continue doing business without interruption. Keeping this information up-to-date keeps the flow of business smooth for everyone. Establish A Budget Creating a budget is essential for any kind of business venture. Knowing your income and expenses gives you an idea of profit or loss for each purchase or service. Developing a budget plan helps manage finances better, providing stability and security when running day-to-day operations or dealing with unexpected costs. Having the Necessary Materials at Hand As you prepare for your move, it is crucial to remember any materials that pertain to your business. This includes documents about taxes, contracts with clients and vendors, etc. Make sure all of these important items are kept together, in a marked box or stored digitally on cloud storage solutions for easy access. Doing this will ensure a smooth relocation process. Create an LLC Designating your business as an LLC is essential for protecting owners from personal liability in case of legal troubles. It also guarantees tax benefits, allowing entrepreneurs to save money on their yearly taxes depending on individual situations. These advantages make LLC designation an important asset when starting up a new business or venture. Think about Buying a House "As Is" When looking for a home, purchasing one that needs minimal renovations can save both time and money. This is especially important if there are urgent tasks that need to be taken care of before you can officially move in. Buying any type of property “as-is” may require extra effort, but could reward you with unexpected benefits if the purchase goes off without a hitch. Starting a new business can be an intimidating task, especially when having to relocate. Luckily, there are some great tips to ensure the transition is seamless — from getting an online bachelor's degree in IT to researching the best home for your situation and understanding the home buying process. Following these steps will help guarantee success despite the goals you set.
05 Jul, 2022
When it comes to accessible housing, it’s important to be informed. Whether you’re a senior citizen, a veteran or someone with a disability, research is key for ensuring that your move is straightforward and cost-efficient. Here are some things to consider.
More Posts
Share by: