What is a Homeowners Association? (HOA)
So, you have heard of a homeowners association and you are familiar with the acronym HOA.
Sure, you can probably make some educated guesses as to what it means to be a part of an HOA, given the name—BUT, why do communities even have them?
Let’s explore how one develops in the first place, so we can fully understand the purpose they serve and what benefits a HOA provides a homeowner!
The Development of a HOA
When a family purchases a home in such a development, they become a member of the HOA.
Furthermore, as the community grows, residents get to elect members who are the most qualified and interested in overseeing the association to serve on their board.
The developer turns full control of the HOA over to the board once a certain percentage or number of community homes are sold.
The Main Benefit of a HOA
Though every HOA still must abide by its state’s laws, each HOA has their own governing documents that include rules and regulations, bylaws, ARC’s, and other restrictive covenants. These guidelines are intended to define the principles of the community for the sole purpose of shielding property values.
The biggest advantage of a HOA is the shared common areas within the community. Many HOAs have pools, clubhouses, volleyball courts, and other amenities an individual may not be afford on his or her own. By HOA members paying dues, the accumulation of these funds contributes to these exciting amenities!
Additionally, the HOA works to make sure dues are paid on time and that rules surrounding late fees are enforced, because the funds contributed by the residents, also pays for maintaining the neighborhood—with regard to the exterior of a building, the interior of a building, and of course, the landscaping!
A HOA can be great for various reasons, but keep in mind, though this is a general breakdown, you will want to be aware of the fact that member fees can vary and the governing rules of a HOA in one community may differ greatly than that of a HOA in another community.
In closing, residents in a neighborhood like to see a well-maintained area where they live and come home to every day. So, it really comes down to preference, but a HOA is created to do the job everyone part of its residential community wants with the goal of keeping all members happy so that they stay living in the community!