When you live in a private community, the chances are that the community has a home owner’s association or HOA. But people don’t really know much about their local HOA or HOAs in general. This can lead to many misconceptions regarding the HOA. But we’re here to debunk these misconceptions so that you can have a better understanding of how HOAs work.
Misconception 1: HOAs Affect Property Values
Many people believe that if a home is in a community with an HOA, its value will be affected. The truth is that the HOA has no impact on the value of the home. If a home is located in an area with great schools, low crime rates, and plenty of parks and recreation, then that home is going to maintain its value regardless of whether or not it’s in a community with an HOA.
Misconception 2: HOAs Are Too Expensive
Many people believe that HOAs are too expensive, and they want to maintain the autonomy of their community. This may be true for some people, but for others, the benefits of the HOA are worth the annual fee. In general, if the benefits of the HOA outweigh the fee that you’re paying, you should definitely join.
Some of the benefits of joining an HOA include:
- Maintenance of community grounds
- Consistent exterior appearance and style
- Consistent and enforced rules and regulations
- Someone to help take care of snow and trash
- Managed lawn services
- Access to community parks, pools, and playgrounds
Misconception 3: The Sole Purpose of HOAs Is to Make Money
The majority of people assume that the main purpose of an HOA is to make money. But that’s incorrect. The sole purpose of the HOA is to provide services to the community and make sure that the property values are maintained. In fact, HOA board members have to sign contracts stating that they won’t profit from the services they’re providing to the community.
Misconception 4: HOAs Are Too Restrictive
Many people assume that HOAs are too restrictive, but that’s not always the case. HOAs only restrict behavior that is considered dangerous, and that could potentially cause damage to the community. They are not restrictive with the type of home decor you can use and the number of pets you can own.
Misconception 5: HOAs Can Impose Excessive Fines
In the past, HOAs have been known to impose excessive fines for minor violations. But that is not the case anymore. In recent years, HOAs have been given strict guidelines that they have to follow when it comes to imposing fines. For instance, they can only impose fines if they have given the residents 30 days to correct the violation. They are also not allowed to impose fines that exceed the amount stated in the contract that the members signed.
Final Thoughts
No matter what the misconceptions are, the bottom line is that HOAs are here to stay. They offer residents several benefits, especially in terms of maintenance and safety. So, if you’re thinking of moving into a community with an HOA, make sure you do your research on what you can expect and what services you should expect from the HOA.
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