There are mixed reviews on whether or not joining a homeowners association, also known as HOA, is a good thing.  Some people like the rules and structure that goes along with it, while others detest being told that they can’t do something with their own property.  It’s important to know exactly what you’re getting into when you decide to live somewhere that is part of a HOA.

The Basics

There are a few basic things you should know about HOAs that can be seen as a pro or a con, but are more based off one person’s opinion than a general consensus.

1. When you decide to buy a property such as a condo, townhouse, or a home that is part of a gated community, you are required to join that community’s HOA and pay monthly fees to maintain the upkeep of public areas.

2. HOAs set rules that all residents must follow. These rules are called CCRs or covenants, conditions, and restrictions.  Some of these rules can include what color your front door must be painted or the size and types of pets permitted.

3. The HOA is likely to enforce the rules. If you were to break them, you will likely be fined.

For a brief breakdown, here is a list of the pros and cons of living in a home that is part of a homeowners association.

Pros

• HOAs maintain the quality of life for everyone that is part of it.
• They protect property values for all owners.
• HOAs provide amenities.
• They reduce your home owning responsibilities.

Cons

• There’s little you can do if you don’t like a rule.
• If you choose not to follow a rule, you’ll likely be fined.
• HOA dues can be raised at anytime.
• An HOA can evict you or foreclose on your home if you repeatedly don’t pay your dues.