Your First Homeowners' Association

“I’M CONSIDERING BUYING A HOME THAT’S IN A COMMUNITY WITH A HOMEOWNERS’ ASSOCIATION. SINCE I’VE NEVER LIVED SOMEWHERE WITH A HOMEOWNERS’ ASSOCIATION BEFORE, IS THERE ANYTHING I NEED TO KNOW AHEAD OF TIME?”

There are over 300,000 homeowners’ associations in the U.S. and all of them have different rules, by-laws, and regulations. Before you buy, you should do a little research before you sign on with the homeowners’ association. Talk to the community manager or association president and get a copy of the regulations or covenants. Pay particular attention to specific rules such as restrictions on pets, vehicles, and exterior standards such as fencing, painting, clotheslines, etc. Also, ask what the monthly dues are and what those dues specifically cover. In some cases, you may have to pay a “move-in” fee. You should also ask to see minutes from a recent meeting and a copy of the association’s financial statement to get an idea of how they conduct business. Homeowners’ associations do provide valuable services—such as access to exercise facilities, landscape maintenance, and the protection of property values—but make sure you have a comfort level with the association before you commit to buying. If you’re hesitant about any of the regulations, you may want to consider buying a home in another community. Remember, once you sign a contract with a homeowners’ association you’ll have to abide by those rules.  ∆