Currently, there are 300,000 Homeowners Associations, also known as HOAs, that focus on the best interests of their respective neighborhoods. While property owners purchase their property, certain rules are in place that can limit what they can do with their individual dwellings and their surroundings.
However, issues can arise with residents that can impact their fellow homeowners.
The solution to this problem is HOAs, that serves as a local governing body that oversee property use. Certain covenants can clearly communicate the rules to soon-to-be and existing owners regarding property usage and come to some form of resolution.
The benefits of HOAs are the dedication of property owners willing to essentially give up certain rights in exchange for certain protections that include:
- Preservation of property values
- Minimization of nuisances
- Maintaining the neighborhood’s “character”
Simply put, HOAs place restrictions on the properties they govern. Their existence is a perfectly imperfect democracy. While disagreements may occur and votes don’t favor a homeowner, that property owner still must adhere to the covenants and abide by local control.
HOAs are not without their problems and have their share of detractors, including influential lawmakers continually looking to reign the entities’ power through legislation.
Purchasing a home within a governing HOA requires adherence to specific rules and regulations. In turn, all residences benefit from its safety and property value protection. While some experience “cold feet” after the fact, the regulations are still in place and enforced when someone violates those rules.