Happy Wednesday! Today we’re pulling a question from our Realtor Hat and answering frequent questions we receive. Today’s Question is “What is an HOA?” For seasoned home buyers this might seem like a no brainer, but for first time home buyers, or those who have never lived in a community with an HOA, it may not be so clear. Were going to discuss what is in HOA, and why it is or isn’t important to have, depending on your personal needs when buying a home in Santa Clarita.
What is an HOA?
When you purchase a property, whether it be a condo, townhome, SFR or in any other planned community, there is often a homeowners’ association (HOA) which you are obligated to join, and pay monthly or annual HOA fees for the upkeep of common areas and buildings. If you are considering purchasing a property with an HOA there are a few things to consider before you buy.
HOA fees can be very minimal up to a few hundred dollars a month. How high the HOA fees are, are usually determined by how nice the area is, and how many amenities are offered. Also there can be more than one HOA. Additionally, if a major repair is needed in the community, such as new light fixtures, or roads being repaved, and there is not enough funds in the reserve to pay for it, the HOA can charge an additional fee to accommodate the repair.
All residents of the community are equally responsible for maintaining common areas. Common areas can be landscaping, elevators, swimming pools, clubhouses, parking garages, fitness rooms, sidewalks, security gates, roofing and building exteriors. HOA’s help maintain the community for everyone’s mutual benefit.
HOA’s also have a set of common rules. These are called Covenants, Conditions, and Restrictions (CC&R’s) . These can hold a variety of rules, from the color you can paint your house, to not allowing for additions being made to a property, or where fixtures may be placed on a building. It is very important to read all HOA documents, and the CC&R’s when purchasing a property.
Why is an HOA important to me?
Depending on what your values are, HOAs can either be the right fit for you or not. If you are a owner who does not enjoy being restricted to what you can and cannot do with your property, a community with an HOA may not be for you. Also, some people do not enjoy the idea of paying an additional fee on top of their regular mortgage and property taxes. If you enjoy the benefits of having your community maintained for you, while keeping a uniformity to the neighborhood you live in as well as the amenities that come with it, having an HOA may be the right fit. When purchasing a property always remember to get a full copy of HOA docs, and read them carefully. If you are in the market for a new home and would like to know which communities in Santa Clarita do not have an HOA, contact us here, or give us a call at 661- 373- 2374.
