Ways to minimize potential homeowners’ association issues
Depending on the situation, homeowners’ associations (HOA) can be your best friend or your worst enemy. It pays to know the rules and be proactive in communication when living in a community bound by HOA rules and regulations – especially those that are enforced to the letter.
Again, depending on your perspective, HOAs can be frustrating or well received. If you have a neighbor intent on choosing a color to paint their home that is difficult to comprehend, an association’s rules are certainly welcome. Conversely, if you are trying to receive permission to add a covered carport over an available parking area on your property, you may find yourself immersed in the most infuriating situation you could imagine.
No matter what your ultimate situation when bound by HOAs, it is in your best interest to know the rules and regulations – and be aware of the potential issues homes in associations may encounter. After all, HOA rules were created for the overall good of all home owners – to keep neighborhoods well maintained, free of eye sores, consistent, and pleasant.
So, how would you go about assessing the general well-being and strength of the administration of an association you are contemplating making a purchase in – or already live in? The following contains a short list of the suggestions to help gauge the health of an association governing the home owners living within in its oversight.
Do some research
Just like prior to hopping into an unfamiliar body of water, wade in slowly before committing yourself to live in the complex. In another words, take the time to ask for and analyze pertinent, public documents detailing the association’s bylaws, meeting minutes, financial strengths or weaknesses, current litigation (if they will divulge), maintenance and repair history, and any additional information that will be helpful in making an informed decision to buy or not to buy the home in the complex you have your heart set on. Ultimately, it is a good idea to knock on a few of prospective neighbors’ doors and ask for their honest opinion about the past and current state of the compound bound by the restrictions and regulations of the association.
Take the first logical step before you jump in
If allowed in your specific area of desire, attend a board meeting and listen to exactly what is going on in the complex. Previous meeting minutes have to be recorded and kept as a condition of the board’s existence. No matter what, be very attentive and observe intently. Ask yourself questions, such as, “How many board members are in attendance? Is the interaction and conversation between the board members professional and courteous? Are the meetings conducted ‘professionally’ in accordance with Roberts Rules of Order? Is there a large issue hanging over the board’s head? Is the meeting positive or negative overall?” Obviously, any negative “vibes” should be noted and recorded mentally as a potential red flag of the association’s operations.
Find out about your specific unit
Though you certainly have to be careful when making inquiries, talk to the owners of the unit you are interested in and found out all you can about the specific property. Ask questions such as, “Has the association been keeping up with required maintenance? Have any demands been made by the association that seemed unnecessary or unreasonable? Are owners keeping up with their units? Are there any ongoing problems and/or issues that are confounding and difficult to overcome? Are the current association fees reasonable in regards to what is covered / taken care of? Have there been any recent increases in HOA fees? When was the last increase in association fees?” Again, do your homework. Compare the information you receive with the data you have collected from an association meeting to give an overall objective assessment of the complex and its inner workings.
The bottom line
Ultimately, obviously the more you know about the unit / home you are interested in and the association that governs the complex the better. Be informed. Be inquisitive and ask questions. But, do so delicately and tactfully. Avoid suspicion by stating your purpose for all of the questions and demonstrate your sincerity by thanking all who provide the information you seek.