Pros and Cons of buying a Denver home with HOA
According to the Community Associations Institute, more than 24 million American homes are governed by a homeowners association agreement (HOA). Such agreements are common with gated and/or planned communities and are meant to define the regulations and rules of the neighborhood.
What is the purpose of an HOA?
In addition to setting the rules for the neighborhood, building or development, an HOA provides a way of settling disputes among neighbors and provides for the maintenance of the common community facilities, such as a swimming pool, golf course or tennis courts. HOAs virtually always require homeowners to pay an additional fee over and above their mortgage payment to handle the costs of the common facilities. HOAs also manages the overall appearance of the community; thus, they frequently outline specific things homeowners can and cannot do in regards to decorating and landscaping their property.
Advantages of buying a house in a neighborhood with HOA
Buying a home in Denver with an HOA generally means that the houses there will be maintained and have a uniform look. An HOA also saves you the expense and energy needed to maintain your own facilities like a swimming pool or tennis court. You can just use the community pools or courts.
If you are looking for homes in Denver with an HOA, you might find that it can sometimes be difficult to tell if the HOA is a good one before your sign the papers. To get an idea before you decide to purchase the house, ask for the minutes from recent HOA meetings. Look to see how the meetings are handled and if there are any large expenses looming in the future. You can also ask other homeowners how they feel about the HOA and look around the neighborhood to see if the rules are being followed.
Disadvantages of a buying into a neighborhood with an HOA
The chief disadvantage to buying a home in Denver that is located within a neighborhood that is managed by an HOA is the loss of freedom. Even though you own your home, the HOA can prevent you from doing such things as painting your home a certain color, parking a boat or an RV in your drive or even having pets. Also, if you're not a fan of uniformity, you may bristle at rules designed to make all of the houses look similar to one another.
Deciding to buy a home for sale in Denver that has an HOA should not be made lightly. You'll be signing up for an expense and a set of rules that will last as long as you own the home. It's best to consider your choice carefully.