A homeowners association (HOA) is a group of owners in
your subdivision, or complex, that pool money together to help maintain the area. Many
HOAs have an annual fee, although some break this out into a monthly payment
system. This money goes to improve or maintain the property or neighborhood.
Your real estate agent at the Lake of the Ozarks can help you distinguish
between a property with or without a homeowners association. There are both
positive and negative aspects that go along with belonging to an HOA.
Pros of Homeowner Association
Community Appearance
Many homeowner associations have regulations for the
homeowners, such as, a well-maintained lawn, special trash bin compartments,
and designated exterior home colors. This can help create a uniform look throughout the neighborhood. Maintenance issues can also be handled by an
HOA, if everyone in your area contributes to snow removal, for example, it can help
cut down on the cost for each individual owner.
Recreational Features
A pool, tennis court, and walking path are among some of the
positive features for a homeowners association to offer. Recreational items are
added perks to paying HOA fees. This can help make a safe environment in which a
family can have fun and enjoy the area.
Area Management
A homeowners association offers an added benefit of
mediation. If an issue arises with a neighbor, a resident can report it to the
HOA, who will in turn attempt to take care of the problem. A board is usually
in charge and make many of the decisions for the entire property or
neighborhood, leaving less decision making for the homeowner.
Cons of Homeowner Association
Strict Rules
If a resident buys a home in an HOA, the rules can regulate
how they are allowed act or what they can do with their property. Sometimes, a
homeowners association does not allow business vehicles to be parked outside of
homes; this can be a burden for someone who owns their own business, and parks
their work vehicle at home. A HOA can restrict what items are allowed outside a
home.
Investment
A negative impact a homeowners association has on the
residents, is the monthly or yearly investment. This fee is normally known
upfront when you purchase the home and should not be a big surprise. The board
can vote to increase the fees, or even place a special assessment on homeowners
for major repairs or projects. An additional fee may not be calculated in an
owner’s budget, and could cause financial strain.
Area Management
Area management can be both a pro and a con. A negative
aspect is that a board makes most of the decisions that affect all property
owners in the HOA. It depends who is on the board, and how seriously they take
their role. Under management and over management in a homeowners association
can both be a con.
A homeowners association can be seen as a good or a bad aspect
to a home, depending on your personality and the type of place in which you wish to
live. Some freedoms can be limited with an HOA, but usually, the appearance and
management of your neighborhood will be impacted positively. Ultimately, it is
up to the homeowner and their personal preference, if a homeowners association
would be a good fit. A knowledgeable real estate agent can help you find a home at the Lake of the Ozarks that is in, or out, of a homeowners association.
Professional REALTOR®
BerkShire Hathaway HomeServices
101 Crossings West, Ste. 202
Lake Ozark, MO 65049
Office: (573) 365-6868
Susan's Cell: (573) 280-0484
