Common Misconceptions That Homeowners Have About Property Values
Posted on August 7, 2017 8:00 AM by HOA Sites
Categories: HOA Website
There are a number of factors that cause the rise or fall of property value in any community. Many homeowner association websites tend to wrongly attribute such changes in property values to factors that seem obvious at first glance but this has led to a variety of misconceptions. The following are some common misconceptions about property values that have been brought to light.
The Effect of Assessments
Often, homeowners have an assumption that assessments can raise or lower property values. In fact, some homeowner association websites fail to display high assessment scores for fear that it might turn away prospective buyers. The truth is that assessments tend to factor in areas that are not necessarily linked to the value of the property. Instead, homeowners associations should be focused on giving residents more value for their money and share information with them about the budget.
Another misconception is that the presence of renters in the community affects property values. This has been advanced by lenders as they use that information when making decisions on loan applications. HOA boards should think of renters as potential homeowners and treat them like full members of the community. On occasion, renters decide to become homeowners and buy the home if they feel a sense of community.
Lack Of Uniform Design
Property values are affected by design standards, not by whether or not the houses are of a uniform architectural design. All homeowners should adhere to baseline aesthetic standards but homeowners also expect small alterations to be allowed. However, HOA’s must ensure that the aesthetic value of the property in the area remains high.
The value of any given property is affected by the aggregate value of the properties around it. Homeowners associations maintain good property values by collecting an adequate maintenance fee and getting the community to participate. The role of maintenance falls on the board, but homeowners can help improve property values by supporting their HOA board.
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