HOA fees are part of owning a home located in a homeowners association but these fees help provide amenities for you and others in the community. In most associations, they cover amenities such as pools, tennis courts, trash removal, landscaping, and maintenance in the community. Does the HOA website explain in detail what the homeowners association fees cover and when you might expect an increase? If not, you may be surprised one day to find out that the fees have gone up to cover other areas.
Why You Should Read The Governing Documents
The governing documents of the homeowners association clarify what the homeowner association is responsible for so take the time to understand them. Not all homeowners associations are run correctly and HOA fees can vary a great deal in what they cover from one homeowners association to another.
Never assume that an association with higher fees provides more amenities. Equally, verify that an association with lower fees provides basic amenities and request to see a history of the fees to determine how often they are raised. HOA fees not only cover amenities but a portion of the money is also set aside in an account called a reserve fund.
This account provides the funds for bigger projects such as repaving roads and replacing roofs. If the HOA fee is lower than average then residents may be asked to fund those projects in the form of paying a special assessment.
Have You Asked What The HOA Fees Cover?
Just because you pay higher HOA fees or a special assessment doesn’t guarantee that everything will be covered. The best way to find out what the fees cover is to ask the HOA board and what might cause that to change in the future. This saves you the frustration of finding out later that some amenities are not covered if the HOA website isn’t up-to-date.