Homeowner Association Pros And Cons

Talk about the pros and cons of homeowner associations

Before we talk about the pros and cons of a homeowner association, let us identity what a homeowner association is first. Homeowner Association or HOA is formed by a real estate developer for the purpose of marketing, managing, and selling of homes and lots in a residential subdivision. After selling a predetermined number of lots, the developer transfers the ownership of the association to the homeowners.

If you bought a house in a subdivision with a homeowner association, membership is a condition of purchase, you do not have an option to reject it.

The association is structured like a private corporation, and is subject to the state statutes. Initially, it is a mix of developer-appointed members, and appointees or elected homeowners. Once the association is transferred to the ownership of the homeowners, the members of the board will solely be from the homeowners. The board of directors of the association are the ones who makes the decision for the whole subdivision. They also have legal responsibility to the members.

Now that we know what a homeowner association is, let us talk about its pros and its cons.

Pros

Let us talk about the pros or the benefits of having a homeowners association first. …show more content…
These benefits may include the ability to maintain the common structure of development in the subdivision and minimize ownership maintenance responsibility. Many homeowner’s associations manage and operate common properties for the exclusive use of the members or homeowners. Example of a common property would be a clubhouse, swimming pool, basketball court, tennis court and jogging path or walk trail. These are amenities that are offered in the subdivision by the association to its homeowners who cannot afford these or does not have the space in their property to have