Tuesday, July 31, 2018

A Walkthrough On Homeowners’ Associations

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When a person buys a house, townhouse, or a condominium, they are obligated to join a community’s homeowners’ association or HOA and pay monthly or annual HOA fees for the maintenance of common areas and amenities. Thus, before deciding to buy a property managed by an HOA, it’s best to learn its basics.

As a legal entity, an HOA governs a community of homes, which include subdivisions, townhomes, condominiums, or planned communities. It operates within state laws to enforce regulations and collects assessments from homeowners to shoulder maintenance repairs of common areas.

Generally, HOA fees range from $200 to $400 per month, depending on the property, community, and its amenities. On top of the monthly dues, HOAs can charge homeowners an extra assessment if a major expense like the need for a new elevator or a new roof arises and the HOA’s reserve funds won’t be enough to cover the payment. As numerous families and parties live in the same complex or building, the responsibility to maintain common areas such as elevators, swimming pools, landscaping, clubhouses, parking garages, sidewalks, fitness rooms, security gates, roofing, and building exteriors is shared by all the residents.

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HOA fees assist in maintaining the quality of life for the residents of the community, protecting property values for all owners. Additionally, HOAs present specific rules that every resident must follow called covenants, conditions, and restrictions, or CC&Rs. These rules are the same as the type of rules apartment residents must adhere to. In buying a house, choose one that isn’t already out of compliance with HOA rules.

AMMCOR, Inc. has been providing top-notch service to Orange County homes since 1979. A Homeowners Association management company servicing over 15,000 homes, AMMCOR has grown in size and quality. Learn more about the company here.