Let’s talk about homeowner’s associations. Some people love them and some people hate them, but they are something to consider when buying a home in the Raleigh area. Many communities around here have HOAs, so it’s a good idea to know how HOAs can impact a home sale.
Here are four things to consider about HOAs when purchasing a home:
- Mortgage qualification: Lenders will look at HOA fees and will take them into consideration in the approval process. So, if someone is purchasing a home in a neighborhood with a high HOA fee, it may impact how much they can borrow.
- Live by the rules: Many people dislike HOAs because they set rules to live by. Many people don’t like the thought of being told what they can and can’t do on a property they own. However, before purchasing a home, homeowners agree to follow the rules. This is often something they sign on blindly assuming it’s not a big deal only to be surprised that they can’t put up a tall fence or paint the home the color they want. Before even putting in an offer, ask for a copy of the HOA bylaws.
- Could help make lower overall payments: Some HOAs include gym memberships, pool memberships, cable or internet service and even lawn care. While the added HOA cost may seem like an added expense, depending on what the HOA fees cover, it may offset some other payments.
- Possible higher home values: Homes with homeowner’s associations tend to hold their value because the properties tend to be maintained better, and they typically offer more amenities. In addition, since they are more organized, HOA communities are better able to handle town issues that may affect the homes such as road widenings or adjacent development.
Love them or hate them, HOAs are part of our world. Reach out to the team at Raleigh Cary Realty to help you navigate the home-buying process.