Buying a house exposes you to a large number of variables, including industry-specific jargon and abbreviations. HOA is one of these terms. It refers to a Homeowners Association.
What is a Homeowners Association?
An HOA is a regulatory group set up to manage shared property. This group collects regular dues and is then responsible for the upkeep and maintenance of community property. Common examples of this property may be a shared rooftop garden at a condo or a playground and picnic area at a townhome complex.
The more amenities an area offers, the more things there are that will need to be managed, and subsequently, the higher the HOA dues might be. HOAs are also responsible for establishing the covenants, conditions, and restrictions (CC&Rs) of an area. Essentially, HOAs make the rules for the homeowners living in this group. These rules can reach beyond city laws and establish guidelines for pet ownership, property appearance, and even noise disturbance. Copies of these rules should be available to anyone buying a house in the HOA area.
So should you shop for HOA-qualified homes? It’s a balance of choices between amenities and individual choices. For some this is an excellent answer.