Home Buying in Meridian>Question Details

rthorndyke, Home Buyer in El Segundo, CA

Are Home Owner Assessments Fee: monthly or yearly?

Asked by rthorndyke, El Segundo, CA Thu Apr 11, 2013

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The answer depends on the community. Each community sets up their own budget which is what the fees are based on. If the budget incurs a high annual cost of services then the fees may be monthly. If the costs are less, than the fee may be quarterly or even annually. The most important thing when buying in a community with a condo or homeowners fee is asking for a copy of the budget and reviewing it very carefully. You also want to know what the financial statements are saying about the community as a whole. Is everyone paying the fees? Is there cash in the bank? Never buy in a community without first reviewing all of the HOA/condo documents carefully. Hope this helps...
2 votes Thank Flag Link Mon Jan 27, 2014
HOA fees are usually monthly. You can pay that upfront for the whole year if you have the funds. Another way you could pay is by putting in an "Impound Account" which would also let you pay into your property tax on a monthly basis. This is great because you will not have to worry about coming up with that property tax lump sum amount during April and December, which you could have spent on that flat screen tv or shoes that you did not need.

Amit Singh
Bre# 01886685
http://www.amitsinghomes.com
1 vote Thank Flag Link Wed Jan 29, 2014
In general, HOA fees are monthly. However, there are some that require quarterly payments. It would depend on your desired subdivision/ HOA Governing Body dues structure.

Regards,
Chad Roberts
Broker/Salesperson
Realty One Group
0 votes Thank Flag Link Tue Mar 4, 2014
This depends on which subdivision or HOA you are inquiring about as they all have different schedules. However most are fairly flexible with letting you pay your dues monthly, quarterly or yearly if you contact them and set up an arrangement. Good Luck!
0 votes Thank Flag Link Tue Mar 4, 2014
Having a resource to help with HOA information and documents makes life easier for real estate agents. Recently, when selling a home in Ohio, Association Online provided me with all the HOA details for the listing, and then provided all the documents - by-laws, financial statements, covenants, etc. They made sure the package was complete, making my work easier. Their web site is well organized and very easy to use - http://www.associationonline.com . Call their team of experts – they are great to work with (970-226-1324).
0 votes Thank Flag Link Mon Feb 3, 2014
Most HOA are monthly. But there are some subdivisions that have quarterly, semi-annual or annual. Some may even have a one-time special assessment depending on their annual budget. Most MLS listing would list the name of the Association, HOA dues and frequency of payment.
0 votes Thank Flag Link Mon Jan 27, 2014
Each subdivision will have their own protocol for when they collect HOA fees. Most rural areas that have a lower total yearly fee typically charge once a year. But as you get into the more expensive inner city subdivisions you will see more of them charging monthly. Occasionally, you will also find some that charge by quarter.

Your Real Estate Broker should be able to check on the MLS and get the subdivision specific information for you as you find areas you are interested in.

Have a great rest of your week!

April Neuhaus
0 votes Thank Flag Link Mon Jan 27, 2014
It depends on the community. Some may be monthly, and others can be quarterly, etc. Once you have a specific community in mind the HOA fees and timing can be determined.
When we enter a new listing in our MLS we have to list the amount and how often it is paid.
0 votes Thank Flag Link Mon Jan 27, 2014
Every year the Board of Directors sit down and figure out an Operating budget for the coming year. If you have a property management company they are also working along side you to come up with the best answer and past information to build your new budget. The Reserve Fund (Savngs for projects, roof, siding, sidewalks, landscape improvement etc.) will be every three years that will effect your monthly dues.. If your property is in reasonable health to begin you will have a great start but, as we found flipping an apartment complex over to a condo surprises keep coming at us. So your home owner assessment fees are monthly, based on the yearly budget.
0 votes Thank Flag Link Sun Jan 26, 2014
I should mention that we have 240 units and have only raised our dues by 3% when needing to fund our reserves.
Flag Sun Jan 26, 2014
It would be nice if realtors would make an effort to list whether or not the HOA fee is monthly, quarterly, semi-annual or annual. Too many times I have reviewed properties for sale on the internet and while they list the amount, they rarely state how often that amount is due. If the HOA fee is $700, the amount increases drastically if it is a monthly fee vs an annual one.
0 votes Thank Flag Link Sun Jan 26, 2014
Hi BstD
My sister bought a cute home in Port St Lucie a few months ago, and her HOA (POA here in NC) is $300 a Month, which seems to be about average for the newer homes in Traditions, but when i look at home listings it does not always say per month. Tough to figure.
Flag Sun Jan 26, 2014
It varies depending on the property. It can be monthly, quarterly, semi-annually or annually.
0 votes Thank Flag Link Sun Jan 26, 2014
HOA fees vary by community in terms of frequency of payment and what the fee includes. Some may be maintenance, some properties include exterior home maintenance and in some areas even heat and hot water. Ask specifically at each property you your.
0 votes Thank Flag Link Sun Jan 26, 2014
It depends on the HOA and the size of the fee. It can be monthly, quarterly or semi-annually. And don't forget to ask what it covers which can include just mowing the grass to complete care for the outside of the house. Ask for the last year's board notes to see if there are discussions about upcoming expenses.
0 votes Thank Flag Link Sun Jan 26, 2014
Depends on where you live, some areas charge them monthly some is charged them quarterly some areas charge them yearly.
0 votes Thank Flag Link Sun Jan 26, 2014
In our area, Boone & Blowing Rock, NC-this varies. Usually you pay in advance for a month or three months or four months or the POA can require that you pay in advance for the entire year. In the county here we have NO ZONING. For this reason alone it is an excellent advantage to have a POA with Restrictive Covenants to control your surroundings and property values. In the county if you buy an acre somewhere that is beautiful and has a 50 mile view TODAY, without restrictions on this and the surrounding property a rusty single wide could park on the lot next door and that could become your view.
Each POA here covers a different set of items but most are quite similar. Condo/Townhome are usually more inclusive in what they cover (roofs, exterior paint, deck washing, etc) of course than in a single family neighborhood and thus Condo/Townhome POA's are usually quite a bit higher than in a single family development. Also, amenities might be covered or included in that POA.
Usually here, if you then sell, whatever POA fees you have pre-paid that year into the association for the period of time in which the new owners will be actually be occupying the home, becomes a part of the proceeds you receive back (credited to you) on the closing statement. Your Realtor will provide you with a form that states exactly what your individual POA covers fr the charge. Be sure you get that.
0 votes Thank Flag Link Sun Jan 26, 2014
all the answers above relate to neighborhood HOAs, if you purchase a condo in a high rise in NYC or Sarasota or St Pete, or any other major city, you can expect to pay 5-15K a year, depending on the building, its age and amenities offered, and it may be broken into monthly, quarterly, or annual payments.
0 votes Thank Flag Link Sun Jan 26, 2014
It varies across the board....very subdivision specific. Some are monthly, some annually, and some quarterly. In addition, the range of these fees vary dramatically depending on the amenities the neighborhood provides. For example, the neighborhood I live in charges $180.00/ quarter. We have extensive green space, a couple of parks, two pools, and various planter strips that are maintained by the association. They also hang Christmas lights during the holidays and do other decorations for special events. I think it is a great value and well worth it (mostly because I don't have to do it)!

At this point, there does not seem to be any standardization for establishing the fee amounts or the payment schedule. If possible, identify a couple of subdivisions you might like and we can kick the dirt a little to find the details for you.

Would love to help!
0 votes Thank Flag Link Thu Apr 11, 2013
It depends ...

Many clients moving to Boise say they don't want to live in a subdivision since they don't want to pay for subdivision fees or abide by their rules. However, even if you split a one acre lot into two half acre lots now, that requires a "subdivision".

Most subdivisions now require common areas, pressurized irrigation (if available), and a storm water retention pond (to keep heavy rain run off out of our storm drains that typically lead into the Boise River). These create potential liability which then requires insurance.

Expect to pay from $0 - $600 a year for HOA fees. Always ask specifically what you get for that money since it varies by community. If you buy a home with a large lot, it is possible you could pay more than $600 for water to the city for irrigation when if that same home had pressurized irrigation from our canal systems, that same amount of water could cost less the $100 a year for unlimited water.

Hope that helps!
Jim
0 votes Thank Flag Link Thu Apr 11, 2013
It really depends on the subdivision. Most subdivisions have a yearly fee that is usually paid in the first couple of months of the year. Other subdivisions ask that they are paid on a twice a year basis, quarterly basis and usually with condos or townhouses, they will occur on a monthly basis. It really depends on the situation. If you are wanting to know about a specific home in a specific subdivision, let me know what the address of the property is and I can get that information back to you. There are also places where you would not have homeowners associations so you really need to check each individual property.

If you have any other questions about any home or homeowners association, please let me know.
0 votes Thank Flag Link Thu Apr 11, 2013
I am not sure if you can answer my question about the HOA because I live in Beaumont, Texas and the address of the home is 10 Bayou Bend Place, Beaumont, Texas 77706. I asked the agent representing the seller and she said it was probably annually and only covered the common areas in the front of the property. She said she would have to find out from the HOA president in the subdivision but I have not received the information at this time. The fee is $500 and in the information on the internet but not what it covers on how often it is paid. I even received a fact sheet about the property and how the $500 was utilized or paid was not shown. Thank you for any assistance you can provide.
CM
Flag Mon Jan 27, 2014
I'm not sure which subdivision you are referring to. If you could could clarify, I can answer your question better. Some subdivisions have annual rates, like the one I live in which charges $407 per year. In our case they cover the irrigation water. We have large amounts of common area to be mowed, watered and trimmed.

Other subdivision charge monthly, but they cover exterior maintenance of the home and yards.

HOA fees can be a good thing, if there is coverage for items to make the subdivision more desirable, thereby increasing the likelihood of the sale of your home in the future probable.

Some subdivisions also have community swimming pools.
0 votes Thank Flag Link Thu Apr 11, 2013
Legends Neighborhood
Flag Thu Apr 11, 2013
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