When you buy a home, you'll be paying for the home insurance (call a couple of agents for quotes to see how much you'll be paying), flood insurance, wind, hurricane (all that's applicable) insurance policies...In addition to that, you will be responsible for the landscaping, pool service (if you have a pool), basic cable, water, sewer, exterior upkeep and maintenance. Termites, radon, flooding, sump pumps, trees falling on your roof, crazy drivers hitting your schrubs, fence maintenance, land disputes, easements...you'll be responsible for all of that.
In most condos, you won't be able to bar-b-q on the balcony (fire hazard), but you'll be able to in your own home. Many people become board members to have more control over money - and, once there, are able to outsource some work and get maintenance fees reduction.
Also, a townhouse could be a nice option - with smaller maintenance fees, the feel of a home, and possibly more control over where the money is going to in the HOA.
CDPE - Certified Distressed Property Expert
Beachfront Realty, Inc.
If you do end up buying a condo, you can always try and join the board. That way you'd have the real picture of how things are managed, and if you felt it could be better, you'd be in a good position to rally owners to do something about it.
An HOA fee will take away from what your purchase price is, that's for sure. But then again, sometimes you can get a much nicer, move-in ready property with a condo, and at a lower cost. Detached homes just cost more. If you can live with a home in need of updating, you may be able to buy a detached home without the HOA fee. Be careful though, some detached home communities still have HOA's.
Best of luck to you!
Cory La Scala, REALTOR
On the surface, it is largely a matter of preference. I have lived with, and without, an HOA. Have lived where I thought the fees were ridiculous ( up from $297 in 2006 to $497 in 2008.....and the prospect of potential additional assessments for roofs); resulting in the decision to sell. And, I have had property where I had lots of amenities for $150. Location and types of amenities all play a part.
i alway recommend a pricing comparison of single family residences to HOA related properties. It is all in the final figures. Buying a condo with $350 to $375 HOA fees at "X" price compared to a single family residence at "XX" price may, or may not, make more sense for your situation. However, the numbers will help clarify your options. I would be happy to provide the comparisons for you. Best of luck!
If you would like to talk further...please feel free to call me. 858 395 7727.
I have lived in both a condo and a single family...both have their advantages.
Best of luck in case I don't speak with you.
I do ask you to consider the cost of roof maintenance, landscape maintenance, water, & insurances of all types. These would umdoubtedly cost you something each month if you owned a single family home.
The main difference is that with an HOA you are paying someone else to do the maintenance. With your own hone, you can save on labor fees and do things yourlsef.
Sometimes you don't have a choice, but the worst choice in my opinion is renting.
Hector R. Gastelum
Realty Executives Dillon
It is all dependent on what the HOA offers. When you buy a condo, you will get a copy of the HOA's budget and you can analyze it to find out if it is worth it for you! If you need assistance, please let us know.
McAllister Homes Real Estate
Visit my Website at http://www.wolfrealestategroup,com to search for properties.
Prudential CA Realty
3790 Via de la Valle
Del Mar, CA 92014
When you pay the HOA fees for a condo the association is not only paying for the current expenses but also setting aside some money in a reserve account for future repairs and replacements. For instance roofs need to be replaced./repaired periodically. The pool may need some repairs in the future. These anticipated costs need to be covered by the reserve account. There is also fire insurance that is on the complex as well as general liability insurance. Of course there are the regular expenses such as landscaping maintenance etc.
When you make an offer on a condo you have the right to see how the budget is established and what the HOA fees cover.
When you buy a detached home it is a good idea to set aside money each month beyond what you pay for regular maintenance and repairs on your home. With a condo the HOA does that for you automatically so if there are major repairs needed the association will have enough money to do those repairs.
Condo living is not for everyone. There are rules and regulations that must be followed and some people do not like that.
Please call me if you have any questions,
I am never too busy for your referrals
The San Diego Property Shop
CA DRE # 00648687
HOA will help ensure the community remains in nice condition. The other benefit of HOA fees is that they often also include cable, water, and exterior building insurance; therefore, do research what is included in the HOA, as it appears you have. You should also inquire if there is a mello Roos tax included in the monthly fees.YOu have identified about $1000 per year padding to HOA management fees. Good research! Yes, I would say that is otherwise money wasted.
Drawback of HOA -
The benefit of NO HOA is owning the land and improvement. This creates more appreciation potential than an attached home with HOA. Also, the demand from buyers is stronger for non - HOA properties as people inherently do not want to be told what they can or can't do with their home. Lastly, especially in this economy, if the HOA has member homeowners that are delinquent on their fees of more than approximatly 15% or if the HOA has more than 40% investment home owners (percentages to be verified with loan officer), then the banks will not lend on the properties and the values of the properties are at risk to substantially drop in value through no fault of your own. Again, you lose control when you have an HOA.
David Dukes email@example.com 619-788-7388