Buying in an HOA? 16 things to consider first

Gaining insights from seasoned experts, this article sheds light on crucial considerations for prospective buyers in homeowners associations (HOAs). Without complexity, it focuses squarely on what matters most: understanding bylaws, financials, and community dynamics. This guidance serves as a crucial tool for making informed decisions in the intricate world of HOAs.

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Read HOA Bylaws and Financials Thoroughly

For me, the biggest piece of advice when buying a home with a homeowners’ association (HOA) is to read the bylaws and financials carefully before making an offer. Many buyers get caught up in the amenities and the convenience of an HOA, but the real concern should be: How well is the association managed?

In my opinion, you should look at the HOA’s reserve fund, which is used for major repairs and maintenance. If the reserves are low or mismanaged, you could be hit with special assessments, meaning unexpected fees on top of your monthly dues. I’ve seen buyers purchase homes in communities with seemingly low HOA fees, only to find out later that the association is underfunded, leading to big hikes in fees or mandatory payments for repairs.

Also, don’t just skim the rules and regulations; understand them thoroughly. HOAs can have strict policies on things like rental restrictions, pet limits, parking rules, and even exterior modifications to your home. What seems like a small detail now could become a huge frustration later.

What do I wish I knew beforehand? Honestly, I wish I had known how much HOA politics can affect your living experience. Some associations are well-run, but others have power struggles, conflicts between board members, or unreasonable enforcement of rules. If possible, talk to current homeowners in the community and get a feel for the overall atmosphere before you commit.

Adam Chahl, Owner / Realtor, Vancouver Home Search

Review HOA Documents Before Signing

If you’re buying a home with an HOA, my biggest piece of advice is to read every single page of the HOA documents before signing anything. Too many buyers glance over them, assuming they’re just standard rules about keeping your grass cut or not parking an RV in the driveway. Then, a few months later, they’re hit with unexpected fees, special assessments, or restrictions they never saw coming.

One thing I wish I had known earlier is how much power an HOA can have over your property. I’ve seen cases where homeowners couldn’t paint their front door a certain color, put up a fence they wanted, or even rent out their home. It’s not just about the monthly dues—it’s about how the HOA manages the community, enforces rules, and handles conflicts. Some are great and add value to the neighborhood. Others can be a nightmare.

Before you buy, ask for meeting minutes, check the financials, and talk to neighbors. You want to know if the HOA is reasonable, financially stable, and actually improving the community. A well-run HOA can be a huge asset, but a poorly managed one can make homeownership frustrating and expensive.

Matt Ward, Team Lead, The Matt Ward Group

Inspect HOA Records Before Making an Offer

Inspect the HOA records before you even make an offer. The restrictions, fees, and regulations impact your quality of life and resale value. Many people focus on the house and forget about association rules. You need to see what you are getting into before you sign anything.

Look for restrictions on parking, exterior changes, and rentals. Some HOAs restrict certain types of vehicles and prohibit how you can alter your house or engage in short-term rentals. These restrictions impact your freedom as a homeowner. If you want to rent your house in the future, look for rental caps or owner-occupancy restrictions.

Review the financials. An underfunded HOA can lead to special assessments or fee increases. Ask for the budget, reserve fund balance, and recent meeting minutes. A well-run HOA maintains the property without unexpected costs. Poor financial management can leave you paying for neglected maintenance or legal disputes.

Talk to current residents. They can give insight into how strict the HOA is and whether issues are handled fairly. While a poorly managed HOA causes needless hassles, a well-managed one preserves property values.

Although HOAs provide advantages like well-kept common areas and community facilities, there are drawbacks as well. Think twice about the house if the rules or costs bother you. The worst scenario is buying a house and feeling trapped by unexpected restrictions. Read everything, ask questions, and be sure the HOA fits your lifestyle before signing anything.

Jeff Burke, CEO, Jeff Burke & Associates

Evaluate HOA Management and Community Atmosphere

One piece of advice I would give to someone buying a home with a homeowners’ association (HOA) is to look at how the HOA is run, not just the rules and fees. From my experience in real estate, the way an HOA manages the community can make a big difference in a homeowner’s experience. Some HOAs are fair and organized, while others are too strict or unclear about their rules. Reviewing past meetings, financial records, and how they handle issues can give a better idea of what to expect. It’s important to know if the HOA is making good decisions for the community.

I have seen that the way an HOA is managed affects more than just property values—it impacts daily life. A well-run HOA creates a stable and friendly neighborhood, while a poorly managed one can cause frustration and conflict. Talking to current homeowners and attending an HOA meeting before buying can help buyers understand how the community operates. A home is a big investment, and choosing one in a well-managed HOA can make homeownership much smoother. Taking the time to research the HOA upfront helps buyers avoid surprises and make a more confident decision.

Betsy Pepine, Owner and Real Estate Broker, Pepine Realty

Understand Consistency in HOA Rule Enforcement

The one thing I wish I knew before buying a home with an HOA is how their rule enforcement is truly applied across the board. Many HOAs enforce rules selectively, which can cause tension among neighbors.

As a real estate expert, I suggest understanding how important it is to ask about enforcement consistency. Certain violations can get overlooked depending on who the homeowner is, leading to frustration. Knowing how fair and consistent the enforcement of HOA rules is helps save resources. Some HOAs are very strict, while others might turn a blind eye, and this discrepancy can affect your experience. If you’re moving into a neighborhood where you want peace and order, knowing this detail can make all the difference.

Mark Sanchez, Founder & Senior Real Estate Manager, Tropic Residential

Ask Questions About HOA Rules and Fees

If you’re buying a home with a homeowners’ association, my advice is to read the HOA documents carefully and ask questions before committing. Too many buyers focus only on the home itself and don’t realize how much the HOA rules can impact their lifestyle and budget.

I’ve seen buyers get caught off guard by restrictions they didn’t know existed—things like limits on renting out the property, rules on exterior changes, or even what kind of vehicles you can park in the driveway.

The HOA fees can also change, so you need to look at the financials and see if the association is well-managed. If they don’t have enough reserves, you could be hit with special assessments for roof repairs or landscaping upgrades.

I wish I had known beforehand that not all HOAs operate the same way. Some are great and keep the neighborhood looking sharp, while others can feel overbearing or disorganized. The best way to get a feel for it is to talk to current residents. They’ll give you the real story on whether the HOA is fair and responsive or if it will be a headache down the line.

Jimmy Welch, President, The Jimmy Welch Team

Check Rental Policies Before Buying

Never assume a home in an HOA community can be rented out when you need it. Many HOAs not only have rental caps but can be downright hostile toward rental homes. The policies can change with a single vote. I once saw a buyer purchase a “starter home” expecting to rent it in a year or two, only to learn after closing that the HOA had a cap on the number of rentals allowed. If your plan includes renting—whether long-term or short-term—check how often the HOA revises leasing rules and whether they’ve been trending toward more restrictions. What’s allowed today isn’t guaranteed tomorrow.

Patrick Schultz, Co-Founder, Dallas House Sale Group

Review HOA Rules, Fees, and Financial Health

One piece of advice for someone buying a home with a homeowners’ association is to carefully review the HOA’s rules, fees, and financial health before committing. Many buyers focus on the benefits of an HOA, such as maintained common areas and amenities, but don’t always consider the restrictions or potential for fee increases. Understanding what’s covered, any special assessments, and how often fees change can prevent unexpected financial burdens.

One thing I wish I knew beforehand is how much HOA rules can impact personal choices, from exterior modifications to parking and even landscaping. Some HOAs have strict guidelines that may not align with a homeowner’s preferences. It’s important to request the latest HOA meeting minutes and financial statements to get a sense of any upcoming changes, disputes, or major expenses. Taking the time to research and ask the right questions upfront can help avoid surprises and ensure the HOA aligns with your lifestyle and long-term plans.

Tori Trebiascci, Property Manager, Going Coastal Property Management

Investigate HOA Management and Financial Health

Before buying a home with an HOA, go beyond just the fees—dig into how the association is managed. Some HOAs keep communities well-maintained and property values high, while others have poor leadership, unexpected assessments, and restrictive rules that can be frustrating.

Review the HOA’s financial health, past meeting minutes, and any pending lawsuits. Speak with current residents to understand how the HOA actually operates day to day. Many buyers focus on the amenities but overlook the fine print—knowing how an HOA enforces rules and handles finances can save you from costly surprises down the road.

Jonathan Ayala, Licensed Real Estate Salesperson | Founder, Hudson Condos

Understand HOA Maintenance Responsibilities

Living in an HOA community myself, I’ve learned it’s essential to understand exactly what maintenance the HOA covers versus what you’re responsible for as a homeowner. I once had to help a client navigate a messy dispute because they assumed their HOA covered tree removal, only to discover it was their responsibility after a storm damaged their yard. Before buying, I always suggest driving through the neighborhood at different times to see how well the rules are enforced and if the community standards match your lifestyle.

Barry L Smith, Founder and CEO, Homesmith

Request Documentation of HOA Reserve Fund

After managing hundreds of HOA properties, I strongly recommend requesting documentation of the reserve fund balance and recent spending patterns to avoid surprises. I once had a property where the HOA hadn’t saved enough for maintenance, resulting in a huge special assessment that blindsided all homeowners. Beyond just checking the current monthly fees, make sure to analyze the HOA’s financial health and historical rate of fee increases—I’ve seen some associations raise fees by 20% annually.

Brooks Humphreys, Founder, 614 HomeBuyers

Investigate HOA Power Dynamics and Operations

When buying into an HOA community, most people skim the CC&Rs (Covenants, Conditions & Restrictions), nod at the fees, and assume that’s the end. But the actual game is in the power dynamics. My biggest advice is to investigate how the HOA board operates, not what they say but how they behave. Ask how often they change vendors, how disputes are handled, how responsive they are to homeowners, and who dominates the decision-making. If one or two personalities control everything, your home experience will reflect their whims, not your rights.

Most HOAs are small political machines. Some are transparent and community-focused. Others are unaccountable echo chambers filled with long-time board members who treat common areas like personal fiefdoms. I’ve seen clients blindsided by fines for a wind chime or their door paint being a few shades off from “approved taupe.” Petty power trips, inconsistent enforcement, and selective communication are all signs of dysfunction.

What nobody is watching yet is how AI will affect HOA governance. Communities are already starting to automate enforcement with innovative surveillance tools, predictive maintenance systems, and AI-assisted billing. On paper, this boosts efficiency. But without checks, it becomes dystopian fast. Imagine living under algorithmic enforcement rules where fines are auto-triggered with no appeal. That technology is already available, and HOAs love tools that require less human oversight.

Johnny Austin, Manager, Home Offer Express

Balance HOA Pros and Cons

One thing I wish I had known before buying a home with a homeowners association is that the restrictions, responsibilities, and regulations that I would have to comply with may not only become a mere annoyance but one that may most likely end up affecting my lifestyle, finances, and potentially leave me feeling like an uncomfortable guest in my own home. That said, one piece of advice I would like to give to someone buying a home with a homeowners association is that they count the costs, because the truth is that sometimes it’s not worth it.

From monthly or annual HOA fees to fines for non-compliance with rules and regulations (and chances are that you are always at risk of breaking a rule because there are just too many of them to remember) to special assessments for repairs or upgrades, the fact is that, when you live in an HOA community, you won’t be getting the same freedom that you would have in a non-HOA community.

This is, however, not to say that living in an HOA community only comes with downsides and has nothing positive to offer. No, my point is that the pros need to be carefully weighed against the cons. In fact, when buying a home with an HOA, I would advise that as buyers are considering advantages like property value protection and being able to enjoy the community’s amenities, they also understand the role the community would be playing in their lives, and how these roles would potentially impact their finances, lifestyle, and overall well-being.

By balancing the pros against the cons, it would be easier to stay conscious of the fact that these benefits equally come with some trade-offs. This makes it easier for you to do a personal evaluation that helps you realize whether or not the benefits of living in an HOA are worth all the baggage that comes with it.

Nathan Richardson, Founder, Business owner and leader, CashForHome

Understand HOA Rules and Financial Health

As a real estate investor and homeowner, I’ve dealt with multiple homeowners’ associations (HOAs) across different properties, and I can tell you firsthand—HOAs can be a double-edged sword. Here’s my key piece of advice for anyone considering buying a home within an HOA community: Understand the rules before you buy, because they can significantly impact your lifestyle and investment.

Many HOAs have strict guidelines that dictate what you can and cannot do with your property. I’ve personally encountered communities where homeowners couldn’t change the exterior paint color unless it matched the neighborhood’s palette. Some have restrictions on landscaping, holiday decorations, and even the types of vehicles you can park in your driveway. While these rules help maintain uniformity and curb appeal, they can feel restrictive, especially if you like to personalize your home.

Another critical aspect to consider is the financial health of the HOA. Some HOAs have high monthly dues, and if they’re not managed well, homeowners can face unexpected special assessments—large, lump-sum fees required for repairs or upgrades. I’ve seen cases where homeowners were blindsided by thousands of dollars in additional fees because the HOA didn’t have enough reserves to cover major maintenance.

For real estate investors, rental restrictions are another major factor. Many HOAs have limits on short-term rentals or even cap the number of rental properties allowed in the community. If you’re buying as an investment, always verify if the HOA allows rentals and what restrictions may apply.

At the end of the day, HOAs offer benefits like maintaining property values and keeping the neighborhood looking clean, but they also come with challenges. Doing your due diligence before buying can save you from major headaches down the road.

Rich Kaul, Owner, 702 Cash Buyers

Treat HOA Financial Health Seriously

One key piece of advice I’d give to anyone buying a home within a homeowners’ association (HOA) is to treat the HOA’s financial health as seriously as you would the property itself. Before committing, thoroughly review the HOA’s financial statements, reserve fund levels, and annual budgets. A well-managed HOA should have sufficient reserves for long-term maintenance and be transparent about future assessments. If reserves are underfunded or operating budgets appear strained, you could face unexpected fees or declining property values in the near term.

What I wish I had known earlier is how restrictive some HOA covenants can be—not just in maintaining community aesthetics, but in limiting homeowner autonomy. From restrictions on renovations, renting out your unit, or even parking regulations, HOAs can significantly affect how you use and invest in your property. Always request the HOA’s CC&Rs (Covenants, Conditions, and Restrictions) and read them carefully. Look for clauses on special assessments, dispute resolution processes, and the board’s enforcement policies.

From a financial planning standpoint, I recommend including HOA dues and possible future assessments in your five-year housing budget. Treat it like a second mortgage—predictable but capable of spiking unexpectedly. If the HOA has a history of frequent special assessments or poor communication, it’s a red flag that could impact your financial stability and peace of mind.

Wes Lewins, Chief Financial Officer, Networth

Read HOA Documents Carefully

We used to live in a condo and had large enclosed patios with attached garages on each unit. We received a letter from an attorney saying we’re not allowed to have laundry, personal items, blankets, or anything hanging in the common elements, and they’re taking action against us if it’s not removed in 14 days. We had absolutely no clue since when that was not allowed. And how is our patio a common area? It’s a huge enclosed patio.

What I want others to know is that HOAs often make additional restrictions on top of the municipal restrictions regarding what people can do with their homes. Now, this can be looked at as both a pro and a con depending on what you want to do with your home or how concerned you are about your neighbors doing potentially obnoxious things with theirs.

One piece of advice I would give is to always read the fine print carefully, especially when it comes to property restrictions. Every HOA is different, and when you sign your HOA agreement, you commit to abiding by that community’s rules.

Aqsa Tabassam, Sales & Marketing Manager, FL Home Buyers

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