What your other options are
HOAs usually have rules governing property maintenance. For example, many HOAs require property owners to keep their lawns tidy, remove clutter, and store RVs and boats elsewhere.
As a result, properties without HOAs may have less curb appeal or messier neighbors. So whether you're buying a home for yourself or as an investment, there is a chance you prefer the polish of HOA-governed communities. This is an area where the fees are indirectly providing value, which should be a factor in your buying decision.
Managing your HOA fees
The big rule with respect to HOA fees is not to overlook them when you're buying a home. As part of closing escrow, you must certify that you'll abide by the HOA's rules -- and that includes paying the fees. Typically, if you are delinquent on the fees, the HOA can put a lien on your property.
First, find out what fees would apply to you. Don't rely on estimates from real estate websites. Instead, get an exact number from your agent. HOA fees often have a tiered structure, with higher or lower assessments depending on the property size or level of improvement.
Next, read the HOA's CC&Rs and bylaws to find out if the association can charge special assessments. Special assessments can be a budgeting nightmare because they're often sizable and unpredictable. You'll also want to know if the association has charged special assessments previously and, if so, why.
Lastly, know that you can get involved in your HOA's budgeting process. Once you move in, lobby to join the board. That gives you insight and a voice into the management of your association.
