HOA’s and CC and R’s

What the heck are these? I’ve had this question asked many times.
HOA is short for “Homeowners Associations”. HOA’s can be a boon and a pain in the neck at the same time. Many newer subdivisions, townhomes, condominiums etc., have active HOA’s. The association is usually a group of homeowners that constitute a board. Board members are voted for on a regular basis. The HOA will be in charge of making sure the CC and R’s are followed, dues are paid, and the common areas maintained. They help to make sure there are sufficient funds in the reserve fund for the development. They will often meet to discuss new changes that may seem appropriate to the development in terms of changes in bylaws, amendments to CC and R’s etc.
When you are purchasing a new place be sure to find out if there is an active HOA. If there is, ask the President what the current HOA dues are, what do they cover, if there any foreseen increases, what are the reserve funds, what kinds of upcoming maintenance expenses are expected.
If you get the chance to sit in on a meeting before your purchase, that can be a great opportunity to see how things are managed. If not, then ask for copies of the minutes for at least the last three meetings back. Ask for a copy of the budget and financials.
Some of the developments in Springdale hire a property management firm to handle the HOA. This has many benefits for the residents.

CC and R’s are short for “Covenants, Code’s and Restrictions”.
Again they can be a boon or a pain. I’ve taken people out to shop who complain about neighborhoods with CC and R’s and HOA’s because the board can sometimes make your life miserable over the smallest issues.
However, if you go into a neighborhood with no CC and R’s you can potentially have your neighbors bring down the value of your place by how unsightly their place is right next door.
Covenants, Codes and Restrictions will outline pretty well the things you can and cannot do on your property, with your home and sometimes inside your home. They can be great if you want to see your neighbors maintain their property so that your property value is stable.

The trick of living in a democracy. One person’s freedoms can impinge on anothers. How do we determine the line between my freedom and yours? This is an interesting topic that we are discussing in my son’s history class. Always a challenge!