A POSITIVE place for community association leaders to share ideas and learn

I wanted to post again what HOA talk.com is about. It is about giving a positive place to learn from experienced HOA leaders or members in how to LIVE in/with your HOA. We are not blind, deaf, or dumb that HOA's are not great wonderful places surrounded in a "Happy protective dome". We deal with the reality and limitations of HOA's. Which there are many but educating people on them, helps gives direction/answer in dealing with them.

We are NOT lawyers nor do we represent the legal field. A lawyer is the licensed practioner of the law.

Rules to remember in a HOA:

1. A HOA is ONLY managed by it's members for it's members. The ability to change is in your documents.
2. A HOA is ONLY funded by it's members for it's members. A special assessment or dues increase may be needed to cover a project or request.
3. There are no "THEY" or "THEM" in a HOA. It is "YOU" and "YOUR NEIGHBORS".
4. The HOA lawyer is NOT each individual member's lawyer. The HOA lawyer represents the HOA as a "whole". You need your own lawyer to represent you.
5. Suing your HOA is suing yourself and your neighbors. No matter how you slice it, this is the consequence of your lawsuit. It's up to you to decide if it's worth it.
6 A HOA should avoid filing lawsuits against their members. A HOA is better off countersuing than bringing lawsuit against an owner. There are other options besides lawsuits.
7. A foreclosure is NOT a money making venture for a HOA. It is a STOP the bleeding action.
8. A HOA may not be able to place a lien or foreclose for fines. (Depends on state law) If your HOA does want to use fines, it should have a fining schedule in place for a definition of what fines are issued for.
9. A court can ONLY make you or the HOA "Whole".
10. A HOA does NOT increase or decrease your "Home values". A HOA makes your property more "ATTRACTIVE" to potential buyers. Home values are based on real numbers not perception. A nice looking HOA with good amenities can bring more potential buyers increasing sales not values.
11. A HOA may NOT be able to control rentals. (It depends on your state). The HOA does NOT own the property and can not interfere with the contracts of the owner. It is the owner's responsibility to make sure the renter follow the rules or the owner suffers.
12. New owners are not responsible for the previous owner's debt. (Except in Florida) The HOA can't enforce a lien onto the new owner once it changes hands. The new owners start with a clean slate.

These are the top 12 general rules for a HOA. I am sure the other regulars have others to add. This isn't always pretty and what you may want to hear. It is reality. Which is something we here like to give advice in.

Thanks Tim. I was trying to be brief and to the point. My point was that many people think they can go to the HOA's attorney for advice or information etc... However, that isn't the case. The HOA lawyer represents the HOA as a whole through the HOA board. Since the HOA board is an elected representation of the whole of the HOA, they are the ones who talk to them. The board is elected to handle the daily issues of the HOA on the behalf of the individual owners.

You don't want to talk the HOA attorney unless your making a deal or they requested you talk to them. Remember that is the same lawyer who is going to be on the other side if you sue your HOA... They won't be representing you then...

Well Said

I studied economics too. Things are NOT equal in a HOA versus the entire real estate market. People may indeed pay more for a home with access to a golf course, swimming pool, tennis courts, lawncare, or other benefits. However, that is still ATTRACTIVENESS to a property. That being attractive is NOT a value the bank/mortgage holds. It is location and what prices of nearby homes of similar size sell for including foreclosures that calculates home values.

Remember the bank has to factor in when you purchase a home in a HOA the dues. Dues are not part of your mortgage payments but you are still responsible for paying them like utilities. So you may buy a house for 100K in a HOA and payments be $750 a month and dues $100. Your basically in for $850 a month. However, if you were purchase outside a HOA, then that $850 a month might get you a house in the $150K range but no amenities.

I can decide I don't want to buy a house because of the wallpaper. How can the bank measure that? It can't. So they have to have numbers or what is called "Comps". A HOA may comp higher or it may not. However, a HOA can make sure to keep it attractive to keep buyer's interested.

The matter of property values is a little more complex then that. It also depends on the supply. If you have a glut of houses but too few buyers then the price will drop (as is the case here in Florida). Inversely, if you have a lot of buyers and few properties, the seller could demand a higher cost. Things like amenities may complicate matters further. I would also think that location places a much more important role in determining price then the existence of a HOA. Are there good schools nearby? Places of employment? Entertainment? My neighborhood is in the middle of a desirable area but has no HOA yet property values are on par with some of the surrounding HOA neighborhoods.

Melissa, Kevin, I agreed Frank--all else being equal-- and added "in general."

Of course location, location, location matters. That's part of the "all else." Appraisers take it and many other factors into account and so do lenders. They use comps and so do realtors.

A home (all else being equal) in any attractive neighborhood--HOA or not-- with have more value than the same home (all else being equal) in unattractive neighborhood.

Who appointed you discussion moderator!?!

I'm sorry Tim I just found it laughable that she would take it upon herself to reiterate POSITIVE intent of this forum when she herself presents innumerable and premature NEGATIVE comments.

Hmmmmmmmmm It would appear HOATALK appreciates Melissa's role on this site. Enough to offer their personal thanks for her input.

I think that is the only time I remember that happening......

04/07/2013 2:40 AM Quote Reply
TO: Melissa and all the 'regulars' she mentions

First, a BIG THANK YOU to the many people here lending a helping hand to so many others in need your help and advice!
Lots of you have been here for years and your willingness to share and help is much appreciated.

I'm pinning this post at the top of the forum for a while so new members can get an idea of how to interact here.

Thank You
HOATalk.com

I would like to keep this posting POSITIVE and open to debate/additions. I choose to use the exact quote from HOA talk to convey that we do share ideas and opportunities to learn. It is what this forum and website is about. So yes, I may have "spoken" for this forum when I posted that quote but NOT for all participants on this forum. Their words and opinions speak for themselves. Your words speak for you.

I appreciate HOATalk.com for their continued support for those of us that are "regulars". This is a resource for many to spread education and experience. I've been to other sites who are not as positive and much like a giant dysfunctional board meeting. Here we can offer insight of what works and does not work in a HOA environment.

So let's keep this positive and keep spreading the knowledge. Debate the facts and realities of living in a HOA. We all learn whether we agree or not. There is a bitter pill to swallow in a HOA, just don't down it with the "Kool-Aid"...

I am sure you have contributed a great many good ideas.

That does not mean you should take the liberty of trying speak for the entire forum. I find it offensive. I also find your directives for a "positive" dialogue hypocritical.