When you purchase a single-family home in a subdivision in Phoenix, it is likely that that property will fall under the jurisdiction of a homeowner’s association (HOA). An HOA is an organization that makes and enforces rules it makes for the properties and residents of the subdivision. The following is a brief overview of HOAs.
Who are the members of an HOA?
The members of an HOA are generally residents of the subdivision. Residents will pay HOA fees. Membership may be mandatory in some circumstances.
How are HOAs run?
Most HOAs have a board of directors or governors that are elected to enforce and oversee the rules and regulations of the community. These rules will be described in a “Declaration of Covenants, Conditions, and Restrictions.” CC&Rs set the requirements for maintenance of properties in the subdivision, such as the type of fence or the color of the house. There may be penalties for violating a CC&R, such as fees or even litigation.
What are the advantages and disadvantages of an HOA?
The aim of many HOA rules and regulations are to preserve and enhance home values by making sure properties are in good repair and attractive. This ensures the subdivision in the HOA’s zone has a uniform appearance. HOAs may also use fees to pay for amenities such as swimming pools and parks in the subdivision for the homeowners’ use. Sometimes HOA fees are used to pay for services such as trash collection. However, some people may balk at the authority of an HOA, believing it undermines their right to self-governance and democracy.
Learn more about property rights
HOAs have their plusses and minuses, but it is likely that if you buy property in a subdivision in Phoenix, your property will be governed by an HOA. This post is for informational purposes only and does not contain legal advice. Those who want to learn more about property rights in Arizona can visit our firm’s website for further information.