15 Questions To Ask Before Moving Somewhere With An HOA

Deciding whether or not to move into a property within an HAO is often a tricky choice. There are many pros and cons to an HOA. On one hand, it is usually well-maintained, safe, and has extra amenities. It can also have lots of rules, and can even be rather expensive in some areas. Before you agree to buy or rent in an HOA, there are several questions you should ask first.

When deciding whether or not to live somewhere with an HOA, ask what the current fees are and the last time they were raised. Ask about any unique rules specific to the HOA, and inquire about pet policies if you have a pet or intend on owning one. Inquire about how much money is in the reserve fund, and discover what happens when you miss a payment or violate a rule.

HOAs can be complicated and tricky. If you don’t understand your HOA perfectly, there’s a chance you may overlook something important. Before you sign on the dotted line, make sure you ask all the questions below. Once you have the answers, you’ll know whether or not the HOA is right for you.

Important Questions To Ask Before Moving Into An HOA

1. What Are The Current HOA Fees?

When considering whether or not to move somewhere with an HOA, one of the first things you want to know is the current HOA fee. An HOA fee is a monthly charge that goes directly to the association, helps pay for the facilities within the HOA, and assists with repairs and renovations.

Understanding the current HOA fee gives you an idea of how much extra you will pay each month to be a member of this association. Remember that this fee can increase multiple times in one year, but more on that later.

2. What Is Included In The HOA Fee?

Once you know how much you need to pay each month, the next question to ask is what it includes. If you need to pay a fee each month, then it’s understandable you want something in return for the money you fork over.

If you have a high HOA fee but very few perks, this may be a red flag. If, however, you have many amenities, like a pool, gym, 24-hour security, and other great benefits, then this fee may seem nominal.

3. How Is The Board Elected, And How Often Does It Change?

Like most organizations, HOAs have leadership. They often meet monthly and discuss all sorts of topics, from bylaws to wish lists. The board can make some pretty major changes, including deciding on renovation projects, and whether or not to increase the monthly HOA fee. 

You’ll want to get a pulse of what the current board is like, and how often you vote to install new board members.

4. Is Joining The HOA Mandatory?

Most HOAs are mandatory, but not all. Therefore, you should always ask if the HOA and its corresponding fee are mandatory. If you are renting, this fee is often covered in your rent, but that’s something you should confirm before signing a lease.

5. Are There Any Unique Or Abnormal Rules In The HOA?

Many HOAs have similar rules. Typically the goal is to create a safe, clean, and uniform neighborhood that’s enjoyable to look at. There are, however, almost always one or two rules that can seem a bit strange or intrusive when living in an HOA.

Ask to see a full list of the rules, and if you know anyone living in the HOA you’re considering moving into, pry for more information. Find out if there are any strange or annoying rules you should know about, as this may sway your decision.

6. How Much Has The HOA Fee Gone Up In The Last 10 Years?

HOA fees almost always go up. The question is how often, and by how much. If you live somewhere that hasn’t had much work put into it, and the HOA fees have not been raised in 5 to 10 years, then this could be a red flag.

The longer fees stay the same and major projects are neglected, the more likely a huge increase in your monthly HOA is right around the corner.

7. Are There Major Renovations Planned In The Coming Years?

Find out if there are any renovations in the works, or planned for the future. Have an inspector inform you whether or not you should expect to have to pay for new construction or major improvements to stay up to code.

Major renovations could mean a flat fee, or could also mean a hike in the HOA fee. 

8. Is There A Reserve Fund?

Ideally, every HOA should have a reserve fund with ample funds for emergencies. Unfortunately, not all HOAs have reserve funds, and some have reserve funds with almost no money in them. 

If your HOA has no money in reserves, this means you are one major unplanned repair away from a sharp increase in your HOA fee.

9. What Happens If You Miss A Payment?

Just as you likely go over your mortgage and bank account policies in detail before agreeing to the terms, you should do the same with your HOA. Find out what happens if you miss a payment, or if a payment is late. Penalties can range anywhere from a verbal warning to a hefty fine.

10. When Was The Last Assessment Done?

Just because there are no planned renovations, doesn’t mean there won’t be any. If your building or neighborhood hasn’t had an assessment in a decade or longer, there’s a good chance a problem is lurking under the radar. Before you agree to move to an HOA, ensure there has been a recent assessment, and everything looks good.

11. How Are HOA Fees Collected?

If you’re someone who is all about paperless billing and hates writing checks, then this next question is crucial. You should ask how HOA fees are collected. This might seem like a small issue, but if you travel often and need to deliver funds in person or by mail, this could get annoying. 

12. What Are The Penalties For An HOA Violation?

With so many rules, it’s certainly possible to annoy your HOA and commit violations fairly frequently. If you’re worried you’ll be less than perfect, then you should find out the consequences of violating the HOA. Sometimes it’s a slap on the wrist, sometimes it’s a big fine.

13. Is There A Cap On How Much An HOA Can Be Raised?

While no law dictates how much an HOA can raise its fees, there are often rules in the bylaws that dictate how much an HOA can be raised, and how often. Check and ensure your HOA has these safeguards. Otherwise, you may be faced with a much larger monthly bill than you budgeted for.

14. Is Renting Allowed?

If you are buying a home, it’s always good to know whether or not you can rent out the house, or even one of the bedrooms. While this is allowed in many HOAs, it isn’t allowed in all. If you think there is even a chance that you may want to rent out your home, you’ll want to ensure your HOA allows for this.

15. Does The HOA Have Rules For Pets?

Lastly, one policy to look into that applies to many HOAs, especially in large apartment buildings, is the pet policy. Some HOAs don’t allow any pets, some allow certain animals, and not others, and some even outlaw specific breeds of dogs. 

If owning a pet is important to you, then you’ll want to ensure there are no rules forbidding pets in your HOA. 

Final Notes On What To Ask Before Moving Into An HOA

An HOA can be both a blessing and a curse. To know which one is for you, there are some important questions you must ask before moving into an HOA. Find out the current HOA fees, when the last time the fees were raised, and if there is a reserve fund. Ask about renting your property and whether or not pets are allowed. Before you agree to pay into an HOA, ask if it is mandatory, and find out what exactly you get for the monthly fee.

Related Guides:

• Can The HOA Come To My Property?
• 20 Guaranteed Ways to (Legally) Annoy Your HOA
• How Long Does It Take for HOA To Foreclose?