There's a consensus that HOA homes gain value at a faster rate compared to similar non-HOA homes. One study established that HOA homes cost about 4% more.
Whichever way you look at it, HOA properties have a clear advantage. Set in a controlled, planned development area, these homes tend to be shielded from some of the elements that can negatively affect property values.
However, HOA home value preservation - and appreciation - aren't guaranteed. A lot rides on the quality of the HOA's leadership and management. If you're part of this team, here's what you can do to maximize the value of the homes in your community.
Maintain Architectural Standards
One of the most attractive things about living in an HOA community is the architectural style of the homes. The properties usually have the same design, right from the roofing to the landscaping.
To maximize HOA home values, architectural standards must be maintained. It's against the HOA's CC&Rs for any homeowner to make any structural changes that will alter the exterior design of the property.
Homeowners who violate this rule must be stopped; otherwise, if everyone is allowed to make changes, the place will soon lose its appeal.
Maintenance of Communal Facilities
HOAs have various amenities that make HOA living even more appealing. These include swimming pools, clubhouses, fitness studios, daycare centers, and parks.
Keeping these facilities well-maintained not only increases their durability but also helps boost property value. But with poor HOA property maintenance, it won't be surprising to see some owners selling their homes at throwaway prices so that they can relocate to better-managed communities. This can cause property values in the community to go down.
Competent HOA Board
An HOA board is responsible for the management of your Orem community. In most cases, boards will outsource the job to a company offering association management in Orem.
However, the competence of the board members is what matters. You've probably heard of corruption and embezzlement cases by HOA boards. If your board has directors who are not keen on acting in the best interest of the community, things can go wrong.
It's important to ensure that only dedicated, responsible, and competent residents are being elected to the board.
Preserve the Community's Exclusivity
HOAs are exclusive communities. This high sense of exclusivity makes these communities attractive to buyers, increasing the demand, and consequently the value of the properties.
This exclusivity can be eroded if management isn't keen on preserving it. If there are no rental restrictions, for instance, the community can feel like it's open to all.
Start Maximizing HOA Home Value
Maximizing HOA home value is an issue that's close to the hearts and wallets of all property owners in the community. They do their part, but most importantly, they look up to the HOA board and the management to do the heavy lifting.
HOA management services are central to the success of an HOA community. PMI Reliant is your go-to provider of Orem association management services. We're part of a global property franchise network with over two decades of experience, but our office is locally owned and independently operated.
Schedule a consultation to learn how we can improve your HOA.
