If you’ve ever wondered about the value of your homeowner association, studies on the impact of HOAs show that they have a positive impact on the value of your property – even if you never use any of the amenities offered in your community.
Certainly, the first thing people think about with HOAs are the amenities they offer residents.
Here at Continental Country Club, those obvious “value-added” elements include our golf course, tennis and pickleball courts, clubhouse, fitness facilities and much more.
But what if you don’t use these amenities on a regular basis. Is your HOA worth it for you?
The answer is yes. Homeowners associations are successful because they help homeowners maintain and improve their property values.
A 2019 study by Wyatt Clarke and Matthew Freedman found that homes in HOAs sold for an average of 4% more than similar homes outside of HOAs for an average of $13,500 more at the time of the study.
The reasons are pretty obvious: Having well-kept common areas as well as rules on home appearance and upkeep means that property values will be more consistent. There’s no risk of a bad house on the block negatively affecting the rest of the neighborhood’s property value; in fact, this is one of the main reasons that HOAs were established.
HOAs also provide residents with a way of settling disputes or problems between neighbors. If you’ve ever had an issue with a neighbor over a barking dog or loud parties, you’ll understand why this is so important. Your HOA can not only address these issues, but having an official mediating party often discourages the problems in the first place.
These are just a few examples of why the HOA model works – that the rules and regulations, as well as efforts to build connections between neighbors through community amenities and events, are effective and valuable.
Which is why a majority (62%) of community association residents in a study conducted by Zogby Analytics recognize their association’s rules protect and enhance their property values.
Eighty-four percent of those surveyed in that study also felt that their neighbors elected to the governing boards of their HOAs “absolutely” or “for the most part” serve the best interests of their communities.