Top 4 Most Common Misconceptions About HOA Fees
Establishing passive income is an amazing way to grow your net worth and open up new opportunities. In some cases, it can help you retire early. One such example is owning a rental property.
However, your responsibilities as a rental property owner don't end with maintenance and property taxes.
There's a chance you'll need to handle HOA fees if you live in an HOA community in Tacoma, Washington. Complications sometimes arise due to misunderstandings over HOA living. Let's dispel some of the most common misconceptions about HOA fees so you can avoid issues in the future.
1. The HOA Only Exists to Make Money
This is something many residents believe despite how false it is. Homeowners association fees have a much greater purpose than simply making money. The funds they collect are directly invested in the community.
For example, they can be used to maintain swimming pools, organize trash pickup, and enforce community standards. In general, you'll receive a detailed breakdown of where your money goes after you make your HOA payment. If you don't, you can contact your association for more insight.
2. High HOA Fees Are Predatory
The more you pay, the nicer your community will be on average. It costs a lot of money to maintain public amenities. High fees also help the association budget for emergency costs and large-scale renovations.
Living in a community with high fees might seem enticing, but you shouldn't step outside of your budget. The last thing you want is for fees to increase and price you out of your home.
3. Board Members Don't Do Anything
HOA board members are elected volunteers. Members of the community choose the board members to represent the unified interests of the people who live there. If they don't do a good enough job in their role, the community could elect someone else in their place.
Board members have many key responsibilities, such as organizing changes that need to occur. The details of a board member's role will vary depending on the community they live in. Keep this in mind when moving forward so you can vote accordingly.
4. HOA Rules Can't Be Amended
Some HOA rules are outdated. They might no longer serve their original purpose, or they might be notoriously inconvenient. It's important to remember that HOA rules can be amended.
Some people forget this detail, leaving them to assume they're stuck with whatever regulations are in place when they move in. Board members have the power to review and change HOA standards. This is one of the many reasons it's so important to elect the right board member for the community's needs.
Understand Your HOA Fees
The better you understand HOA fees, the easier it will be for you to accommodate them. From here, you can fully enjoy living in your community in Tacoma, Washington, and minimize issues you encounter.
PMI Cascade aims to make the lives of property owners as simple as possible. We offer a comprehensive property management service and maintain full transparency throughout the process. You can learn more about what we offer when you schedule a consultation today.
