7 days ago
Thinking about buying in a community with an HOA? Find out about homeowners associations
Homeowners associations are part of the lives of more Delawareans nowadays, especially in southern Delaware, where planned communities have sprung up by the dozens in recent years.
Some of them get a bad name, Greenville attorney Robert Valihura said.
"Those are the ones not being advised by a lawyer. I wouldn't stand for HOAs that are overbearing or condescending to homeowners," he said. "My clients are treating their homeowners with respect."
If you're thinking about buying in a community with a homeowners association, Valihura's is advice you should take.
He's a partner at Morton, Valihura & Zerbato, the motto of which is: "If it's housing, we can handle it." He's also a former member of the Delaware House of Representatives, where he was chair of the Housing and Community Affairs Committee.
Homeowners associations are "the most basic form of government in Delaware," Valihura said, and it's important to understand that government before purchasing a home in a community with a homeowners association.
What is a homeowners association?
A homeowners association falls under the broader definition of a community association (also known as a common interest community), according to the Community Associations Institute guide "An Introduction to Community Association Living."
Community associations are "a communal basis for preserving, maintaining and enhancing homes and property," the guide says. They have three defining characteristics:
Membership is required and automatic for all home- or unit-owners.
Agreements bind all home- or unit-owners to be governed by the community association and to certain obligations.
Each home- or unit-owner pays fees that are used to operate and maintain the community.
"It's a contractual obligation. Money has to come in and you can't fight that, it's like taxes," Valihura said.
Most community associations are formed for either planned communities or condominiums, the guide says. Each association is managed by a volunteer board, the authority of which is defined by governing documents. Board members are elected by the home- or unit-owners, hold regular meetings that community members can attend and are typically led by a president, vice president, secretary and treasurer, the guide says.
What are governing documents and why are they important?
When you purchase a home or unit in a community association, you are agreeing to follow the community's preestablished guidelines, according to the guide. They're detailed in governing documents.
Reviewing governing documents are the best way to learn about a specific homeowners association. Those documents can be called declarations, master deeds, or declarations of covenants, conditions and restrictions, the guide says, and an HOA may have other documents that detail guidelines, such as bylaws, articles of incorporation and resolutions.
If you purchase a home in a community with an HOA, governing documents are typically provided prior to settlement and most are available online on a community's website. If not, you may be able to view them on your county's recorder of deeds website.
Delaware real estate: How homebuyers can research HOA deed restrictions and bylaws before they buy
"If I had a message to everybody, it would be to read your documents and behave accordingly," Valihura said. "If you don't like it, run for the board."
For people considering a home in a community with a homeowners association, the guide advises carefully considering the rules before purchase.
"Most rules are merely expressions of unit owners being courteous and considerate of their neighbors, and respectful of their rights and investment in the community," the guide says. "For a purchaser, the rules establish the standards of lifestyle of that particular community. He or she should look elsewhere if this is not the standard that he or she wants and is willing to support, maintain and enhance as an owner-member."
Shannon Marvel McNaught reports on southern Delaware and beyond. Reach her at smcnaught@ or on Facebook.
This article originally appeared on Delaware News Journal: What is a homeowners association? What to know in Delaware
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