Homeowner’s Associations are becoming more and more common in the State of Arizona. There are numerous advantages to purchasing in an association, but it is extremely important that home buyers properly review the documents of the association that they are buying in, to make sure that the home fits their current and future needs.
Homeowner’s purchase homes on a daily basis in Arizona in associations in which they have no idea what the rules are. All associations have a set of CC&R’s (Covenants, Conditions, and Restrictions) that govern their property. These rules are tied to the deed and follow with the transfer of title. Opting out of an association is not an option. There are several restrictions common in associations that become an issue to new home buyers if they don’t read their documents. You will need to check your specific documents for your personal restrictions. Please also be aware that owners may be fined by their association if they don’t follow the rules.
RV’s, Boats, etc. - Many associations do not allow RV’s, boats, etc. to be parked where visible. This includes behind “RV gates”. Just because the house is listed with an RV gate does not mean that you can park an RV behind it. Make sure that you read your associations CC&R’s prior to purchasing.
Garbage Cans - Most associations require that garbage cans be stored where not visible. Make sure that you will have room in the back yard or garage or have an approved enclosed area for them.
Parking - Parking is a major problem in many associations. Some associations even require that garages only be used for parking. Make sure that you don’t buy in an association that does not permit on street parking if you have 5 vehicles in your family and the home only has a 2 car garage and 2 car driveway. We have even seen associations that do not allow vehicles to be parked anywhere but inside the garage. What will you do with the extra vehicles? Do you have room for the vehicles now, but have children that will be driving in 2-3 years. This may not be the home for you!
Reserve Studies and Financial Situations - Make sure that you review a copy of the financial statements and reserve studies for your association prior to purchasing your new house. If you association is not properly funded, you may get stuck with a special assessment and have to pay a large chunk of money at one time for the maintenance of a common area asset. The financial situation of an association is very important.
General Association Rules – If you move into an association, it will be important for you to properly maintain your home and property. Landscape will have to be upkept, vehicles will have to be properly licensed and operable with no oil leaks etc, home will have to properly painted, gates will have to be maintained and any change that you wish to make to your home may have to be submitted to the association for review and approval prior to making the change.
Although associations sometimes become an annoyance, they are a definite benefit for the community. They help make sure that properties are properly maintained and most of all help keep the values in the community as high as possible. If you would like more information on Homeowners Associations, State Laws, Legislature, etc. you may also check out the web site to the Community Association Institute. Please check it out at www.CAIonline.org.
