Homeowner associations oversee various aspects of the community and require each homeowner to pay dues. HOA dues cover services that benefit the property’s common areas as well as owners’ interests. Owners in HOAs pay dues in addition to the property taxes and homeowner’s insurance for your own property.
Your HOA dues will pay for common services such as trash and recycling removal, landscaping, pest control and maintenance of certain common areas (learn more in our post on why HOAs exist). It typically also covers insurance over those common areas and assets. Building exteriors, roof leaks, pools, clubhouses are examples of assets that may be insured and maintained by the HOA.
If HOA dues are not sufficient to maintain reserves for major repairs, such as roof replacement, owners may face a special assessment (aka special levy). These special assessments are also in addition to regular HOA dues. As they say, nothing in life is certain but HOA dues and property taxes. Or something like that.
Want to learn more about your HOA? Run a free Eli Report!