When searching for a home to purchase, you will likely discover at least a few communities that require you to pay a Homeowners Association (HOA) fee. Since you will already have other expenses like mortgage and insurance to be concerned about, it’s important to determine if paying an HOA is right for you. The insurance experts at Tri-Star Insurance San Diego have some suggestions for what to look for in an HOA.
What Is Covered
It is important to know exactly what you are paying for with your monthly HOA fee. Some features are more obvious, like a pool or clubhouse in the neighborhood. However, other amenities may not be as apparent. Most HOAs have a fund to cover structural maintenance, which can include fixing or replacing roofing and siding. Many HOAs cover landscaping and pest removal services as well.
Many bylaws for HOAs include restrictions that surround your home. These can range from the number of flowerpots allowed on your deck or patio to the number of pets you can keep in your house. Other restrictions can apply to parking or contracted work for home improvements. It is important to know what you can and cannot do within your community to avoid penalties.
The Structure of the HOA’s Board
Be sure to know the governing structure of your HOA. Know how many people are on the board and the primary functions of their roles. Find out how people are elected and how long someone can serve on the board. You are not going to agree with every decision made by the HOA, so it is imperative to know exactly who is making the decisions and what power you have to change the people in charge.
If There Are Discounts on Homeowners Insurance
Many HOAs offer security around the common grounds or even a gated entrance. Because of the increased surveillance in the area, homeowners insurance companies might view your potential home as being a lower risk to insure, which can lead to discounts. Check with your San Diego homeowners insurance provider to see if you qualify.
Whether you move into a condominium or a single-family home with no HOA, make sure you have the right insurance to meet your needs as a homeowner. At American Tri-Star, we not only offer affordable home insurance, but also commercial, health, bond, and cheap auto insurance in San Diego. Call 619-272-2100 today and one of our friendly representatives would be happy to provide a free quote.