Help, our HOA is Monitoring Our Every Move!?!

Dave

In 2017 we moved into a very nice neighborhood, as I was transferred from Wyoming.  After moving in, we found that the homeowners association was operating and “very active” in the neighborhood.  They are monitoring every move we make and I received a terse letter pointing out a couple of violations that if not addressed within three weeks would result in a daily fine.  We were aware that there was a homeowners association when we purchased the home but were not aware that they would monitor our every move.  We never received a copy of the Covenants prior to our purchase, however, the homeowners association provided a copy after we moved in. We are not happy with all the restrictions in the neighborhood and are feeling very frustrated as this is not, at all, similar to our old neighborhood in Wyoming.  Any advice would be helpful.

Thanks,

Mark & Monica

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Mark & Monica,

Unfortunately, this sounds all too familiar, especially for people who are moving from a more rural area or an area that does not have an abundance of homeowners associations.   An HOA is designed by the developer to ensure the long term value and “appeal” of the neighborhood.  In order to maintain a consistent product, there have to be rules in place that guide builders of how to build, which is typically done in the architectural controls of a neighborhood and the covenants spell out what is and is not allowed within the neighborhood after the home is built and the new owners have moved in.  The covenants are there to protect your value and ensure the “look” of your neighborhood and generally are considered a good thing.  As with all things, people can take things too far and this is generally where the trouble begins. 

There is no doubt you should have received copies of all the covenants, architectural controls, minutes of the HOA meetings for the past year, annual budget, income and balance sheets for the HOA during the contract phase of your purchase.  These disclosures are a part of Colorado's real estate contracts.  During the contract phase, you should have also been instructed to read them and at The Kimbrough Team, we always get written acceptance of such documents.   You might look through your records, if you have not already done so, and make sure you did not receive them.  The covenants and architectural control are typically included with the Title Work you get from the title company during your transaction.

At this juncture, I do not believe you have many options other than to comply.  It is common that fines are levied if problems are not resolved in a timely fashion, as it would prove difficult to get compliance without some amount of monetary fine.  If you moved from a neighborhood without or limited covenant restrictions then I can see where you could be suffering from “culture shock” and unhappy with your current situation.  Remember, if the covenants were not in place it would open the door to a free for all and could potentially allow, trash, old debris to remain on the property and drive the values and the curb appeal of your neighborhood down. 

I would recommend trying to find some middle ground with the HOA and work it out.  A common theme with this column is communication. Communicate, respectfully, with the HOA and I bet you will find they are open to working with you.  Most HOA’s are there to preserve the value, not with the intent to make your life difficult.  Best of luck!

Dave Kimbrough

The Kimbrough Team

What do Home Owners Associations typically manage?

Dear Dave,

We are downsizing and looking into different housing options that will require less maintenance. Most of the places we have looked at are part of an HOA or Home Owner’s Association.

What are typical things that you see a HOA managing? A couple of them seem pretty strict and we’re not sure what is normal and what might be a little over the top. We do not currently live in an HOA and are not sure if it is something we will like being a part of or not. We would really appreciate some feedback on this as we embark on this new phase of life. 

Thank you!

Bob and Ellen - Grand Junction, CO

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Bob and Ellen,

As with everything, being part of a home owners association can be a great or it can end up being a painful experience. It is kind of like a big party, how enjoyable it is, depends on who shows up. In the case of a home owners association, you can't choose who is invited! One thing is for sure, if you are not used to being a part of a home owners association you will likely have some adjusting to do! If you purchase a home that was built in a neighborhood in the past 30 years it is unlikely you can avoid an HOA for the most part and all things considered it is a good thing. 

In the development process most all subdivisions are done with a set of covenants that basically spell out how the subdivision is set up and the rules by which it will be maintained and governed moving into the future. In these covenants it also describes and instructs how to set up the different committees that will help enforce the rules and regulations of the subdivision and all who reside there. This means that the HOA is only as good and cooperative as your soon to be neighbors make it. The design and intent of the covenants and HOA is to maintain the subdivisions integrity and property values over the long haul.

“If you are looking in a single family home subdivision then, more often than not, the Home Owners Association is in charge of maintaining subdivision open and common space and to ensure that it is properly maintained. ”

If you are looking in a single family home subdivision then, more often than not, the Home Owners Association is in charge of maintaining subdivision open and common space and to ensure that it is properly maintained. They can also be in charge of the subdivision irrigation system, architectural control to ensure that any exterior improvements are in line with the subdivision covenants and general neighborhood rules. Examples might be that they enforce that RV parking be behind a 6 foot privacy fence or that the yards are maintained and mowed, or that no cars are left on the street for a long period of time. They will also ensure that any improvements made to the property fall within subdivision guidelines and are in turn complementary to the neighborhood and the other homes, thus protecting the neighborhoods consistency and value.   

If you choose to live in a condominium or town home project then the HOA may also be responsible for water, sewer, trash and not only yard and common ground maintenance, but also exterior building maintenance and repair. This kind of HOA is much more involved and typically much more expensive, since they cover more monthly expenses and continued maintenance. Often times these HOAs have an on-site manager or a management company than handles the operation as it is much more extensive and time consuming.   

As you are probably finding, most newer neighborhoods built in the past 25-35 years have a home owners associations that was set up when the subdivision was first developed. If you are the type that likes to do things without checking with others to gain approval, then an HOA may not be for you. If however you read through the subdivision covenants and find the rules and regulations to be acceptable, then you are likely to adjust easily. Just make sure to read through them and make sure you find them acceptable. 

My bet is you will like and enjoy what the HOA provides and the easiest way to ensure it works well for you and others is to get involved!

Dave Kimbrough
The Kimbrough Team

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