What to Ask About HOA Fees Before Buying a Home or Condo in Massachusetts

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Questions to Ask Before Buying a Massachusetts Condo or Home With HOA Fees

Author Bill Gassett owns Maximum Real Estate Exposure.

Buying a home is a significant investment, and it's essential to consider all the costs associated with homeownership. Homeowners Association (HOA) fees are one such cost you must thoroughly understand before making a purchase decision.

HOA fees can vary widely and cover various services and amenities, making it crucial to ask the right questions to make an informed choice.

From experience working as a Massachusetts Realtor over the years, a common question is whether HOA fees can be deducted from your taxes. Most of the time, HOA fees are not tax deductible unless it's a rental property. It is an excellent question when you have never owned a condo or home with an HOA.

It is essential to note that condo fees are also not deductible.

We'll explore some of the other top questions to ask about HOA fees before buying a home.

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Questions About HOA Fees MassachusettsPhoto byDeposit Photos

What Are the HOA Fees, and What Do They Cover?

The first question you should ask is about the HOA fees themselves. Understand the monthly or annual cost and the services or amenities included in these fees.

Standard inclusions are landscaping maintenance, trash removal, snow removal, and access to community amenities like pools, gyms, or clubhouses.

You should know where your money is going before committing to a purchase. If you are trying to compare buying a condo vs. a single-family home, it can be even more essential to have a cost comparison.

How Often Do HOA Fees Increase, and by How Much?

HOA fees and what they cover are not set in stone. They can change over time. Ask about the history of fee increases to understand what to expect.

Are there any regulations limiting the percentage by which fees can be increased annually? This information will help you budget for future increases.

Are There Any Special Assessments?

Special assessments are one-time charges levied by the HOA to cover unexpected Homeowners association fees or significant repairs. Find out if there have been any recent special assessments and if there are plans for any shortly. Understanding this can prevent unpleasant financial surprises.

What Is the Financial Health of the HOA?

The financial stability of the HOA is crucial. Ask for financial documents such as the budget, balance sheet, and reserve fund.

A well-funded HOA reserve fund indicates that the homeowners association can cover significant expenses without raising fees or imposing special assessments.

Are There Any Restrictions or Rules?

HOAs often have rules and regulations that govern various aspects of homeownership. Ask for a copy of the HOA's governing documents, including the Covenants, Conditions, and Restrictions (CC&Rs). Review these documents to understand any restrictions on property use, architectural guidelines, and pet policies, among others.

How Is the HOA Managed?

Learn about the management structure of the HOA. Are they self-managed, or do they hire a professional management company? Understanding how efficiently the HOA is run can provide insights into your expected quality of services.

From experience as a Realtor for the past three decades, you can get some excellent insights by asking folks who already live in the neighborhood.

Reach out to them and ask how they feel the association is run. You are likely to get candid opinions.

What Is the Enforcement Process for Violations?

Knowing how violations are handled is essential if you or your neighbors fail to comply with HOA rules. Ask about the enforcement process, fines, and any opportunities for dispute resolution.

When you break the rules, you will pay an HOA fine in most communities. The amount of the fines can increase for repeat offenders.

Are There Any Pending Legal Issues?

Inquire about any ongoing or pending legal issues involving the HOA, as these could have financial implications for homeowners.

If you find any lawsuits, speaking with a real estate attorney to get a handle on whether they should be considered serious will make sense.

Can I Attend HOA Meetings?

Being active in the HOA can help you stay informed and influence decision-making. Ask if homeowners can attend HOA meetings and if there's an open forum for tice their concerns.

What Is the Overall Satisfaction of Current Homeowners?

Lastly, consider speaking with current residents to gauge their satisfaction with the HOA. This can provide valuable insights into the community's day-to-day experience.

What Are the Reserve Funds for?

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What Are The Reserve funds used For.Photo byJp ValeryonUnsplash

Reserve funds are set aside for major repairs and capital improvements, such as roof replacements, repaving roads, or upgrading common areas.

Ask about the purpose of the reserve funds and whether they are adequately funded. An underfunded reserve fund could lead to unexpected special assessments in the future.

Can I Review Meeting Minutes and Financial Statements?

Request access to past meeting minutes and financial statements of the HOA. These documents can provide valuable insights into the association's decision-making process, ongoing projects, and financial transparency.

Reviewing this information can help you understand how the HOA operates. Looking at minutes can also provide insights into whether there are upcoming projects or additional fees.

Are There Any Restrictions on Renting Out My Property?

If you're considering renting out your property in the future, it's essential to know if the HOA has any rental restrictions or requirements. It is vital to ask if you could be transferred but don't want to sell.

Some HOAs limit the number of rental units, impose rental caps, or require approval from renters. Understanding these restrictions can impact your long-term plans for the property.

Final Thoughts

Buying into an HOA has its pros and cons. Getting the answers you want will be the key to happiness in this arrangement.

Before buying a home with HOA fees, asking these questions is essential to make an informed decision. Understanding the HOA's fees, rules, and financial health can help you avoid unexpected expenses and ensure a positive living experience in your new community.

Remember that HOA fees can significantly impact your budget, so take the time to research and ask questions to ensure they align with your homeownership goals.

Did you enjoy this advice on questions about HOA fees in Massachusetts? See other real estate articles on NewsBreak for more timely tips and advice. Bill Gassett frequently writes about general real estate, mortgages, finance, moving, and home improvement.

Bill has been selling real estate for thirty-seven years and has been one of the top Realtors in New England over the last two decades. He has a bachelor's degree in business and marketing from Northeastern University. Reach out to him for your real estate needs in the Metrowest area.


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Bill Gassett is an authority on numerous real estate topics, including finance, mortgages, moving, home improvement, and general real estate. His work has been featured in numerous prestigious real estate publications.

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