Association-maintained homes: Right-sizing your lifestyle

SPECIAL ADVERTISING SECTION


Photo By Charles Cudd Signature Homes

 
We’ve all heard of the homeowners’ association or the condo board. Organized homeowner governance of a development has long been a part of the residential landscape. But associations have perhaps never been quite as ubiquitous in the Twin Cities as they are today, owing to the diversification and sophistication of the communities available to home buyers. Living in a neighborhood or condominium governed by an association has many advantages. Before you buy, it’s important to understand what your association covers, so you know what value it offers you as a stakeholder.

Association-maintained living. These kinds of homes appeal to people across all demographics, but are often especially popular with young professionals and empty nesters who don’t want the hassle of yard work. “You don’t have to go out and mow the lawn, pick weeds out of the garden, shovel the sidewalk…it’s maintenance-free living, and that’s the big benefit,” says Scott Schmitt, president of Clearwater Development, developer of Island Harbor on the Lake Condominiums. Association-maintained communities hire a contractor to take care of lawns, trees, landscaping, and snow removal. Garbage service may be included also. “It’s the discretion of the homeowners’ association to hire whatever level of services they want,” Schmitt says. “The costs of maintaining your home are shared by a bunch of people.”

Typically, the association is responsible for exterior structural maintenance and repairs, too—including painting and replacing siding and roofs. Recurring assessments, often referred to as “dues,” cover the maintenance, repairs, and the cost of structural insurance. “In essence, the homeowner’s insurance is significantly reduced if they are moving from a single family home to an association-maintained townhome,” says Tom Griffith, community sales manager for Charles Cudd Co., Signature Homes division.

Associations and common elements. Associations are not limited to multi-family housing situations, however. Even single-family neighborhoods may have a homeowners’ association when the neighborhood as a whole is responsible for the upkeep of its common elements—anything shared by the neighborhood’s residents. It could be a simple entrance monument; a park; lakeshore docks; a swimming pool; a condominium’s exercise room; or a neighborhood community center. In multi-family situations, an association is responsible for maintenance and upkeep of both these common elements and home exteriors. In a single-family neighborhood, the association tends to the common elements only. In some master planned communities, more than one association may exist depending on the mix of housing types.

Contrast services, but avoid comparing dues. Though they all operate in the same basic manner, no two associations are identical. Just as neighborhoods vary widely in housing type and amenities, each community’s association is unique. Consequently, each charges a different amount for its dues, and some even have multiple fee levels (at a lakeside development, some homeowners may elect to pay extra for a boat slip, for example). Before you purchase a home, it’s important to know what you are getting for your dollar. Dues may be lower in one neighborhood, but it probably does not offer the amenities or services of another.

That’s why it is important to review the association’s documents and balance sheet to see how much money it has in its budget for ongoing maintenance and upcoming repairs. “You’ve got to look carefully at the specifics of what the association covers, what the budgets are, and what’s budgeted for future reserves,” Griffith says.

Developers are required by law to provide buyers a copy of the association documents, after which the buyer has 10 days to review and voice concerns.

Once you’re comfortable with the documents, it’s time to move in and enjoy your new lifestyle. “I think there are a lot of buyers out there who may be ready to move from their larger home into an association-maintained townhome (or condominium),” Griffith says. “We say, instead of downsizing, it’s more like right-sizing.”

Look for the association-maintained living icon throughout this guide, which indicates places to live that are maintained by a homeowner’s association.

11 ISSUES (1 YEAR)

Only $9.95!
  • Less than $1 an issue.
  • 77% off newsstand price.
  • Includes annual HomeBook.


Everything Home. Everything Local.

You can also add Minnesota Monthly
(12 issues a year) for just $13 more.