HOAs and CCRs

HOA or homeowner association is a nonprofit organization that is funded by all the association's members and overseen by an elected board of directors. In some states, HOAs must be registered with the department of real estate or another state regulatory agency.

Most of the country's HOAs are run by volunteers from within the community (residents), with the remainder run by management companies.

The primary purpose of the HOA is to enforce the policies, procedures, regulations and restrictions agreed to by the members, thereby maintaining property values. Financial support for the HOA comes from each homeowner in the form of monthly dues and occasional assessments.

Membership in an HOA- If you purchase a home in a managed community, you don't have a choice about whether to become a member. It is required and automatic. For this reason, when considering the purchase of a home governed by an HOA, reading the HOA documents before you agree to purchase is of critical importance.

CC&Rs or covenants, conditions and restrictions are the governing documents for the operation of the HOA. These are the rules that homeowners, tenants and guests are obligated to follow.

Want to paint your home purple? Check the CC&Rs first. From the number of pets allowed to parking restrictions, the CC&Rs are the laws of the community. Failure to abide by them could mean a hefty fine for the homeowner. Unpaid fines can lead to foreclosure proceedings and the loss of the home to the HOA.

The following is a list of items that are normally governed by HOAS.

Noise

Landscaping

Roofing material

Fences

Exterior paint color

Outdoor play equipment such as swing sets and basketball hoops

Garages and outbuildings

Mailboxes

Window coverings

Holiday decorations

Clotheslines

Garbage and recycling containers

Pets (size, breed restrictions, etc.)

Parking

Home businesses

For a listing of HOAs in McKinney, TX, follow this link: McKinney, TX HOAs