Tax season is here and we all want to deduct every last penny we can find. If you’re a member of a homeowners association, have you ever considered whether or not the HOA fees you pay are tax deductible? Every HOA is different, so you’ll want to find out what applies to your specific Association.
Part of being a member in a California homeowners association is the routine practice of having to pay monthly HOA fees. It's easy to get frustrated if you're unclear on what purpose these fees serve, especially if the HOA board ever makes the decision to increase the amount. Whether you've been living in an HOA for a while now, or are considering buying a home in an HOA, asking the question what do HOA fees cover? can save you from unexpected financial surprises.
Buying a home is a big milestone in life. It’s probably one of the biggest purchases you’ll ever make. It can also be one of the most exciting and nerve-racking! You can avoid anxiety and buyer’s remorse by making sure you’re informed about certain factors that are part of home buying – whether you’re buying a home in a homeowners association or elsewhere. When you’re in the house hunting process, be sure to ask about the following to avoid any surprises to your budget.
There is no way to sugar-coat a special assessment. Receiving a notice that you owe more money to your homeowners association can not only put a damper on your day but also a dent in your wallet, both of which the board is sympathetic to. In a perfect world, there would never be a need for special assessments—or any other type of assessments for that matter—but sadly; they are sometimes a necessary evil.
Homeowners association members who pay their assessments late or not at all come up with some very interesting excuses. Here’s half a dozen of the most common excuses your HOA board might hear and why it’s smart to address them.
As an HOA Board member you may be faced with the task of having to make the decision to foreclose on homes in your association. We’ve all been challenged by the financial climate these last few years and it is going to take some time to bounce back. Therefore, HOA foreclosures are inevitable.
Do the members of your homeowners association know their HOA fees are determined by the budget not HOA board members trying to be bullies? When budget season rolls around you might be sensing your homeowners in a small panic wondering if their HOA fees are going to be raised.