HOA Dues

Congratulations! You just bought a new home and it’s perfect for your family – just the right size, condition, location and neighborhood to meet your needs. Your new home is part of a homeowners’ association (HOA), so the landscaping and common areas always look beautiful and well-maintained. It even has great amenities, like a playground, beach access and trail that encompasses the community.

When you bought your home in an HOA or community association you became part of a common interest development. As a result, you’re required to share the costs of maintaining and operating your community’s common areas and amenities – and let’s face it, smooth operations and an inviting appearance go a long way towards enhancing property values. These services are covered by your homeowners’ association fees, which each Lot owner must pay. Payments are paid yearly ($290) and are due January 1st.

While you know you must pay a yearly association fee, do you know what this money is used for?

1) Ongoing maintenance and repairs to common areas, landscaping, and amenities.

2) Insurance Policies. Your association must purchase a master insurance policy to protect your community’s building structures, exteriors and community property against damage, plus other riders and add-ons as required by your community’s location, property type and other needs.

3) Utility Payments. Homeowners associations cover the costs of electricity, lighting, water, etc. for all of the community’s common areas.

4) Reserve Funds. Fiscally sound HOAs allocate a portion of their dues to a special long-term reserve account to cover planned and budgeted renovations or repairs that do not occur on a regular basis, like repaving the trail or replacing rotten wood on the kiosk. If the reserve fund is not large enough to cover these expenses, your homeowners association will levy a special assessment to make up the difference – an additional fee you must pay.

5) Contingency Funds. This money is automatically set aside each month to cover unforeseen community expenses and emergencies.

6) Legal. Over the course of a fiscal year, the Board will face a variety of legal issues ranging from interpretation of the CC&Rs, compliance with the Declaration, maintenance obligations, rules enforcement, responding to threatened lawsuits, fighting external issues that may impact the association, and more.

7) CCCA dues. The Cedar Cove Community Association consists of 8 communities (640 homes) and the Landings is part of the CCCA. The CCCA is responsible for the Cedar Cove entrance and beach signs, lighting on Long Lane, fence repair and maintenance at the beach, lawn service at the beach parking area, beach safety and clean up, beach fires, beach and community security patrols.

So while some people may consider HOA fees an unnecessary expense, they’re actually very necessary to enhance your lifestyle and keep your community clean, safe, beautiful and financially stable – and that’s what helps protect your property values.