What are Home Owners Association Documents (HOA docs)? Is it important that I read them?

The Barr Team First Time Homebuyer Info, Info for Home Buyers, Info on Real Estate Transactions Leave a Comment

 

Henry explains the importance of Home Owners Association documents in a real estate transaction in Summit County, Colorado…
This is Henry Barr again here at Re/Max Properties of the Summit, The Barr Team here in Frisco Colorado. I get asked a lot of times about HOA (Home Owner’s Association) documents, what are they? Who gets to see them? And when do you get to see them? Any time you’re buying a property that’s involved in a home owner’s association, I very strongly recommend that you look into the HOA docs. It’s already preprinted in the contract for who provides them and when they need to be provided by and your timeframe to object to anything you find in the HOA docs. HOA docs normally include what we call CCR’s (Conditions, Covenants and Restrictions) and also there’s usually Rules and Regulations as well, there are Bylaws and most importantly there are minutes and there are financials. All of those documents have a role in the process and they are important to review. Fortunately now, they are easy to look at because almost all of them are located on websites from the management companies and they are easy to obtain, most of them can be found by Googling them and can be found on your own. Some of them have certain things that are password protected and you can get the password from the real estate agents or from the seller so you can go in and look at the financials. The financials are usually the documents that are password protected, most everything else is available easily to the public. I always recommend if you really want to know what is going on in the association that you look carefully at the last three years of annual homeowner minutes and also the last year of the Board of Director minutes. Those would be the important documents to look at, that’ll give you a good idea of what’s happening in the association, what the issues have been in the association, what’s proposed in the future for the association and what actions are being taken with the association. Most all those docs are easily accessible, as I said, now with the internet. Hope that helps!