If you're looking to buy a home in affluent Henderson, NV, it is essential to look at every single aspect of your investment.
After all, the boom times are over for now, with weak demand and excess construction all driving values down over the past year. One often overlooked indicator is homeowners' association or HOA fees.
These can range dramatically across different neighborhoods and can have a tangible impact on the value of your asset. If you're considering Henderson, here's what you need to know about the HOA home value relationship.
What Do You Pay?
The amount you pay to live in a HOA property can vary massively, but the average monthly payment in Nevada is $250.
In some particularly expensive neighborhoods, it's not unheard of for HOA community fees to be several times higher than this. Your monthly fees are meant to cover the day-to-day running and maintenance of your home and community.
On top of this, you might also need to pay extra, one-off fees known as Special Assessments. These are to cover unexpected or nonroutine repairs, and can easily spiral into thousands of dollars apiece.
What Do You Get?
While HOA homeowners might seem burdened with expenses, you do get something for that money. Your fees ensure that all repairs, maintenance, and general upkeep are covered.
You might also benefit from extensive insurance coverage provided through the HOA, which will protect your investment in the event of a break-in or natural disaster. Since your entire community will be paying these fees, the cost of these services is split between everyone, potentially saving you money.
What Impacts Your Fees?
Many factors go into calculating HOA fees. Chief among these is the general cost of maintaining the property.
For this reason, larger properties will command larger fees. HOA rules also play a significant role. If the HOA has very high expectations regarding the cleanliness and condition of the community, this will be reflected in higher fees.
On top of this, costs for contractors and materials will also play a role in your fees. For this reason, many HOA homeowners pay higher fees in times of high inflation.
HOA Home Value Impacts
So, how do HOA fees impact the value of a property? The truth is that it depends. If they are excessively high, they can erode the value of a property, since buyers will be deterred and demand will be softened.
However, this is not always the case. High fees usually mean that a HOA community is a desirable place to live.
The money goes exclusively towards the community, ensuring nice roads, beautiful lawns, well-maintained properties, and secure living. This is always something that both buyers and tenants are willing to pay a premium for.
Getting More Out of Your HOA Property in Henderson, NV
Understanding HOA home value is all about balance and value for money. If you can see exactly where your HOA fees are going, then those high fees do not mean that a home is a bad investment.
If you need help striking the right balance, we are on hand. At PMI Henderson Property Management, we offer expert property management to the highest standard, for the best possible fees. Get in touch to find out how we can benefit your community today.
