Homeowner Associations are on the firing line as pre-legislature politics gets underway. Most people understand the need and share the desire for restrictions on what can be done in, around, and to a home in a subdivision. However, recent news stories about the abuse of power by some HOAs have certainly made this a hot topic. These days we find most buyers are educated and do desire to review the covenants, rules and restrictions of a neighborhood before closing on a home. In an interesting twist, with the ever changing conditions in the mortgage market, several of the largest lenders are now requiring HOAs to carry $1,000,000 liability policies…..up from a norm of $250,000. This is slowing down closings and certainly changing the expenses of Homeowner Associations everywhere.
As the laws, rules and procedures governing Homeowner Associations in Texas continue to change, be sure you stay aware and alert for changes that matter to you and your neighbors….and if you are a Realtor, to your career!