Buying a home in an HOA community? Caveat emptor!

Its springtime and people are thinking of buying their dream house. However, if you are looking to buy in a community governed by a homeowners association, you may want to think again.

Ive lived in several HOA communities. From my experience, they all promise to make life incredibly delightful, from taking care of residential lawn and common area maintenance, to making sure property values are maintained by keeping house and trim colors neutral and not allowing your somewhat eclectic neighbor from putting up sculptures of famous landmarks on the lawn.

Some HOAs are stricter than others.

Then there are those HOAs that are so ineffective you wonder why you are paying monthly and/or yearly fees for such terrible services.

Usually the intentions of HOA Board members are good, but something gets lost in the translation of words into deeds.

The real problem is that most buyers never learn the truth about their HOA until it is too late — after they have signed the purchase agreement and moved into their shiny new home.

Then, depending on how your HOA is run, the real nightmares can begin.

Suggestion: Talk to several people in the community in which youre thinking of buying a home. Some will blindly sing the praises, while others will tell it like it truly is.

I have lived in great HOA communities and absolutely terrible ones.

The best ones were run by residents who were truly concerned about their communities and their neighbors.

The worst was run by a developer who had not given up his right to control the board, meaning that residents had little or no control over the rules or financial aspects of the board.

In such a scenario, I have seen property values diminish, because maintenance and repairs were reduced, leaving the residents without the services promised through the HOA bylaws and declarations, which are the rules and regulations governing the community.

Lawns look shabby, with weeds abundant or irrigation sprinklers not working; rules governing the parking of boats and commercial vehicles are not enforced; and HOA fees are used for things that were never anticipated by residents or the bylaws.

In other words: caveat emptor: buyer beware.

Of course, there are ways to seek redress for HOAs that fail to represent the residents best interests or refuse to follow the bylaws: you could file a complaint with the Maryland Attorney Generals Office of Consumer Protection or even with the new federally created Consumer Financial Protection Bureau.

You may even want to file a lawsuit for breach of contract, seeking damages for loss of property values, loss of use, failure to provide services, misappropriation of funds or the HOAs failure to abide by state or federal laws.

If you feel thwarted by your HOA, seek answers at the Maryland Attorney Generals Office, online at www.oag.state.md.us/Consumer/complaint.htm, or the Consumer Financial Protection Bureau, online at www.consumerfinance.gov/.

You can also check HOA-related laws at www.oag.state.md.us/Consumer/openrealestate.htm.

Ron Pagano is a community activist and business owner who lives in the Wood Creek community in Delmar.