Understanding living under a homeowners' association
Having a free-standing home within a residential estate or gated community offers many benefits. For one, you have all of the security enhancements of a sectional title, without having to put up with living in close proximity to others. If there is a homeowners' association (HOA) in place, however, you may find yourself frustrated at the rules, limitations, association interference and the never-ending community politics.
It is possible, however, to take back your quality of life without selling up.
Identify your property type
Establish whether your property is part of a sectional title scheme or a full title, where you have full ownership of both the building and the land it is situated on. If your property is sectional title, then our Dealing with the complexities of sectional title communities article is for you. If yours is a full title or free-standing property under an HOA, then carry on reading.
Understanding how HOAs work
HOAs can be set up as a non-profit company with directors (bound by the Companies Act), or a more flexible common law association with a board of trustees. The role of an HOA is to manage the estate as laid out in its constitution and enforce the rules.
Familiarise yourself with the rules
It's important to note that property owners are legally bound by title deed restrictions to follow the HOA rules. While the HOA constitution should be readily available and rarely subject to change, the same cannot always be said for the estate rules. What's more, HOA rules are not subject to approval by the Community Schemes Ombud Service (CSOS), making sure that they are fair and reasonable.
Understanding the HOA's constitution and rules is an essential part of living in an estate, especially if you want to avoid fines, penalties and being prevented from selling your property. Bear in mind that these rules could go beyond the common property and very often contain regulations and restrictions that apply to the free-standing properties as well. This could be as simple as an exterior colour code or as far-reaching as limiting extensions or even the plumber you must use.
Establish your rights
Having a full understanding of the HOA's constitution and rules will also advise you of your personal rights within your home, property and the estate at large. This is especially important when you have a dispute or complaint that needs addressing.
It is also worth remembering that if you are still dissatisfied after following the HOA's complaint procedure, you can pursue legal action or apply to CSOS for conciliation or arbitration.
Get involved
The best way to protect yourself and your property investment is to participate in the affairs of the HOA. This means reading the minutes of all the trustee or director meetings and attending the annual general meeting as well as any other meetings that may be held.
If you are still concerned about the HOA's management of the estate, however, it may be time to make yourself available to be nominated to the board of trustees or directors. As the saying goes: if you can't beat 'em, join 'em. After all, some changes need to come from within the organisation.
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