Record Number of Homeowners Live in HOA Communities
September 29, 2020
A new housing report shows 73.9 million Americans reside in a community with a homeowners association or condominium board. That is more Americans than ever, according to the Foundation for Community Association Research.
California now leads the nation with 49,200 associations, followed by Florida, with 48,500; Texas, with 21,000; Illinois, with 18,800; North Carolina, with 14,100; and New York, with 14,000, the report says.
In 2019, there were about 351,000 community associations in the U.S. The Foundation for Community Association Research estimates that the number in 2020 will increase to 354,000.
Most residents say they appreciate the work of their community association in helping to maintain standards in their neighborhood, according to the report. Seventy percent of homeowner and condo association residents rate their overall experience living in a community association as “very good” or “good,” according to the Foundation’s 2020 Homeowner Satisfaction Survey.
The value of homes in a community association is nearly $7.2 trillion. About $96 billion in assessments is collected annually from homeowners to fund essential maintenance in their communities, according to the foundation’s report.
As many local cities face financial challenges, many communities are requiring builders of new developments to create an association to assume many responsibilities that traditionally belonged to local and state governments, such as road maintenance and trash removal. Seventy-seven percent of new housing built for sale now falls in a community association. Homeowners contribute $27.4 billion to association reserve funds for the repair, replacement, and enhancement of common property areas, such as swimming pools and elevators, or resurfacing of streets.
Source: Record Number of Homeowners Live in HOA Communities REALTOR Magazine (September 23, 2020)