Whether you’re looking to buy a new home or sell your current place, your mind may be running over the numbers, again and again, to figure out what decides the cost of a home.
Unfortunately, not everything is within your control. Although you can update your house as much as you want, give it the newest everything and change the way it looks, you can’t do much for what’s outside your lawn.
There’s a reason HOAs exist.
Here are all of the ways your neighbors may affect your property value without you even knowing.
Consider the Homeowners’ Association
HOAs exist to keep property values at an all-time high at the community’s cost of personal freedoms. Their work exists because studies have shown that an unfavorable neighboring home can bring down the property values of all of its properties.
Their main concern is appearances.
Houses that have too much going on in their yard can get fees from their HOA. In some areas, a change as small as getting a red mailbox when the association calls for only black or white could cost you up to fifty dollars a month until you replace or paint it.
The average HOA cares deeply about keeping your home as similar and straightforward as the others around it. Although some thrive under these conditions, and some houses sell better with them, there’s nothing wrong with being different.
Unfortunately, some neighbors can take it too far, with windmills, cars in their yard, or obnoxious paint colors on their house that you’ll have to stare at forever.
There’s no ultimate answer, whether they’re good or bad: but HOAs ensure that your property sells for more.
Whether Your Neighbors Have Been Arrested
Many cities require certain criminals to be publicly registered. This registration will say where they live and what they’ve done.
If you have a neighbor who has done awful things in the past, even if they’re reformed and changed, it will show up when people search your property as part of the steps to buy a house. This information will limit what people consider your home, including families, single women, and older couples. Homes close to offenders are likely to sell for nearly 20 percent less than the average home in the area. Although this can be great for those buying, selling can be rough.
Animals That Bark or Make Noise
Surprisingly, a large complaint many people have in the suburbs isn’t about their neighbor’s dogs barking: it’s about people’s pet chickens and roosters making noise. “Urban farming” has been a growing trend in the last couple of years because of the global climate, and although it’s excellent for cheaper groceries and being Earth-friendly, a lot of people don’t want to live next to that. Chicken coops can stink and drop property value, and if there are any noisy animals nearby, people aren’t going to want to buy.
Although a neighbor having a dog that barks all of the time can be a detractor, the real fear many buyers have is what other animals will be waking them up at five in the morning.