TYPES OF ASSOCIATIONS
Often, HOA is a blanket term used to describe many different types of community associations.
However, different communities require uniquely structured associations that include planned
communities, condominiums, and cooperatives. Each of these association types has less to do with
their architecture and everything to do with the ownership structure. Below are characteristics for
each HOA type.
Planned Communities
In a planned community, individuals own their unit and the land it sits on. The association owns common
areas such as pools, parks, and roads. Other names you may hear for planned communities include
owner association, townhouse association, property owner's association (POA), and
planned unit development (PUD).
Condominiums
Individual owners in a condominium association own their unit and a
percentage of all shared property such as lobbies, pools, and gyms.
The association doesn't have ownership of any real estate within
the community.
Cooperatives
Cooperatives or co-ops have shared ownership among all members
for both the units and shared spaces. Instead of purchasing a home
or unit, owners buy a stock or membership certificate to become
part of the cooperative. This stock or membership then gives the
holder rights to lease or occupy a given unit.
