Curb Appeal Boosts Sale Prices and Expedites Home Sales
In real estate, it is often love at first sight. First impressions count, and in as little as 30 seconds, prospective buyers make positive or negative judgments about a community or a home. Real estate mogul Barbara Corcoran recommends that special attention be paid to a home’s exterior and how the entire property looks from the outside. If a community or a home does not have “curb appeal” buyers may drive by without even get out of their car.
Covenant enforcement, without question, increases home values. The relationship is very clear. Communities that enforce standards pertaining to architectural style, property use, and maintenance standards increase property values at a higher rate and help sell homes faster compared to communities that have no restrictions or which do not enforce the rules in place. The Community Associations Institute published The Impact of Community Associations on Residential Property Values which found that property values in HOAs that enforce covenants can result in an additional resale value increase as much as 19% compared to an identical residence in a community without rule enforcement.
With Maui’s median condo prices at $515,800 and single-family homes at $745,000, this represents an additional sales price of $98,002 in a condo and $141,550 in a single-family home.
Open communication and education are two keys to success. Associations are encouraged to continually inform and educate residents through a community website, newsletters, at association meetings and training sessions. Boards should take every opportunity to listen to owners’ concerns and seek owner input through surveys. A popular app widely used throughout the mainland and recently in Hawaii called Town Square (Spelled TownSq) has helped community members stay connected. The app offered by Associa Hawaii is very easy to use and is a great management tool to stay in contact with residents, board members, and management staff. It was called a “Life-saving communication tool” by a grateful condominium board president after Hurricane Lane. The TownSq app currently has 14,000 registered users in Hawaii and the list is growing daily.
Today, homeowners have a newfound respect for rule enforcement in HOAs. “In the early days of community association development, HOA covenant enforcement was sometimes misunderstood and under-appreciated”, said Lisa Cano, Vice President of Maui Operations for Associa Hawaii. Cano adds “However, during the past decade, covenant enforcement has become one of the most requested services by community associations. Given the thousands of dollars in potential revenue at stake, this makes good sense. Today, homeowners living in HOAs that enforce covenants express their gratitude for management’s efforts to maintain curb appeal though rule enforcement, which is a welcomed change for dedicated board members, covenant compliance inspectors, and community managers.”
Jeremy Paguirigan, Covenants Compliance Inspector Supervisor for Associa Hawaii
Associa Hawaii’s Jeremy B. Paguirigan-Covenants Compliance Inspector Supervisor and Jade Plandor-Covenants Compliance Inspector conduct a site inspection to maintain curb appeal at an Associa-managed community to preserve, maintain and enhance property values for all owners.