Buying to Rent but confused with HOA/COA

2 Replies

i finished reading the helpful beginners guide here on BP. 

And, the users here have been much more helpful than I could imagine. 

I Am a serious newb and its good to now know some of the terminology for some of the strategies and niches I've always wanted to do even - before I knew how to properly explain it. 

buying a duplex/TRIPLEX is something I can def see myself doing while living in one of the spaces. Even if I just break even or have very little cash flow, as long as it's not a loss it's effective . 

If I own the du/triplex do I still have to abide to an HOA ? Is the HOA not a board organized by the owner and a few others to maintain the property?

Or, even if I own the building I will still belong to an HOA somehow?

Well, it depends. Some communities that have single family properties and small multis do have HOAs. You don't show any location, so no clue if that's an issue where you are. They're very common all over Florida, for example. In such a community, yes, you're still under control of the HOA even if you own the property. No different than owning a condo in a big building with an HOA.

Its also possible that someone who owned a triplex did a condo conversion and made the three units into separate legal entities and created and HOA. If you buy all three, then you would have 100% control of the HOA and could do whatever you want, subject to local laws. This would be pretty unusual for a small property. Around here these situations are more commonly handled with a "party wall agreement" that applies to both owners of the shared wall.

interesting, never thought of an owner creating separate llcs for each apartment. 

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