New Report from Realtor.com® Finds
Edwards, Colo., Myrtle Beach, S.C. and Heber, Utah
are the Top Three Metros with the Highest Share of HOAs
SANTA
CLARA, Calif., Jan 15, 2025
/PRNewswire/ -- As Americans grapple with housing
affordability challenges, one more housing cost is on the rise,
Homeowners Association (HOA) fees. According to a new report from
Realtor.com® released today, more homes on the market
last year had an HOA fee and those fees were more costly than the
year before. When looking at monthly HOA fees shown on listings on
Realtor.com®, 40.5% of for-sale listings in 2024 had a
nonzero HOA fee, up from 39.2% last year with a median fee of
$125/month, up from $110.
"With a down payment and closing costs up front, and then
principal, interest, taxes, and insurance every month after that,
purchasing a home is already a financially daunting task, before
adding in the rising cost of HOA dues," said Danielle Hale, chief economist at
Realtor.com.® "Homes like condos, townhouses and
new construction single family homes in neighborhoods with ample
amenities are more likely to have an HOA fee. For many of these
properties, HOA benefits often include a certain amount of
maintenance and even utilities that homeowners without an HOA will
need to include in their budget. When considering a home with an
HOA, buyers should work to understand what benefits it provides
like maintenance, security, or communal amenities, and how the HOA
fees factor into their overall budget."
What type of homes are more likely to have an
HOA?
Newly constructed homes are much more likely than
existing homes to be subject to HOA dues. Among homes for sale on
Realtor.com® in 2024, 69.9% of new builds came with a
monthly obligation to the homeowners' association compared to 37.1%
of existing homes.
Much like the splits between new construction and existing
homes, HOA dues are much more widespread among condo, rowhome, and
townhome listings (from here on referred to collectively as condos)
than single family homes. 83.8% of condos for sale in 2024 had HOA
dues associated, while just 33.6% of single family homes did.
Where are buyers most likely to be hit with an HOA fee on the
home that they purchase? Areas with a high concentration
of new construction or a high concentration of condo units,
especially in desirable beach or ski markets. Below are the ten
metropolitan areas with the highest share of for-sale listings
subject to HOA dues.
|
Metro Area
|
Share of
Listings with
HOA
|
Median Monthly
HOA Dues
|
|
Edwards,
Colo.
|
89.9 %
|
$525
|
|
Myrtle
Beach-Conway-North Myrtle Beach, S.C. and N.C.
|
84.8 %
|
$138
|
|
Heber, Utah
|
83.3 %
|
$300
|
|
Lakeland-Winter Haven,
Fla.
|
79.7 %
|
$78
|
|
Orlando-Kissimmee-Sanford, Fla.
|
78.4 %
|
$164
|
|
Boise City,
Idaho
|
77.6 %
|
$54
|
|
Las
Vegas-Henderson-Paradise, Nev.
|
77.1 %
|
$118
|
|
Jackson,
Wyo.
|
77.0 %
|
$250
|
|
Houston-The
Woodlands-Sugar Land, Texas
|
76.8 %
|
$67
|
|
North
Port-Sarasota-Bradenton, Fla.
|
76.0 %
|
$310
|
Where can savvy buyers avoid paying a monthly fee to
an HOA? Smaller markets with fewer newly-built homes and
condos, mostly in further inland markets. Below are the 10
metropolitan areas with the lowest share of for-sale listings
subject to HOA dues.
|
Metro Area
|
Share of
Listings with
HOA
|
Median Monthly
HOA Dues
|
|
Anniston-Oxford,
Ala.
|
3.8 %
|
$29
|
|
Elizabethtown-Fort
Knox, Ky.
|
5.0 %
|
$19
|
|
Jonesboro,
Ark.
|
5.3 %
|
$36
|
|
Monroe, La.
|
5.8 %
|
$30
|
|
Huntington-Ashland,
W.Va., Ohio, Ky.
|
6.1 %
|
$25
|
|
Albany-Lebanon,
Ore.
|
6.2 %
|
$33
|
|
Merced,
Calif.
|
6.2 %
|
$137
|
|
Ukiah,
Calif.
|
6.5 %
|
$131
|
|
Vineland-Bridgeton,
N.J.
|
6.8 %
|
$77
|
|
Orangeburg,
S.C.
|
7.1 %
|
$104
|
To read the full report and learn more:
www.realtor.com/research/homeowners-associations-2024
Methodology
This report aggregates weekly snapshots of
all for-sale listings in the United
States on Realtor.com in 2024 and in 2023 for year-over-year
comparison. Listings are considered to be subject to an HOA if they
have a monthly HOA fee greater than zero dollars published on them.
Median monthly HOA dues calculations for a given geography or
listing segment include only nonzero HOA dues (i.e. listings
without HOA dues are not included as zeroes). The terms "HOA fees"
and "HOA dues" are used interchangeably here.
About Realtor.com®
Realtor.com®
is an open real estate marketplace built for everyone.
Realtor.com® pioneered the world of digital real estate
more than 25 years ago. Today, through its website and mobile apps,
Realtor.com® is a trusted guide for consumers,
empowering more people to find their way home by breaking down
barriers, helping them make the right connections, and creating
confidence through expert insights and guidance. For professionals,
Realtor.com® is a trusted partner for business growth,
offering consumer connections and branding solutions that help them
succeed in today's on-demand world. Realtor.com® is
operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV]
subsidiary Move, Inc. For more information, visit
Realtor.com®.
Media contact: Mallory
Micetich, press@realtor.com
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SOURCE Realtor.com