Are you weighing a home in a McKinney community with an HOA and wondering what those fees actually cover? You are not alone. Understanding HOA dues, rules, and financial health can save you from surprises and help you choose the right fit. In this guide, you will learn what HOA fees typically include in McKinney, how to read the documents, and how to compare HOA vs non‑HOA neighborhoods with confidence. Let’s dive in.
What HOA fees cover in McKinney
In McKinney and across Collin County, many neighborhoods are part of an HOA or property owners’ association. Coverage depends on the specific community and housing type, so always verify your documents. Here is what you will commonly see covered:
- Common‑area upkeep like parks, playgrounds, trails, entrances, and landscaping in areas owned by the association.
- Amenities such as community pools, clubhouses, fitness rooms, tennis facilities, gated entries, and neighborhood events.
- Architectural review to maintain neighborhood standards for exterior changes, fences, paint colors, and landscaping.
- Private infrastructure if owned by the association, including private streets, drainage, or stormwater systems.
- Master insurance for association property and liability on common areas.
- Limited utilities or services in some communities, such as coordinated trash programs or security, if specified.
Coverage varies by property type. For condos and many townhomes, exterior elements and building structures may be association responsibilities. In most single‑family neighborhoods, the HOA maintains common areas and enforces standards, but not individual roofs, yards, or private driveways.
What HOAs usually do not cover
While each community is different, HOA fees typically do not cover:
- Interior repairs or personal belongings inside your home.
- Most exterior maintenance for single‑family homes unless stated in the CCRs.
- City services like public water, sewer, police, fire, or schools unless a service is explicitly privatized.
- Your individual homeowners insurance beyond what the master policy specifies for common areas.
For a helpful primer on association roles and responsibilities, review the Community Associations Institute’s guidance on association management and reserves. You can find broad best practices from the Community Associations Institute on association governance and operations.
Read the CCRs and rules like a pro
The association’s recorded documents control what fees cover, what you can do, and who maintains what. Request these early and read them closely.
Core documents to request
- Declaration of Covenants, Conditions & Restrictions (CCRs)
- Bylaws and Rules & Regulations
- Articles of Incorporation
- Resale certificate or disclosure packet
- Annual budget, recent financial statements, and the most recent reserve study
- Last 12–24 months of board meeting minutes
- Management contract and insurance policy declarations
Texas buyers commonly receive a resale certificate that summarizes key information. For general Texas guidance on disclosures and forms, see the Texas Real Estate Commission. You can also find consumer information on Texas HOAs through TexasLawHelp’s HOA resources.
Sections to check first
- Definitions. Terms like “Common Area,” “Lot,” and “Maintenance” determine who fixes roofs, fences, and irrigation.
- Assessment powers. How regular dues are set, billed, and increased; late fees, interest, and lien rights; rules for special assessments.
- Reserve and budgeting. Whether a reserve study is required, how reserves are funded, and rules for spending reserves.
- Maintenance allocation. Who repairs or replaces roofs, exteriors, private streets, fencing, and irrigation. Look for phrases like “Association shall maintain…” versus “Owner shall maintain…”.
- Architectural control. Submittal steps, decision timelines, and penalties for unapproved changes.
- Use restrictions. Parking, RV/boat storage, short‑term rentals, pets, and home‑based businesses.
- Insurance provisions. Whether the master policy is “bare walls” or “all‑in” and how deductibles are handled.
- Amendment procedures and dispute resolution. Voting thresholds, hearing rights, and any alternative dispute processes.
Red flags to watch
- Vague maintenance language about “exteriors” without specific duties.
- No recent reserve study or low reserve funding.
- Very broad special assessment powers without owner approval thresholds.
- Active litigation disclosed in meeting minutes or resale documents.
- Rental caps or limits that could affect future resale or rental plans.
- Numerous recent amendments or rule changes that signal governance instability.
Assess the HOA’s financial health
Healthy finances reduce your risk of surprise fees and deferred maintenance. Ask for documents and confirm what the numbers mean.
What to request
- Current regular assessment amount and billing frequency
- Assessment history for 3–5 years
- Record of special assessments for 5–10 years
- Current budget and last 2–3 years of financial statements
- Latest reserve study and current reserve balance
- Delinquency rate and collection activity
- Planned capital projects, scope, timing, and funding plan
- Insurance declarations for association policies
How to interpret the numbers
- Reserve study. A recent, independent study shows the board is planning for long‑term repairs to major components.
- Reserves versus needs. Compare current reserves to recommended funding. Low reserves raise the chance of special assessments.
- Assessment trends. Predictable, modest increases are often healthier than sporadic jumps.
- Delinquencies. High delinquency can strain cash flow and trigger fee increases.
- Capital projects. Ask how big projects will be funded and whether a special assessment is likely.
For general best practices on reserves and budgeting, see CAI’s guidance on association reserve planning.
Smart questions to ask
- When was the most recent reserve study and by whom?
- What is the current reserve cash balance?
- Have special assessments been levied in the last 10 years and why?
- What is the current delinquency rate and collection approach?
- Are any large projects planned in the next 1–3 years and how will they be funded?
- Are there any pending or threatened lawsuits?
Compare HOA vs non‑HOA neighborhoods
There is no one‑size‑fits‑all answer. Weigh lifestyle, budget, and your comfort with rules.
- Pros of HOA neighborhoods: maintained common areas and amenities, consistent standards, and shared access to features like pools, trails, and playgrounds.
- Cons of HOA neighborhoods: ongoing dues, potential special assessments, and rules that limit certain uses or exterior changes.
- Pros of non‑HOA neighborhoods: more freedom to modify your property and fewer ongoing fees.
- Cons of non‑HOA neighborhoods: no shared funding for amenities and less uniform standards.
Search and filter tips
- Ask your agent to set up MLS searches filtered by “Association” fields, fee amounts, and amenities you want.
- If you browse public listing sites, look for fields labeled HOA or Condo fees and scan for amenities in descriptions.
- Share your preferred fee range, amenity list, and whether you prefer HOA or non‑HOA so your search results match your goals.
Protect your offer with the right terms
- Include a clear HOA document review period in your contract. Five to fifteen business days is common depending on market conditions.
- Require the seller to deliver the resale certificate and key documents before closing.
- If you uncover issues like large upcoming assessments or litigation, consider negotiating price, asking the seller to cover assessments, or exercising your contingency to walk away.
Quick buyer checklist
- Confirm whether the property is in an HOA or POA and get manager or board contact info.
- Request the resale packet: CCRs, bylaws, rules, current budget and financials, reserve study, meeting minutes, insurance declarations, assessment history, planned projects, and litigation disclosures.
- Verify current dues, billing frequency, and exactly what they cover.
- Ask who maintains exteriors, roofs, fences, private streets, and irrigation.
- Ask about architectural rules, rental restrictions, enforcement, and fines.
- Make the contract contingent on HOA document review and specify the review period.
Local resources for McKinney buyers
- Review city services and neighborhood resources with the City of McKinney to understand what is public versus private.
- Look up property and taxing entities through the Collin County Central Appraisal District.
- Explore Texas HOA basics and homeowner rights with TexasLawHelp.
- See general Texas real estate forms and consumer information from TREC.
- Learn HOA best practices for boards and owners from the Community Associations Institute.
Choosing the right McKinney community comes down to clarity. When you understand what HOA fees cover, how the association is managed, and what the documents say, you can buy with confidence. If you want a second set of eyes on CCRs, budgets, or reserves while you shop, our local team is here to help.
Ready to compare neighborhoods and get tailored guidance? Connect with Integrity Plus Realty for a clear plan and a confident move.
FAQs
What do HOA fees usually cover in McKinney?
- Most HOAs fund common‑area maintenance, amenities, architectural control, private infrastructure owned by the association, and master insurance for association property, with specifics defined in each community’s CCRs.
How can I see what an HOA covers before I buy?
- Ask for the resale certificate, CCRs, bylaws, rules, budget, financials, reserve study, meeting minutes, and insurance declarations, then confirm maintenance and insurance responsibilities in writing.
Who maintains my roof in a townhome or condo?
- It depends on your governing documents; many condo or townhome associations maintain building exteriors, while most single‑family HOAs do not, so verify the maintenance allocation in the CCRs.
What is a Texas HOA resale certificate?
- It is a disclosure packet that summarizes key HOA information and fees for a specific property in Texas; for general guidance on forms and disclosures, review resources from the Texas Real Estate Commission.
How do I spot financial red flags in an HOA?
- Look for missing or outdated reserve studies, low reserves versus projected needs, frequent special assessments, high delinquencies, or large unfunded capital projects shown in the budget and financials.
Can my HOA restrict rentals or short‑term rentals?
- Many associations have rental rules, minimum lease terms, or registration requirements; confirm restrictions in the use restriction and leasing sections of the CCRs and rules.
