Malta is being discovered by more and more people in the world. Last year, there were over 2.3 million tourists who visited the country.
Some of those people want to take that a step further and invest in Malta property. This means that they will likely care about their future home value.
Well, one way to increase that home value is to form an HOA.
What do an HOA and home value have to do with each other? This guide breaks down the connection.
One of the biggest things an HOA does to increase home value is to have certain community rules. These rules are designed to keep the peace as well as protect home value.
An example of both is to set a certain period aside for quiet hours. Let's say that your community makes it so this starts at 10 p.m. The HOA can enforce this with HOA management and give out fines to people who refuse to listen to this rule.
Another example can be restricting what colors people can paint their houses. Some people may complain that this violates their rights as a property owner.
However, it does protect the overall community at the end of the day. Let's say that a homeowner wanted to paint their house purple.
While they may not care how that impacts their home value, neighbors who may want to sell their homes one day will. That is because they are adjacent to this home and the wrong house color can potentially create an eyesore.
Curb appeal is crucial when selling a home. About 92% of realtors recommend homeowners improve this before putting their homes on the market.
An HOA can act as a mediator and help enforce rules that are in the best interests of the overall community.
Amenities and Services
Another thing that an HOA can help with is managing amenities and services. If you are part of an HOA, you likely expect there to be some benefits for the monthly fees you are paying.
This can be as simple as maintaining community spaces. Examples include cleaning swimming pools, fixing nets on tennis courts, repairing playground equipment, and more.
Then, HOAs can help take care of services that the community needs. This can be hiring a landscaping company to mow lawns, having a roofing contractor on standby; hiring a waste management company, and more.
The point is that people need to know where their money is going. Taking care of amenities and services helps people see value in paying HOA fees.
Connecting an HOA and Home Value
These are the biggest reasons why an HOA and home value are connected. If you have the right HOA management and HOA amenities, you can see a good return on your investment in no time.
To help with this, you can have PMI Malta manage your HOA. We are a real estate asset management company based in Malta that is dedicated to giving you the best return on your investment possible.
For more information about this in Msida, message us here.