Why are so many Single Family Homes being built as an HOA?

This video outlines why Builders and the City are motivated to see single-family homes communities built as Homeowners Associations, and what financial and administrative options homeowners have after the builder gives back control.

[@redlotusaelixir]

HOAs are a way for the city and builders to avoid maintenance of the things they usually pay to maintain. Some covenants are too restrictive and expensive. In general, they are unnecessary. The problem is prospective home buyers don't have much choice when buying if they want a newer property with a reasonable price point. Non-HOA resale houses tend to be more expensive since they tend to have more acreage. It's a win for the city and the builders not your ordinary homebuyer.

[@jofujino]

You didn’t really answer the question fully in my opinion. You didn't cover what the incentive is for builders to construct HOAs. There are a ton of homebuyers who would pay a higher price to be able to live in a community without an HOA and even give up amenities to avoid the risk of a nightmare scenario such as lawsuits with the HOA, foreclosure by the HOA over unpaid dues or fines, or just rising HOA fees due to mismanagement, or costs associated with lawsuits or expenses on private roads, parks and sidewalks. None of this matters though because it is way easier to cut through the NIMBY objections (generally existing voters in a district hate new developments because they increase traffic, increase noise and may lower home value from higher supply). Getting the permits to develop often are easier if you aren't foisting the expenses of the new roads, sidewalks and parks onto the city. HOAs also ensure the look of the community will be positive overall, so all of these decrease local opposition to building. HOAs are the cost of doing business in these places, and the alternative is you bribe the local government with something else politically valuable such as affordable housing construction (but that would cost the builders money whereas setting up an HOA is free).

[@sonlitesonlite576]

Hoa is a waste in my view

[@scrappychildhood6633]

I will never buy HOA unless millionar