Homeowner Associations Research Articles

Globalising homeownership: housing privatisation schemes and the private rental sector in post-socialist Bishkek, Kyrgyzstan

Research has shown how private homeownership features prominently in housing policy on a global basis. Little critique exists, however, on how property is framed in more contemporary privatisation policies unfolding in today’s post-socialist cities. Taking the case study of Bishkek, Kyrgyzstan, this article examines the extent to which the government and international community remain focused on homeownership to the detriment of developing policies and legislation on other housing tenure, notably rental housing. The article examines two contemporary housing programmes: the introduction of homeowner associations and the government’s approach towards informal settlements on the city’s outskirts. These two programmes are examined as an entrenchment of earlier privatisation programmes introduced in the late 1980s and 1990s which resulted in the sale of state housing and the distribution of land on the city’s outskirts. The results indicate that tenants often remain either invisible or their rights are subjuga...

Property and Secrecy

Real estate ownership is conventionally viewed as a clear matter of public record. Yet purchasers of real estate are increasingly employing legal techniques to preserve their anonymity by registering their properties through trustees or opaque shell companies. This turn of events calls for delineating the appropriate boundaries of secrecy in property.The Article identifies primary contexts in which the issue of secrecy comes up in the law, including in financial and proprietary settings, such as secret trusts or undisclosed accumulation of shares in public corporations. It then underscores the unique features of secrecy in real estate. It offers an innovative analysis of the ways in which anonymous property holdings might generate externalities for various types of stakeholders, from central and local governments up to neighboring property owners in both their individual and collective capacities, such as in a homeowner association. The analysis establishes normative criteria for requiring property owners to disclose relevant details. It calls, however, to distinguish between a duty to provide information and the operative results of such disclosure in regard to interested parties’ capacity to act on such information.This Article argues that, somewhat counter-intuitively, an elaborate discussion of the proper limits to the interest in secrecy would challenge prevailing forms of exclusion and other types of defensive or offensive tactics against “unwelcomed neighbors,” whenever such practices have no normative merit. The discourse on secret real estate holdings would therefore shed broader light on the underlying societal features of ownership.

Property Management Company in Housing Institutions

Property management company (PMC) plays an important role in housing institutions in some countries such as China. Through both theoretical analysis and empirical study in Chongqing, China, I analyze various configurations of PMC in housing institutions. In the case of private community, I argue that “to make or to buy” analogy is only applicable to HOA (Homeowners Association) alone vs. HOA hiring a PMC. The former requires expertise in property management, which cannot be easily obtained where multi-owned housing is the dominant housing type. The sources of efficiency of PMC also include competition among them that forms an efficient market in local governance. In general, it is safe to say that when the scope of services is narrow, PMC can play an important role in local governance.

Nonnative, Noninvasive Woody Species Can Enhance Urban Landscape Biodiversity

Increasingly, homeowner associations and municipalities are requiring a certain percentage of native trees and shrubs as part of any new landscape installation. These native species mandates make numerous claims as to the superiority of native plants over introduced species, including their ability to enhance ecosystem biodiversity. In contrast, nonnative trees and shrubs are labeled as harmful to biodiversity, primarily because they are improperly grouped with known invasive species. This review summarizes the current published science regarding the effects of native and nonnative woody species on urban landscape stability as measured by biodiversity of associated plants, birds, insects, reptiles, and mammals. The preponderance of studies demonstrate that parameters other than species nativity have the greatest influence on biodiversity of these groups. Rather than limiting tree and shrub selection lists to a narrow palette of native species, a more practical, science-based approach to enhancing urban landscape biodiversity is suggested.

Homeowner associations and neighborhood governance in Guangzhou, China

Drawing on a large-scale household survey and in-depth interviews in Guangzhou, China, this research closely examines the formation and operation of homeowner associations (HOAs) and their governance efficacy in urban neighborhoods. This study examines the application of theories on private governance and collective action in the Chinese context and integrates the empirical analyses into a general discussion of state–market–society interactions. The HOA concept in China is far from a form of private governance by Western definition. On the contrary, it generates a societal force to counterbalance the market force brought by property management companies and the state power enforced by the residents’ committee to address homeowners’ political and material needs. Collective action theory is a useful explanatory tool for the HOA’s governance efficacy in China. Yet, the state power and market force also bring a strong imprint on the decision-making of collective action in terms of determining organizational arrangements, the availability and quality of information, and the benefits of collective action.

Differences and Similarities Among Cohousing, Gated Communities and Other Kinds of Homeowners Associations: A Reply to Ruiu

The paper focuses on differences and similarities between two types of private residential communities (or homeowners associations): cohousing and gated communities. The reasoning is structured as a reply to a paper by Maria L. Ruiu in Sociological Inquiry, in which the author maintains that cohousing and gated communities are very different phenomena in terms of aims, goals, nature and characteristics. This paper argues that Ruiu’s reasoning is not entirely convincing since it presents some weaknesses, which are discussed, in regard to the alleged differences between cohousing and gated communities in terms the reasons guiding the choice of the community, openness of communal spaces, and the speculative nature of the projects. It is argued that cohousing and gated communities are more similar in terms of their constitutive characteristics than is usually thought; several differences between them can be recognized, but they are mainly epidermal. Some consequences of this fact in terms of public policy are discussed in the last part of the paper.

Consumptive water use and crop coefficients for warm-season turfgrass species in the Southeastern United States

Increased urban demand for landscape irrigation, as well as interest in promoting water-use efficient species by municipalities, water purveyors, and homeowners associations emphasize the need for comparative data on consumptive water use by warm-season lawn grasses. The objective of this study was to quantify actual evapotranspiration (ETa) and to develop crop coefficients (Kc) for four warm-season turfgrass species, namely ‘Tifway’ bermudagrass (Cynodon dactylon (L.) Pers. x Cynodon transvaalensis Burtt-Davy), ‘Empire’ zoysiagrass (Zoysia japonica Steud.), ‘Floratam’ St. Augustinegrass [Stenotaphrum secundatum (Walter) Kuntze], and ‘Argentine’ bahiagrass (Paspalum notatum Flugge). Crop coefficients were derived by dividing ETa (measured directly from lysimeter weight change over 24 to 72-h periods) by reference evapotranspiration (ETo) calculated from the ASCE–EWRI Standardized Method using onsite weather station data. Data were collected over three seasons from non-stressed, well-watered turf. For 17 of the 30 measurement periods, Kc did not differ among the 4 species, and on 24 of 30 periods zoysiagrass, bermudagrass, and St. Augustinegrass Kc did not differ from one another. A trend toward elevated Kc was observed in bahiagrass in years 2 and 3, particularly during early spring measurement periods. Kc values for all species fluctuated across seasons and years, peaking to ∼0.8 during active growth periods when vapor pressure deficit and solar radiation were greatest, and declining to ∼0.3 in late fall and winter. Root growth differences among the species appeared to have a stronger relationship to ET rates than did shoot growth rate. Results demonstrated that the commonly recommended warm-season turf coefficient of 0.6, while approximating overall average annual ETa, under-predicted ETa during active growth periods and over-predicted ETa during late fall and winter periods, when turf was slowly growing or quiescent. The results indicate seasonal refinement of Kc values may be needed to more effectively meet consumptive water use requirements of warm-season turfgrasses.

Toward a Relational Account of Neighborhood Governance

Although changes in urban space often mean a restructuring of social relations, few studies elucidate why network-related frameworks are inherently related to residential outcomes in urban neighborhoods. By proposing a relational account of neighborhood governance, we investigate outcomes of neighborhood governance by incorporating a series of measures of network forms of organization, network-based social capital, and neighborly interactions. Based on a collaborative survey project conducted in Guangzhou, we find that neighborhood ties and neighborly interactions are positively associated with neighborhood attachment and cohesion, whereas uneven power relations between grassroots governments and civic homeowners associations are negatively associated with these two measures. These results not only reveal new social dynamics in urban space but also lend support to a relational account of neighborhood governance.

Perceptions of Florida-Friendly Landscapes: Linking Visual Quality and Environmental Health through Landscape Codes

The Florida-Friendly Landscaping™ program (FFL) was established in 1994 to promote environmentally friendly landscapes that conserve water and protect the environment. The primary goal of the program is to encourage the adoption of environmentally friendly landscape behaviors, including using the right plant in the right place. Early efforts to promote Florida-Friendly landscapes emphasized the use of drought-tolerant plants, which created a common misconception that an FFL yard is a "natural-looking" xeriscape with an unkempt appearance. The negative association with a visually unappealing landscape has hampered the promotion of FFL yards and the adoption by homeowner associations (HOAs) as the landscape to promote in regulations and codes.

Environmental Markets: A Property Rights Approach, by Terry L.Anderson and Gary D.Libecap. Published by Cambridge University Press, Cambridge, UK, 2014, pp. 240, ISBN: 978 0 5212 7965 9, AUD$ 37.59 (paperback) AUD$ 94.03 (hardcover).

Environmental Markets: A Property Rights Approach, by Terry L.Anderson and Gary D.Libecap. Published by Cambridge University Press, Cambridge, UK, 2014, pp. 240, ISBN: 978 0 5212 7965 9, AUD$ 37.59 (paperback) AUD$ 94.03 (hardcover).

Alpine Common Property Institutions under Change: Conditions for Successful and Unsuccessful Collective Action by Alpine Farmers in the Canton of Grisons, Switzerland

The protection and sustainable management of alpine summer pastures has been stated as a goal in Swiss national law since 1996, and direct payments from the state for summer pasturing have been tied to sustainability criteria since 2000. This reflects the increasing value of the alpine cultural landscape as a public good. However, provision of this public good remains in the hands of local farmers and their local common pool resource (CPR) institutions for managing alpine pastures. These institutions are increasingly struggling to maintain their institutional arrangements, particularly regarding the work needed to maintain the pastures. This paper examines two cases of local CPR institutions for managing alpine pastures in the Swiss Canton of Grisons that manifest different institutional developments in light of changing conditions. The differences in how these institutions reacted to change and the impacts this has had on the provision of the CPR are explained by focusing on relative prices, bargaining p...

The Impact of Taxes and HOA Fees on Single-Family Home Prices

This empirical study utilizes a hedonic pricing model and a large dataset to investigate how property taxes and homeowners association (HOA) fees were capitalized into the real price of single-family homes from 2002 through 2013 in Duval County, Northeast Florida. The findings suggest that the real price was negatively impacted by real city and county property taxes, but positively affected by membership in an HOA. These findings are consistent with earlier research and have implications for government policy makers, real estate developers and civic groups, both regionally and nationally.

Ten Strategies for Working With Your Home Owner Association to Convert to a Florida-Friendly Yard

Many homeowners are beginning to rethink their landscapes for several reasons, including mandated water and fertilizer restrictions, increasing maintenance costs, and concern for the environment. But over sixty million people now live in neighborhoods governed by Homeowner Associations, whose regulations can make it difficult to implement some changes by mandating types of plants, percentages of turf and plant material, location of plant materials, and restricting specialty gardens to back yards. More environmentally sound landscapes are possible with careful planning and design, and by using an educated and knowledgeable approach to working with the HOA board to gain approval for a new landscape. This 9-page fact sheet offers several strategies for working within HOA regulations to gain approval for a Florida-Friendly landscape. Written by Gail Hansen and Claire Lewis, and published by the UF Department of Environmental Horticulture, February 2015. (Photo credit: Florida-Friendly Landscaping™ Program) ENH1252/EP513: Ten Strategies for Working With Your Home Owner Association to Convert to a Florida-Friendly Yard (ufl.edu)

Social Aspects Of Managing Homeowner Associations

Abstract The article calls attention to homeowners associations (HOAs), which are becoming the dominant organizational form of housing development. It focuses on managing HOAs, especially on the social aspects and determinants of the process. The author claims that in order to understand how HOAs function, it is absolutely crucial to take social aspects under consideration. The members’ involvement, relations between the tenants and cultural norms influence the effectiveness of collective action. Those issues are especially important for professional property managers. The aim of the article is to present social aspects of managing HOAs in Poland. The article presents the results of a study on the social aspects of HOA activity. It examines and compares three organizational models of HOAs in Poland. One of them is self-managing, with an active board of the association that operates without external help; this model requires a high level of volunteer commitment. The second model represents HOAs jointly managed by the board and a professional property manager; this type is heterogeneous – the allocation of tasks and relations between the two players vary according to the level of the board's engagement. The last type represents a HOA that was not able to establish a board, thus its role is played by a professional property manager. In all three types, both organizational structures and management methods depend on the level of the homeowners’ engagement. The study indicates such engagement factors. HOAs are characterized by their typical operations, decision-making processes, information flow, the roles played by the board of the association and professional property manager, the level of volunteer commitment and neighborhood ties. The study also indicates satisfaction factors in terms of the property manager's service.

Conflict, Cooperation, and Institutional Change on the Commons

Rational choice scholarship posits two principal theories to explain why political institutions emerge and change: cooperation theory and conflict theory. We evaluate cooperation theory and conflict theory to explain the emergence of common property institutions among a group of Maasai pastoralists in southwestern Kenya. Our empirical results show that the change to common property is best explained by conflict theory.

Common property in the trust game: Experimental evidence from Bulgaria

The extent of human cooperation depends on the institutional arenas wherein people interact. Scholars from the Ostrom school have been particularly interested in how behavior in common property institutions differs from private property. Using a model of reciprocal motivations, I hypothesize that common property institutions elicit less cooperation than private property institutions in post-Communist Bulgaria. To investigate this hypothesis, this article reports on a series of experiments that examine the effects of common and private property in the trust game. The results indicate that common property institutions in Bulgaria elicit less cooperation than private property.

A Human-centered Credit-banking System for Convenient, Fair and Secure Carpooling Among Members of an Association

This paper proposes an unconventional carpool-matching system concept that is different from existing systems with four innovative operational features: (F1) The proposed matching system will be used by members of an association and sponsored by the association, e.g., the employees of a company, members of a homeowner association, employees of a shopping center. This expands the scope beyond commute trips. Such associations can also voluntarily form alliances to increase the number of possible carpool partners and geographical reach. (F2) Service provided by a driver or received by a rider incurs credit or debt to a bank centrally and fairly managed by the association, rather than to each other. This removes requirement for service reciprocation by the rider(s) of a carpool to the driver of a carpool and hence frees partners of a carpool from long-term commitment; it also removes requirement for payment. (F3) Together with new security-inspired real-time information technologies, the common affiliation with an association can significantly alleviate the insecurity factor. (F4) When a rider belongs to two such associations, e.g., employee and homeowner associations, a rider's trip can be completed with a transfer by two drivers, one from each association. The service-system concept was motivated by an exclusive focus on human needs for convenience, fairness, security and user-friendliness, to maximize the potential of carpooling. We report on a software prototype already developed to demonstrate (F1) and (F2) and also suggest future enhancements. We also illustrate the complexity of the mathematical problems with a brief specification of an optimal matching problem.

WHAT CAN CORPORATIONS TEACH GOVERNMENTS ABOUT DEMOCRATIC EQUALITY?

Democracies place great faith in the principle of one-person/one-vote. Business corporations and other private entities, in contrast, typically operate under the one-share/one-vote rule, allocating control in proportion to ownership. Why the difference? In times past, we might have cited the differing ends of public and private institutions. Whereas public democracies aim at promoting the general welfare of an entire political community, private entities aim at more specific goals, such as generating profits or managing a cooperative residence. As business entities have grown in size and in the range of services they provide, however, the distinction between public and private governance has grown blurry. Brooklyn’s Co-Op City, for instance, provides more than 50,000 shareholder-tenants with housing, utilities, stores, offices, schools, parks, security, and other services normally provided by a municipality. The largest homeowners association in the United States, Highlands Ranch, Colorado, provides over 30,000 homes and 90,000 residents with the functional equivalent of a whole town. Soon, entire “startup cities” may join residential cooperatives and homeowner associations in drawing their governing principles from private sources. How can private communities affirm the principles of democratic equality? By affording full protection to all rights holders, individuals and owners alike. The one-person/one-vote approach popular in political contexts works best at protecting the individual personal rights — freedoms of conscience, speech, and innumerable others — to which each of us has an equal claim. Corporate law’s one-share/one-vote rule works best at protecting the property rights of those who invest in a commonly owned community. This paper explains why a polity should offer both corrective and constructive democracy. Residents exercise corrective democracy in defense of their individual rights by submitting officials and laws to popular veto. Shareholders exercise constructive democracy in defense of their investments, choosing directors and managing polity governance. The result: a double democracy that combines the best features of public and private governance to give equal treatment to both the personal rights of individual residents and the property rights of shareholder owners. Respect for democratic equality demands nothing less.

Management Contracts and Home Owners Association Controlled Timeshare Resorts: Is There a Difference in Performance Metrics?

This study reviewed performance metrics for HOA controlled timeshare resorts. The study found no difference in occupancy rates between the three models. Self-managed resorts had improved performance metrics over resorts managed by management contracts in areas of maintenance fees costs, collection of maintenance fees, and reserve funds. However, self-managed resorts offered less assistance to owners in rental, resale and exchange programs, and had the lowest resale pricing. Some differences between management company types was found for metrics of foreclosure, special assessments maintenance fee increases, maintenance fee delinquencies, reserve fund expenditures, refurbishment and replacement processes, and rental programs.

Procedure to Derive Parameters for Stochastic Modelling of Outdoor Water use in Residential Estates

The outdoor water use of residential properties is a major contributor to the seasonal fluctuation of the overall water use of these properties. The outdoor water use components were mathematically defined and combined to develop an outdoor water use model. The parameters that formed part of the mathematical outdoor water use model were formulated from data available for residential estates, where conditions such as types of vegetation, irrigated area and size of pool could be prescribed a home owners association or local authority. The data used to populate the model parameters was derived from aerial photography and contingent valuation methods.