If you decide to invest in a condo, townhome, or a home in a planned community, there’s a good chance that part of your ongoing expenses are Homeowners Association (HOA) fees. Landlords need to learn which responsibilities are beyond their control and which fall under their property management duties.
HOA dues shape everything from your building's maintenance standards to how quickly repairs are handled. It may also come up during tenant inquiries and interviews, and you are expected to have the answers. Here's a closer look at what San Diego HOA fees typically include.
Key Highlights:
- HOA fees typically cover shared spaces, not individual units. Exterior building maintenance, landscaping, trash/recycling, and sometimes water and sewer are usually rolled into the monthly dues.
- Amenities are often the biggest draw for tenants. Pools, fitness centers, and other community perks are funded by HOA fees and can be a strong selling point when marketing a rental.
- Security and gated access come standard in many communities. Gate attendants, patrols, and camera systems are commonly included, especially in denser San Diego neighborhoods.
- Landlords still carry separate responsibilities. Interior repairs, personal utilities, and landlord insurance fall outside the HOA's coverage and remain the property owner's job.
- Landlords usually pay the HOA fee, then factor it into rent. Understanding what's included helps set a fair rent and market the property's amenities effectively to prospective tenants.
Common Services Covered by HOA Fees
These are the basic, likely aspects covered by HOA fees, but many associations also offer extensive coverage.
Exterior Building Maintenance
One of the biggest expenses HOA fees cover is shared exterior spaces and structures, which typically includes roof repairs, exterior paint, and general structural upkeep. If the property is in a coastal area, salt air and sun exposure can take a toll on buildings, and ongoing maintenance for this is expected.
Landscaping and Common Grounds
Curb appeal is important for both landlords and tenants. San Diego’s mild climate makes it easier to keep a lush landscape year-round, but the HOA still requires funds for regular landscaping. Fees will cover trimming, irrigation system maintenance, and seasonal plantings in shared courtyards, walkways, and entry areas
Trash, Recycling, and Utilities
Many rental properties with HOAs bundle trash and recycling pickup into their dues, especially for condo and townhome communities where it’s more practical than individual curbside service. Some will also cover water and sewer costs for the entire complex, adding utility expenses into the monthly fee.
Amenities
This is the most obvious and the category that tenants mostly ask about. Communities under HOA management in the San Diego area often provide desirable perks, such as swimming pools, fitness centers, and other community amenities. The HOA fees will cover cleaning, insurance, and staffing, if needed.
Security and Gated Access
Gated communities or larger condo complexes will need funding for security services. That can include gate attendants, security patrols, camera systems, and access systems. It can depend on the area's density, but most tenants are happy to pay HOA fees for extra security around the premises.
Reserve Funds for Major Repairs
Like standalone rental properties, HOA-backed properties also require major repairs, such as roof replacement, repaving parking lots, or replacing elevators. Ask whether they maintain cash reserves or typically levy one-time fees on owners. A poorly funded reserve can disrupt both you and your renters.
What Do Landlords Still Need to Cover?
As mentioned, not everything is under the HOA’s purview. It’s useful to know which responsibilities fall under the landlord to avoid being negligent and causing issues among your renters.
Interior Maintenance and Repairs
You will be in charge of property upkeep within the rental unit, including electrical, HVAC, and plumbing systems, as well as appliances and other features that come with the rental. Your renters will have to coordinate with you for maintenance requests and not the HOA.
Personal Utilities
Electricity and gas are often billed separately from your HOA fees, and, depending on the arrangement, water and trash management may be as well. You will have to determine whether your renter will pay the utility bills themselves or include them in their rental rate.
Landlord Insurance
It’s still recommended that you purchase landlord insurance even if the HOA has a master policy, since the latter only covers shared spaces, the building exterior, and other common elements that all residents share. Landlord insurance can protect you from interior damage, personal liability, and lost rent.
Who Pays the HOA Fees?
In nearly all cases, landlords are responsible for paying HOA dues. However, it is just as common for property owners to charge an amount as part of the rent to cover those fees.
This can be difficult for some landlords, since the rental economics will differ from those of properties that aren’t under an HOA. You will need to charge a higher rent to cover the additional fees, although renters are typically willing to pay extra for access to certain amenities and services.
HOA Fees FAQs
Do tenants pay HOA fees directly?
- No. In nearly all cases, the property owner pays HOA dues. Landlords typically build this cost into the monthly rent rather than billing tenants separately.
What's the difference between the HOA's master insurance policy and landlord insurance?
- The HOA's master policy covers shared spaces and the building exterior. Landlord insurance is still necessary to protect against interior damage, personal liability, and lost rental income.
Are utilities included in HOA fees?
- It depends on the community. Some HOAs bundle water, sewer, trash, and recycling into the monthly dues, while others leave these as separate costs for the landlord or tenant to cover.
Can HOA fees affect how much rent I can charge?
- Yes. Higher HOA fees usually mean higher rent to offset the cost, but strong amenities and services funded by those fees can also make the property more attractive, helping justify the higher rate.
A Matter of Marketing Your Property Right
HOA fees mean that your rent price will be higher than similar properties in the area that aren’t governed by a private organization. That means you have to be smart about how you market your rental property to show potential renters what features and services they can benefit from.
Here at Harland Property Management, we know how to frame your rental listing right to ensure that renters know exactly what they will get. We will also ensure that all maintenance needs not handled by the HOA are still taken care of.
Reach out to us, and let’s make an arrangement that works for you!
More Resources:
What Are Tenant Placement Services and How Can Landlords Benefit?
Main Reasons Tenants Break Their Lease and How to Prevent Them
