HOA Fees Are Rising Nationwide: The Complete 2026 Guide for Homebuyers Considering HOA Communities in New Jersey, Pennsylvania, and Florida

Introduction: HOA Fees Are No Longer Optional for Many Buyers

For today’s homebuyers, especially those purchasing in suburban developments, planned communities, or newer construction neighborhoods, homeowners association (HOA) fees are quickly becoming a standard part of the cost of owning a home. What used to be associated primarily with condominiums or luxury communities is now appearing across a wide range of property types—including single-family homes, townhouses, and even some resale properties.

Recent housing market data from the National Association of Realtors shows that nearly 44% of active real estate listings now include HOA fees, representing a 10% increase since 2019. Housing economist Joel Berner notes that this increase reflects development trends from earlier in the decade, when builders constructed large numbers of amenity-rich communities requiring ongoing maintenance funded by residents.

For buyers today, that means HOA dues are no longer a niche expense—they’re becoming a mainstream financial factor that can significantly affect affordability, mortgage qualification, and long-term housing costs.

What Is an HOA Fee?

An HOA fee is a recurring monthly or quarterly payment required by a homeowners association to cover shared expenses within a community. These dues typically fund:

• Exterior maintenance

• Landscaping and snow removal

• Community amenities

• Private road maintenance

• Insurance for common areas

• Trash collection

• Security services

• Reserve funds for repairs

The exact services covered vary by association, which is why reviewing HOA documents before purchasing a property is critical.

Why HOA Fees Are Increasing in 2026

Several economic and structural forces are driving HOA fees higher across the U.S. housing market:

1. Insurance Premium Inflation

Property insurance costs have risen sharply nationwide, especially in states exposed to hurricanes, flooding, or wildfire risk. HOAs must carry master insurance policies, and higher premiums directly translate into higher dues for residents.

2. Construction and Labor Cost Increases

The cost of building materials, maintenance supplies, and skilled labor has climbed significantly since 2020. Routine repairs that once cost a few thousand dollars may now cost double, forcing associations to increase monthly assessments.

3. Reserve Funding Requirements

Many states now require HOAs to maintain adequate reserve funds to cover future repairs such as roofing, structural improvements, pavement replacement, and drainage systems. These regulations are designed to prevent surprise special assessments but often lead to gradual fee increases.

4. Amenity-Driven Development Trends

Modern housing developments frequently include:

• Clubhouses

• Pools

• Fitness centers

• Walking trails

• Security gates

• Parks

• Community landscaping

While these amenities increase property value and buyer appeal, they also create ongoing maintenance costs that must be funded through association dues.

Regional Breakdown: HOA Trends in NJ, PA, and FL

Understanding local market patterns is essential because HOA prevalence varies significantly by region.

New Jersey

HOA communities are expanding rapidly in suburban and commuter-friendly areas. Townhome developments and clustered single-family neighborhoods increasingly include association structures to manage shared infrastructure.

Pennsylvania

In Pennsylvania, HOA growth is strongest in new construction developments around growing suburban corridors. Builders often establish HOAs to maintain uniform neighborhood standards and protect property values.

Florida

Florida already has one of the highest concentrations of HOA communities in the country. Rising insurance premiums and stricter building reserve laws are causing association dues to increase faster than the national average, making HOA budgeting especially important for buyers relocating to the state.

How HOA Fees Affect Mortgage Approval

Many buyers don’t realize that lenders treat HOA dues the same way they treat any other recurring monthly debt obligation. That means they are included when calculating your debt-to-income ratio (DTI)—one of the most important factors in mortgage approval.

Higher HOA dues can:

• Reduce your maximum loan amount

• Lower your price range

• Increase required income to qualify

• Affect loan program eligibility

• Change underwriting risk evaluation

Even a modest HOA fee can significantly reduce purchasing power. For example, a few hundred dollars per month in association dues could reduce your loan qualification amount by tens of thousands of dollars depending on interest rate, loan type, and credit profile.

Hidden Costs Buyers Should Watch For

Not all HOA expenses appear in the advertised monthly fee. Buyers should also investigate:

• Pending special assessments

• Upcoming major repairs

• Reserve fund shortages

• Litigation involving the association

• Insurance coverage gaps

• Delinquency rates among residents

These factors can impact not only your monthly costs but also your ability to obtain financing, as some loan programs have strict HOA approval requirements.

Advantages of Buying in an HOA Community

Despite rising fees, many buyers intentionally seek HOA communities because they offer lifestyle and financial benefits, including:

• Maintained neighborhood appearance

• Higher property value stability

• Access to shared amenities

• Reduced exterior maintenance responsibility

• Community standards enforcement

• Enhanced neighborhood appeal for resale

For busy professionals, families, and retirees, these conveniences can outweigh the cost of monthly dues.

Disadvantages of HOA Communities

However, HOA living isn’t ideal for everyone. Potential drawbacks include:

• Monthly fees that may increase

• Rules governing property appearance

• Restrictions on rentals or renovations

• Approval requirements for exterior changes

• Potential fines for violations

Understanding these restrictions beforehand helps prevent buyer dissatisfaction after closing.

How To Evaluate an HOA Before Buying

Before purchasing a property with an HOA, buyers should review:

• HOA financial statements

• Reserve studies

• Governing documents

• Meeting minutes

• Special assessment history

• Insurance coverage

• Rules and restrictions

Mortgage professionals and real estate agents can often help obtain and review these documents during the transaction process.

HOA Fees vs Non-HOA Homes: Which Is Better?

There is no universal answer. The better choice depends on a buyer’s:

• Budget

• Lifestyle preferences

• Maintenance tolerance

• Investment goals

• Long-term housing plans

Some buyers prefer the structure and convenience of HOA communities, while others prefer full property control and fewer recurring costs.

The Future of HOA Housing Costs

Housing experts expect HOA fees to remain a growing component of homeownership costs over the next decade. As more new communities are built with shared infrastructure and amenities, association-governed housing will likely represent an even larger share of available listings.

That means future buyers who understand how HOA fees affect affordability, loan qualification, and long-term budgeting will have a major advantage when navigating the housing market.

Final Takeaway for Homebuyers

HOA fees are no longer a minor detail—they’re a central factor in today’s homebuying process. With nearly half of listings including them and costs trending upward, buyers who plan for HOA expenses early will be better positioned to qualify, negotiate, and purchase confidently.