4Plex with HOA Pros and Cons?

[Kenny Oliver]

Hi everyone been browsing for some 4plexes and noticed some have HOA fees.

I wanted to know if any of you guys have had any experience with purchasing a 4plex that has them.

How do you like it? What are the Pros and Cons? 

[Anthony Gayden]

Originally posted by @Ray Dipasupil:

A little odd that a 4-unit has HOA. How much sqft per unit? Sqft in total?

 Not at all uncommon in Phoenix. It usually looks like one single large apartment complex composed of 4 -unit buildings that is gated, shares parking, common areas, and sometimes has a pool.

Here is an example.

http://www.realtor.com/realestateandhomes-detail/2833-E-le-Marche-Ave_Phoenix_AZ_85032_M22535-23255

Notice that the HOA fees are $7740/year, or $645/month. Base rents are only $2595/month. Since I own a similar 4-plex without an HOA in the area, I know that the rents aren't much higher than for my non-gated 4-plex without a pool. I also know that my costs are far lower than the HOA fees.