STR property under contract ... but it's in an HOA

[Sean Bramble]

Hey BP! Have a feeling I know what you all will say about this but thought I'd ask anyway. I've got an STR property under contract in the Shenandoah National Park area. Pencils out well return-wise, but the catch is it's in a small HOA of about 10 or so homes. Home is not currently an STR, and there are no STRs currently operating within the HOA. Lot is semi-secluded/ wooded, but there are neighbors close enough to see their properties. The HOA does allow STRs as of now, but I recognize that can change overnight, which would not only suck, but likely affect my ability to re-sell the property at the prices homes are selling at currently (basically limits you to primary home buyers instead of investors).

How do you all think about HOAs for your STR investments? Do you avoid them altogether?

For those of you who invest in HOAs, are there certain questions I should be asking/ things I should be looking for?

Any of you have HOA horror stories you'd be willing to share?

I have a feeling we might bail on this one, but definitely want to do my due diligence first

Thanks everyone!