What type of investment typically benefits from having a homeowners' association?

Planned unit developments (PUDs) are residential communities designed to provide a range of housing types and amenities while maintaining a cohesive neighborhood aesthetic and community standards. Homeowners' associations (HOAs) play a crucial role in PUDs, offering a framework for the management of common areas, enforcement of community rules, architectural controls, and neighborhood maintenance.

The presence of an HOA in a PUD helps ensure that property values are preserved by maintaining shared spaces, landscaping, amenities like pools or parks, and enforcing guidelines that keep the community visually appealing and orderly. This can enhance the overall living experience for residents and provide a structured environment that promotes community involvement and a sense of belonging.

In contrast, single-family homes may or may not be part of an HOA, and their management can vary widely based on individual ownership. Commercial properties typically have different governing structures and do not rely on an HOA for residential community management. Vacant lots also do not benefit from an HOA, as they do not have a community framework to manage or enforce standards until developed. Thus, planned unit developments are uniquely positioned to leverage the benefits provided by homeowners' associations.