Share of 2017 New Single-Family Houses in a Homeowners’ Association

By Otto Ackermann on August 1, 2018 • (0)

According to data from the Census Bureau’s Survey of Construction (SOC), the share of completed new homes administered by homeowners’ associations varies by region, ranging from 68% in the West to 29% in the Northeast. The Census Bureau defines community or homeowners’ associations as “formal legal entities created to maintain common areas of a development and to enforce private deed restrictions; these organizations are usually created when the development is built, and membership is mandatory.”

Nationally, 61% of new single-family houses completed were in a HOA, up from 46% in 2009. There has been a 2% increase since 2016, when 59% of new single-family houses completed were administered by a homeowners’ association. The South (67%) and West (68%) outpace the national average, while the Midwest (47%) and Northeast (29%) are below the national average. The national average has seen a 15% increase in the past 8 years, while the Northeast has only increased 2%.In the Northeast, there were 59,000 new single-family houses completed in 2017. Only 29% (17,000) of those houses are regulated by a homeowners’ association. This is a 2% rise in the percentage of new houses completed in a homeowners’ association since 2009, where 27% (14,000) of the 54,000 houses completed were regulated by homeowners’ associations.In the Midwest, there were 121,000 new single-family houses completed in 2017. 47% (57,000) of those completed houses are administered by a homeowners’ association. This is up 12% from the rate in 2009 (35%). In 2009, 89,000 houses were completed, where 35% (31,000) were administered by homeowners’ associations.
In the South, the largest region in terms of new single-family house production, 435,000 houses were completed in 2017. 67% (291,000) of these houses are within a homeowners’ association. Back in 2009, only 53% (138,000) of the 259,000 houses built were regulated by homeowners’ associations. The South has seen a 14% increase in new single-family houses completed administered by homeowners’ associations in the past 8 years.In the West, 180,000 new single-family houses were completed in 2017. 68% (123,000) of these houses are administered by homeowners’ associations. This rate is up 19% from 2009, when only 49% (58,000) of the 118,000 were in a homeowners’ association. The West has had the largest growth in the share of new single-family houses completed that are administered by a homeowners’ association.