The US gated community has evolved to suit a variety of budgets, lifestyles and needs. Those communities are still common, but they are not just a paradise for retirees or super wealthy people.
Florida and California have the most gated communities for the weather and space. Retireers, in particular, chose Florida in the 1970s due to low taxes.
CNBC toured three gated communities in Palm Beach County, Florida. Lindsay Tronone, a real estate agent for the Jupiter Group of Compass, promotes advertising amenities in the most desirable areas, such as golf access, water access and ‘concierge-style living.’
“The market for gated communities with these top amenities is changing,” she said.
Security remains an important and desirable feature, but less emphasis is given in the US than in other countries with a higher rate of violent crime. Some gates in the United States are manned, while others are not.
“We are pleased to announce that we are committed to providing a range of services to our customers,” said Peter Dennehy, Senior Vice President of Consulting at John Burns Research and Consulting.
Gate communities usually have a homeowner’s association that collects fees and enforces rules. There may also be additional membership fees for using the facility. On average, housing in gated communities is 5% to 10% higher than similar homes in the same area, or 10% to 20% higher in some of the most desirable cities.
HOA fees for the three communities visited are ranged according to maintenance and amenities. The first community, Bay Reach, costs between $500 and $800 per month. The second PGA National requires a membership fee of between $76 and $950 per month, in addition to $915 per year. The third French Reserve seeks between $2,770 and $5,050 per quarter. This does not include membership fees.
However, these houses also tend to have a higher rating rate.
“All HOAs are different, but with the popular ones that have been maintained, that’s why people keep coming back. So the houses are selling out of the market right away,” Tronone said.
Watch this video.
