The Villages continues to buy property in Sumter County, including 2,195 acres between State Road 44 and Florida’s Turnpike.

The Villages Land Co. paid $25 million for the property envisioned by its previous owners as a development with single and multi-family homes and places for businesses, according to county and Wildwood officials.

The retirement community purchased the property from Darrell Carter, trustee for Carter-Sumter Highway 468 Land Trust, according to the property appraiser’s office.

Previous owners had gone through the extensive state planning process known as Development of Regional Impact earlier this decade. Southern Oaks, as it was to be called, was approved for a total of 1,214 single-family homes to be built in various phases of the project. It was also approved for 1,525 townhomes, apartments or condos. It also included 300 beds for an adult congregate care living facility, 405 apartments, 190,000 square feet of commercial and 2,685 for a business park.

It was approved by the city of Wildwood in 2012. If there are any changes to the plan, the developers will have to come before the city for approval, said Melanie Peavy, development services director.

So far, The Villages has not submitted any plans, she said.

The director of marketing for The Villages could not be reached for comment.

The Villages is already adding homes to its vast development in Sumter. Wildwood recently permitted 300 homes in the Brownwood area and another 450 homes in a non-age restricted development. The company is also permitted for 3,000 homes near Coleman.

SHABBAT SERVICES: At 10 a.m. every Saturday at the Chabad House – Center for Jewish Life and Learning, 13030 County Road 103 in Oxford. Call 352-330-4466 or email info@jewishmarion.org. Go to www.ourchabad.org.
YARD SALE: From 8 a.m. to noon at Christ United Methodist Church, 1313 Griffin Road in Leesburg. Longaberger baskets, Vera Bradley items, household items and jewelry.
DISCOVER YOUR MINISTRY: From 9 a.m. to 2 p.m. at Fairway Christian Church, 251 Avenida Los Angelos in The Villages. find a ministry that will benefit from your talents and spiritual gifts. Lunch is provided. Register at the church or call 352-259-9305.

SUNDAY

GRIEF SUPPORT GROUP: From 3 to 5 p.m. at First Presbyterian Eustis, 117 S. Center St. GriefShare meets every Sunday to help people face challenges and move toward rebuilding their lives. Go to www.fpceustis.com.
BIBLE STUDY AND FELLOWSHIP: For Mercy Church at 10 a.m. the first and third Sunday of the month at the home of Pastor Joe Tassell in Mount Dora. Go to www.mercychurchfl.org.

MONDAY

GRIEFSHARE MEETING: From 2 to 4 p.m. every Monday through April 3 in Classroom C-D at Fairway Christian Church, 251 Avenida Los Angelos in The Villages.
GRIEFSHARE GROUP: At 3:30 p.m. every Monday at the First United Church of Tavares, 600 W. Ianthe St. Cost is $15 for workbook. Call 352-308-8229 to register.
TOASTMASTERS MEETING: From 7 to 8:30 p.m. every Monday at FaithPoint Church, 290 Citrus Tower Blvd., Suite 200 in Clermont. Call 352-234-6495.
CROHN'S AND COLITIS SUPPORT GROUP: From 7 to 9:30 p.m. every third Monday of odd-numbered months at New Life Presbyterian Church, 201 La Vista St. in Fruitland Park. Call 248-840-7805.

TUESDAY

RE-CREATION PERFORMS: At 6 p.m. at the United Methodist Activity Center, 600 West Ianthe St. in Tavares. Free. Call 352-343-2761 or go to www.re-creationusa.org.

WEDNESDAY

NIGHT BIBLE STUDY: From 6:30 to 7:30 p.m. every Wednesday through Jan. 25 at Fairway Christian Church, 251 Avenida Los Angelos in The Villages. Choose from two programs. Go to www.fairwaycc.org.
MEN'S BIBLE STUDY: From 8 to 9 a.m. every Wednesday through Feb. 22 at Fairway Christian Church, 251 Avenida Los Angelos in The Villages. “The Rocks Cry Out." All men welcome to attend. Go to www.fairwaycc.org.
ESSENTIAL TREMOR SUPPORT GROUP: At 2 p.m. at the St. Timothy Ministry Building, 1351 Paige Place in Lady Lake. Call 787-3866 or email kstaylor62@usa2net.net.
INTERFAITH PRAYER SERVICE: At 6:30 p.m. at St. Timothy Catholic Church, 1351 Paige Place in Lady Lake.

THURSDAY

CHRISTIAN CHORUS REHEARSALS: From 3 to 5:30 p.m. every Thursday through March 30 at Community United Methodist Church in Fruitland Park. Spring concerts are April 6 and 9. Contact Robbie Milam at robbiemilammusicman@gmaill.com.

FRIDAY

MOVIE NIGHT: From 9 a.m. to 2 p.m. at Fairway Christian Church, 251 Avenida Los Angelos in The Villages. Free. Showing "Do You Believe."
SHABBAT EXPERIENCE FOR BEGINNERS: At 7 p.m. at the Chabad House – Center for Jewish Life and Learning, 13030 County Road 103 in Oxford. Call 352-330-4466 or email info@jewishmarion.org. Go to www.ourchabad.org.

SATURDAY JAN. 21

WOMEN'S DAY OF PAMPERING AND SPIRITUAL INSPIRATION: From 10 a.m. to 2 p.m. at Lake Panasoffkee Community Center, 52 County Road 527 N. With guest speakers, workshops, vendors and lunch. Call 352-748-0625 after 5:30 p.m.
WATOTO CONCERT: At 6 p.m. at St. Philip Lutheran Church Family Life Center, 1050 Boyd Drive in Mount Dora. Concert is free but love offering will be accepted. Call 352-357-7010.

SUNDAY, JAN. 22

BLOOD DRIVE: From 9 a.m. to 1:30 p.m. at Fairway Christian Church, 251 Avenida Los Angelos in The Villages. All donors will receive a Free movie ticket and a wellness checkup. Make an appointment online at www.oneblooddonor.org and use sponsor code #30280. Walk ins welcome.
DIGGLES FAMILY ON CONCERT: At 6 p.m. at Fairway Christian Church, 251 Avenida Los Angelos in The Villages. Free admission but a love offering will be accepted. Call 352-259-9305 or go to www.fairwaycc.org.

SATURDAY, JAN. 28

ALL ABOUT FAIRWAY CLASS: From 9 a.m. to 2 p.m. at Fairway Christian Church, 251 Avenida Los Angelos in The Villages. Lunch provided. Find out what the church is all about. Register at the church or call 352-259-9305.

WEDNESDAY, FEB. 1

SUMTER MINISTERIAL ASSOCIATION: Meets on the first Wednesday of every month at 7:30 p.m. at the Oxford Assembly of God, U.S. Highway 301 in Oxford. Call 352-748-6124 or email to oxfordassembly@embarq.mail.com.

SATURDAY, FEB. 4 AND SUNDAY, FEB. 5

STAINED GLASS TOURS: From 9 a.m. to 4:30 p.m. on Saturday and from 12:30 to 4:30 p.m. on Sunday at the First United Methodist Church of Mount Dora, 439 E. Fifth Ave. Pies will be sold Saturday. Go to www.mtdorafumc.org.

SUNDAY, FEB. 13

REAL WOMEN OF JESUS: From 6:30 to 8:30 p.m. on the second Monday each month at theCross Mount Dora, 18800 U.S. Highway 441. Childcare is available from 6 to 8:30 p.m.
REAL MEN OF JESUS: From 6 to 9 p.m. at theCross Mount Dora, 18800 U.S. Highway 441. This group typically meets on the second Monday each month and will also be doing service projects throughout the year. Email jgranger@ridgeoutdoors.com.

SUNDAY, FEB. 19

HOE DOWN: From 4 to 8 p.m. at Good News Church, 400 Executive Blvd. in Leesburg. With face painting, bounce houses, food and dancing. Go to goodnewschurchcf.org.

The new 20-acre property will include a full-service emergency department, outpatient imaging, laboratory services and medical offices. It will be located 13 miles north of the hospital's main campus in Clermont at 22316 US Highway 27 in Leesburg, just south of the north Turnpike entrance.

The event marked the start of a major three-site expansion project announced in early 2016. The hospital is planning a second freestanding emergency department in the Four Corners area and will also significantly expand the emergency department on its main campus in Clermont.

John Moore, president of South Lake Hospital, Susan McLean, South Lake Hospital Board of Directors chairwoman and an Orlando Health Leadership representative spoke at the event.

South Lake Hospital, in affiliation with Orlando Health, is a not-for-profit health care organization.

V.R.E. Leesburg, a company out of Southlake, Texas, purchased the site at 9934 U.S. Highway 441 from Jerry W. and Babette Ward in October for $735,000, according to the Lake County Property Appraiser’s website.

The first thing the new owners did was bulldoze a large metal building on the property, which was the original home of Babette’s Furniture.

The owners could not be reached to see when the restaurant will open, but construction has progressed rapidly since the old building has been knocked down.

Glen Bell opened the first Taco Bell in 1962 in Downey, Calif. Like other successful chains, he sold franchises. Bell started out with a drive-in restaurant in California in 1954. In 1978 he sold 868 restaurants to PepsiCo, according to the company’s website. The soft-drink maker spun off the fast-food company in 1997 in what became known as Yum! Brands, Inc. Based in Louisville, Ky., it boasts nearly 43,000 restaurants in 135 countries and territories and owns the brands KFC, Pizza Hut and Taco Bell.

His search has been stymied by a stubbornly low roster of homes on the market and the hurdles that come with it: multiple competing bids and higher prices.

"It's not a great market, from a buyer's perspective," said Lowenstein, a lawyer. "The one good thing is that interest rates were quite low."

As recently as this summer, homebuyers had ultra low mortgage rates on their side. Good news for any borrower, but especially for those in expensive housing markets like Los Angeles, Boston and Seattle.

But that was then. While mortgage rates remain low by historical standards, they've risen sharply over the past couple of months, pushing the average rate on a 30-year, fixed-rate mortgage to 4.32 percent the last week in December. That's was the highest level since April 2014 and well above the year's average of 3.65 percent.

Economists predict mortgage rates will continue to climb this year, just one of the trends that suggest 2017 could be a more challenging year for homebuyers.

"With higher mortgage rates, you're increasing the cost, challenging the budgets, challenging the ability to qualify and, as a result, likely reducing somewhat the pool of potential buyers," said Jonathan Smoke, chief economist for Realtor.com.

So far, the rate increases have not begun to worry Lowenstein, who is in the market for a house with at least three bedrooms in L.A.'s affluent west side. His budget: Between $1.6 million and $1.8 million.

"We're not priced out yet," Lowenstein said. "But if it goes up to 5 percent or 6 percent, at some point we would be."

Long-term mortgage rates tend to track the yield on the 10-year U.S. Treasury note. The yield goes down when investors bid up bond prices, as they did following last summer's vote in Britain to exit the European Union. The move sent long-term mortgage rates tumbling as low as 3.41 percent.

The reverse happened after Election Day. Investors bet that a Republican-controlled White House and Congress will have a clear path to implement policies that will drive inflation and interest rates higher. A sell-off in U.S. bonds drove the yield on the 10-year Treasury note to the highest level in more than two years. Mortgage rates have been inching higher ever since.

But will they continue to do so? Smoke predicts mortgage rates will reach 4.5 percent in 2017. Other economists expect rates to remain above 4 percent but not go beyond 5 percent next year.

That range would mean low mortgage rates compared with the last decade. Average long-term mortgage rates were above 6 percent during the height of the last housing boom, and they hadn't hit 5 percent before 2008.

So someone looking to buy a home in the next few months doesn't need to panic, said Svenja Gudell, chief economist at Zillow, a real estate information company.

"My advice to buyers would be to not freak out and feel a sense of urgency," she said. "If you aren't able to buy a house at 4.5 percent, you probably weren't able to buy a house at 4 percent."

The stakes are a bit higher for buyers in expensive markets, where housing can eat up a much larger share of household income.

Higher mortgage rates could have one silver lining: As some buyers are priced out, sellers may have to be more flexible on prices. Over time, that could help stem home prices.

Low inventory and strong demand helped push prices higher in 2016 at the fastest pace in 10 years, according to an analysis by Zillow. The company predicts that U.S. home prices will increase about 3 percent in 2017, down from a gain of about 6.5 percent this year.

Declining affordability is one reason the National Association of Realtors predicts that U.S. homes sales will rise 2 percent. Compare that to the 15 percent increase in sales through the first 11 months of 2016.

Even buyers who can weather higher mortgage rates may have to brace for a long home search.

The inventory of homes for sale is expected to be tighter in 2017 than in 2016. While it varies by market, nationally, fewer than 1.9 million homes were on the market in November, down 9 percent from a year earlier, according to the NAR.

Homebuilders are not building enough homes to make up for the shortage, citing a lack of ready-to-build land, labor shortages and rising building materials costs.

Homebuyers can also expect to face more competition in 2017 as millennials continue to move from renting to homeownership, particularly in more affordable markets in the Midwest and South.

First-time buyers accounted for roughly 32 percent of home purchases through the first 11 months of 2016, up from 30 percent in the same period a year earlier, according to the NAR.

Affordability remains a hurdle for many first-time buyers, but qualifying for financing may get a bit more accessible in 2017.

Fannie Mae and Freddie Mac increased the limit of the mortgages they will buy from lenders this year. Banks may also have an incentive to loosen lending standards if rising mortgage rates continue to dampen demand for mortgage refinancing.

Advice to buyers

If mortgage rates continue to climb, there are moves that would-be homebuyers can make to better offset some of the higher borrowing costs.

Consider lowering the interest rate by paying a fee to the lender up front, something known as buying down the interest rate. Or go with an adjustable-rate mortgage, which has a low, fixed-interest rate for a few years, typically five or 10, then adjusts to a higher rate.

Another move: Ask the seller to pay the buyer's closing costs. That can free up more cash for buyers to manage the higher borrowing costs.

Copyright © 2017 The Journal Gazette

The number of available homes with less than 1,800 square feet has continued to decrease, reaching a new low of 16 percent, according to a recent report by Drew Reading, U.S. homebuilding analyst at Bloomberg Intelligence.

More builders realize that inventories need to be higher, and that the demand is there. However, they've been slow to deliver due to rapidly rising land and regulatory costs that have made building entry-level homes less lucrative to their business. Indeed, regulation costs have risen 30 percent since 2011, according to data from the National Association of Home Builders. Those rising costs have been passed on to not only the builder but home buyers too.

Still, more builders are finding a way to eke out more business in the entry-level market in 2017. Townhome construction has soared to an all-time high, increasing 29 percent as builders turn to it more to counter high land costs as well as meet the community preferences of entry-level buyers.

Further, builder giants are devoting more of their market shares to the entry-level sector. D.R. Horton has been offering Express Homes to expand its reach into the market. Twenty-seven percent of its total homes sold in 2016 were from its Express Homes.

Lennar also is targeting more affordable markets with greater entry-level homes and floor plan options. It hopes to focus more than a quarter of its sales on that sector in 2017.

Pulte neared the 30 percent mark in 2016 for closings to first-time buyers. Meritage is going even bolder in trying to capture the market: Setting a target goal of 40 percent sales closings to entry-level buyers for 2017.

The majority of entry-level buyers are millennials. Their incomes are on the rise so homeownership may be more within reach. In the past, their incomes were only rising about 1.6 percent but are now topping 5.5 percent. Mortgage lending standards are easing somewhat to help more first-time borrowers get approved for a loan too.

Source: "Top Builders' Unique Strategies to Capture Entry-Level Buyers," HIVE (Jan. 4, 2017)

© Copyright 2017 INFORMATION, INC. Bethesda, MD (301) 215-4688

You might think you have airtight insurance protection against storms, car accidents and other mishaps. But you'd hate to discover hidden cracks in your coverage once it's too late.

Here are five insurance problems you might not be as prepared for as you think – and how to plug the coverage gap.

1. No flood insurance

Flooding has occurred in every state in the country over the past five years, according to the Federal Emergency Management Agency. Yet only 12 percent of homeowners nationwide carry flood coverage, an Insurance Information Institute poll found.

Homeowners insurance doesn't cover flooding; you'll need a separate policy. You can find local agents through the National Flood Insurance Program. You can also ask your home insurer for help starting a policy through the federal program, or whether there are companies in your state that offer private flood insurance.

There's a 30-day waiting period before coverage kicks in, so get flood insurance squared away well ahead of coming storms.

2. No way to pay off a lease or loan on a totaled car

Gap insurance helps you avoid owing money on a car loan or lease even if your vehicle has been totaled or stolen. Along with comprehensive and collision coverage, gap insurance is a smart addition if you lease or finance a car.

Say you lease a $20,000 car at payments of $400 a month. Five months later, your car is totaled in an accident. If the car's value has dropped to $15,000, that's the amount your collision claim check will be, minus your deductible. That won't be enough to cover the $18,000 left on your lease.

This is where gap insurance kicks in. It makes up the difference between what your car is worth when it's stolen or totaled and how much you owe on a car loan or lease.

You can buy gap insurance from the car dealership or your lender. Or you can go through your car insurance company – which is typically cheaper unless you want gap coverage for several years.

3. No plan for sewage backups

You may not realize that you're responsible for the sewer line that runs from the main pipeline in the street to your house. Yet standard home insurance typically doesn't cover backups in this part of the line. Enter sewer backup coverage. It pays for cleanup and repairs from spewed sewage in your house.

Sewer backup coverage is relatively affordable — $40 to $50 a year, according to the Insurance Information Institute . Talk to your home insurer about adding this kind of coverage.

4. No income after a disability

Among 20-year-olds, more than 1 in 4 will suffer a disability before retirement age, according to the Social Security Administration. If you aren't able to work because of an illness or accident, you need a plan to pay the bills.

Social Security disability insurance is available only to people with long-term disabilities lasting at least one year. Some employers offer short-term disability insurance, but it isn't as common as you might think. Just 38 percent of workers have access to short-term disability insurance through their employers, according to the Bureau of Labor Statistics.

You don't have to rely on your workplace for coverage. Individual disability insurance is available from several insurers, such as State Farm, MetLife and Mutual of Omaha. If your employer doesn't offer short-term disability insurance, or your current benefits fall far short of replacing your full salary, look into getting a policy elsewhere.

5. No financial safety net for earthquakes

Most homeowners, even those who live in high-risk areas, go without earthquake insurance. They risk financial ruin if their homes and belongings are destroyed. Only 10 percent of California residents have earthquake insurance, and 14 percent of people in western states, according to the Insurance Information Institute.

Standard homeowners insurance won't pay to fix damage caused by earthquakes. Home insurers might offer earthquake coverage as a policy add-on for an extra cost – and in California they're required to. Or you might need to look for stand-alone earthquake insurance.

Californians can shop for a policy through the California Earthquake Authority. For those living in other states, ask your home insurer or agent for help finding companies that sell earthquake coverage, or check your state's department of insurance website.

This article was provided to The Associated Press by the personal finance website NerdWallet; and staff writer Alex Glenn.

Copyright © 2017 The Associated Press, Alex Glenn, NerdWallet. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

"We expect homeownership to return to favor, likely in the form of entry-level condos that offer the same amenities many urban apartment dwellers prefer," says John Affleck, a research strategist for the CoStar Group.

Apartment market experts are searching the statistics for a clue on when that might happen. For example, they're taking note of how many residents are renewing leases when their terms expire. The rate is currently 52 percent.

"That figure has been trending upward year-over-year ever since the middle of 2012," says Greg Willett, chief economist for Real Page Inc. and MPF Research. "Apartment residents are moving around less than they used to, so apartment owners and operators don't have to lease as many units to keep occupancy stable."

A shortage of homes for-sale, along with higher interest rates, likely will prolong the cycle for renter demand, says Affleck.

"Developers have remained focused on for-rent properties, and have yet to switch to condos or single-family for-sale homes," Affleck says.

Ninety-two percent of the multifamily housing starts in the third quarter were being built as rental apartments, according to the National Association of Home Builders (NAHB), but "I expect additional growth in the condo market," says NAHB chief economist Robert Dietz.

In the second quarter of 2016, condominium completions totaled 2,800, which is basically unchanged from the second quarter of 2015. That said, the condo absorption rate is up slightly from 63 percent in the second quarter of 2015 to 66 percent in the second quarter of 2016, according to NAHB.

"The for-sale market and the single-family rental space will start posing more of a challenge to apartment operators as we move forward," says Jay Denton, senior vice president of analytics for Axiometrics.

Source: "Are Apartment Renters Ready to Own?" National Real Estate Investor (Jan. 3, 2017)

© Copyright 2017 INFORMATION, INC. Bethesda, MD (301) 215-4688

"While positive developments on the demand side will support solid growth in the single-family housing sector in 2017, builders in many markets continue to face supply-side constraints led by the three 'Ls' – lots, labor and lending," said NAHB Chief Economist Robert Dietz.

He said that 64 percent of builders nationwide report low or very-low lot supplies; the rate of unfilled jobs in the construction sector is now higher; and acquisition, development and construction loans for builders – while on the rise – needs to grow faster to meet demand.

"The industry needs to recruit more workers and get more land in the pipeline, but it will take time," Dietz said.

However, supply-side challenges are more than offset by continued economic growth, ongoing job creation, rising wages and favorable demographics. Moreover, builder confidence is higher because builders expect the incoming Trump administration to help to lower regulatory costs.

"Regulatory requirements make up nearly 25 percent of the cost of a new home," said Dietz. "Given those constraints, it is hard to build a $200,000 entry-level house."

In a sign that more millennials are getting off the sidelines and jumping into the market, Dietz noted that townhome construction, which can be a useful bridge for millennials to transition to homeownership, is showing impressive growth and now constitutes 12 percent of all single-family starts.

Solid outlook

• NAHB expects mortgage interest rates to average 4.5 percent in 2017 and 5.3 percent in 2018.
• NAHB projects 1.16 million total housing starts in 2016, up 4.9 percent from the previous year's total of 1.11 million units.
• Single-family production is expected to rise 10 percent in 2017 to 855,000 units and increase an additional 12 percent to 961,000 next year.
• Using the 2000-2003 period as a benchmark for normal housing activity when single-family production averaged 1.3 million units annually, single-family starts are expected to steadily rise from 56 percent of "a typical market" in third quarter 2016 to 75 percent of normal by fourth quarter 2018.
• On the multifamily front, NAHB expects multifamily starts to hold steady in 2017 at 384,000 units, which would be 1,000 units above last year's pace. While this level is slightly above trend, Dietz said the pace is sustainable due to demographics and a balance between supply and demand.
• Residential remodeling activity is expected to register a 1 percent gain this year over 2016.

Affordability and demographics

CoreLogic Chief Economist Frank Nothaft expects mortgage rates to rise and home prices to moderate in the coming year.

"We anticipate that a stronger economy will translate into higher mortgage rates," said Nothaft. "Meanwhile, we expect moderation in 2017 for rent and home price growth, but it will still be higher than inflation (thanks to) tight inventory in the housing market." He said home purchase originations should rise 5.7 percent in 2017, and credit risk for home loans is substantially lower than 10-15 years ago.

The biggest housing issue in 2017 will be affordability, Nothaft said. "Mortgage rates are up three-quarters of a point since last summer and house prices are up. That starts to pinch a household budget."

On the flip side, demographics will be very positive for housing and home sales going forward. "As millennials age from 25-to-30, that is a big potential base to expand the home buyer market," said Nothaft.

Supply and demand

David Berson, chief economist for Nationwide Mutual Insurance Co., also expects mortgage rates to rise in the coming year, but he said it shouldn't have a negative impact on housing demand.

"Higher mortgage rates will be offset by stronger wage gains and job growth, which suggests that housing demand will increase this year," said Berson. "The question is, how much will supply go up?" He said most U.S. metro areas are relatively healthy, marked by solid job growth, mortgage delinquencies down to near-normal levels and strong, but not excessive house price gains.

A major concern going into 2017, he said, is that demand will exceed supply, which puts upward pressure on home prices.

"If there aren't enough homes on the market, that will be a problem," said Berson. "Price gains need to moderate. We can't have six, seven or eight percent gains. That is not sustainable." That situation could downgrade many markets from "healthy" to "neutral."

© 2017 Florida Realtors

"A reasonable HOA is like heaven," says Bruce Ailion, a real estate pro and attorney for RE/MAX Town and Country in Atlanta.

In the past, Ailion says he represented a builder of family homes that had no restrictive covenants in place and, he says, the community looked like an eyesore two years later. A nearby community, on the other hand, that did have an HOA with restrictive covenants was thriving. "Those properties looked like new, and year after year the gap in price between the two communities has grown," he says.

However, some CC&Rs may have a few rules that buyers find too restrictive. That's why it's important to know what they are before they ink the deal.

Some common restrictive covenants may include permissible colors for exterior house paint, minimum property and landscaping standards, types of window treatments allowed, restrictions on vehicle storage or recreational vehicle parking, among others.

After buyers submit an offer to purchase a home, they're entitled to receive and review the CC&R for the neighborhood, often within a certain number of days.

Restrictive covenants can be changed, but they must be contested, and it requires a majority vote by the neighborhood members of the HOA.

"Yes, restrictive covenants keep the appearance of the property up and can prevent eyesores such as wrecked cars, unkempt lawns and oddball home colors," Ailion says. But some CC&Rs, he admits, can seem too restrictive and infringe on some rights of residents.

For example, in Keizer, Ore., an HOA would not permit a family to park an RV in their driveway that they needed to transport their disabled child. The family sued and arguing that the HOA rule violates the Fair Housing Act.

Source: "What Are Restrictive Covenants? Read These Rules Before You Buy," realtor.com® (Jan. 9, 2017)

© Copyright 2017 INFORMATION, INC. Bethesda, MD (301) 215-4688