Do high priced homes drop in price when you have multi-family owners buying into the neighborhood?

Question

We live in a high priced neighborhood and now we are weighing our options as whether or not to move. Moving will be a tough option, but we thought we bought into pure class with strict homeowners rules.

Our residents are ignoring the homeowners association by continuing to leave up trampolines (forbidden), bb goals (forbidden) out front, masses of kids running the neighborhood cutting through all the yards, trash and toys laying EVERYWHERE--lots of loud screaming. Where does the responsibility fall on homeowners to ENFORCE the rules WE bought into? Now I feel it is nothing anymore special than we owned before because you have the families who can't afford to live here unless they buy together. How does this image, trashy toys, and stuff laying everywhere affect our home value? Is there anything I can do to MAKE the homeowners association enforce the rules in the book? I regret the day we put the pen to the paper.

PS:

The lawns are barely mowed and watered. One neighbor put up white metal mini blinds you buy in home depot on the windows and these are one-half million dollar homes to way over one million. They put in gardens (forbidden), put out little twirly fan things in front landscaping, line their sidewalks with blue-toned solar lights (forbidden-white source only), and homeowners is doing NOTHING. There goes our money.

Answer 1

Unfortunately, neighbors' practices do affect the value of your home. Location, location, location... sometimes it includes, by definition, who you're living near and how trashy they are. Good luck.

Answer 2

You must be in Irvine, CA! We have the same situation in a couple of areas where immigrants with strong family ties and traditions, such as the Chinese and Indian cultures, buy a home and share the home with other family members. To answer your question, over crowding can lead to property value decline but the fact that there are a lot of kids running around and playing can attract families to your area and balance things out. For example, my clients like to see kids their kids age playing in the street, especially if they are of the same ethnic background.

However, if any of your neighbors are violating the CC&Rs, you might want to bring it up at the next meeting that you are witnessing violations in which no action is being taken.

Regards

Answer 3

No, multi-family or multi-generational families in a single family detached home do not bring home prices down. They make neighborhoods less desireable to some buyers due to the crowded streets from an excess of cars and boats and RV's.

Answer 4

Yes, I agree with Frank. It's not so much the type of use of the nearby property it's the condition of the property that helps or hurts the value of yours. Why don't you get active in the association instead of leaving it up to others?

Answer 5

These are how ghetto's are formed. Talk to your association...but if they've let things slide this far??? Good luck!