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The Pros and Cons of Living in A Master Planned Community

By
Industry Observer with Retired

The Pros and Cons of Living in A Master Planned Community

The Voice of San Diego Real Estate | Master Planned Community

What is a Master Planned Community?

A Master Palnned community by definition is an type of urban planning designed to relocate populations away from large cities by grouping homes, hospitals, industry and cultural, recreational, and shopping centers to form entirely new, relatively autonomous communities.

There are many benefits of living in a Master Planned community. Primarily it is a life style decision though that would interest many if not most Buyers today. These communities are built for convenience and enjoyment of the homeowners. I live in a master planned community called Carmel Mountain Ranch. What attracted me to this area are some of the key selling points of any master planned community. The community has grocery stores, specialty shopping, schools, a library, a community recreational center and beautifully tree lined and landscaped streets.

There are a variety of housing styles as well as price ranges from the low 300,000's to well over a million and half. There are view lots as well as efficient lots with housing tailor made to suit each type of exposure. My home for instance is elevated over the 17th fairway of the Carmel Mountain Country Club golf course.

While it is near perfect , there are still some possible negatives depending on ones own personal perspective. For example one of the cons of a master planned community consist of a governing association that determines the exterior design limitations from paint colors to landscaping. There is often a maintenance fee for maintenance of the common areas. Personally to me,  it is worth that trade off for keeping the community looking more uniform and tailored.

Here in California with property taxes based on your purchase price, many of these planned community developers use bonds to fund the new infrastructure, such as roads, lighting, schools etc. These bonds are called Mello Roos and require the property owners to pay additional taxes to fund the infrastructure that helps makes the community complete with so many amenities. Some see these  bond payments through the county property taxes as just extra added taxes and often instruct real estate professionals that they want to avoid these communities with these additional cost requirements. For many who do not understand the upside, may actually see this as a negative. What also is overlooked is the fact tha as a community, you get to know your neighbors better and of most often build valuable lifetime friendships.

One of the more important intrinsic benefits of a Master planned community over the longer term at least and certainly realized through this last down cycle of the housing market, home values have endured better than some of the other segments of the market. And as the market improves, they also tend to be areas that are more stable and less volatile. 

 

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Comments(54)

Diane McDermott
Realtor®, GRI, Landis e2 Real Estate, LLC - Charlotte, NC
Charlotte NC Real Estate Market

William, nice highlight of Carmel Mountain Ranch and you're right there are pros and cons to any neighborhood or even location/home style for that matter.  It comes down to what works best for you.  Part of the home buying process is evaluating and weighing options so you can make an informed decision

Apr 19, 2011 09:37 AM
William Johnson
Retired - La Jolla, CA
Retired

Hi Mike, In this case, within a Master Planned community there could be PUD's. In Carmel Mountain Ranch I am not sure there any in that classification but their are single family homes within the condominium ownership class and they would have both the general community guidelines as well as an HOA ownership and governance.

Apr 19, 2011 11:47 AM
William Johnson
Retired - La Jolla, CA
Retired

Hi Jack, Thanks for the comment and you are right, it all depends on how things are maintained and managed. Ours is pretty strict and it benefits the overall continuity of the community.

Apr 19, 2011 11:49 AM
William Johnson
Retired - La Jolla, CA
Retired

Hi Ron and Alexandria, Thanks you so much. There is always uncertainty out in the field on how to answer the questions are often raised.

Apr 19, 2011 11:51 AM
William Johnson
Retired - La Jolla, CA
Retired

Hi Patricia, Actually these communities have many over riding benefits beyond the visual attractiveness, even with some of the noted drawbacks. I was noticing that even the grocery stores cater to the diversity of cultures and clients with many different foods and products  that might not otherwise be found here. Many different cultures like the stricter guidelines and protections they provide. The schools attract excellent teachers , parents are involved and the facilities are state of the art. Even the local fire and police depts  get involved and support localized community activities. Are we safer and is the quality of life better because of that, I think it is all a factor. 

Apr 19, 2011 01:26 PM
William Johnson
Retired - La Jolla, CA
Retired

Woo Hoo, You are so right. It all adds to the security and quality of life for everyone. This community is one of the most attractive. I was so taken with tree lined main streets , not all that common in Ca. I knew from the first time I saw it that it would be a popular place to live.

Apr 19, 2011 01:30 PM
William Johnson
Retired - La Jolla, CA
Retired

Hi Morris, That is one of CA's greatest assets is the topography and uneven terrain coupled with the stunning views. Most of the coast is above sea level and that limits some beaches but otherwise the formations of rock and stone make for amazing vistas.

Apr 19, 2011 01:33 PM
William Johnson
Retired - La Jolla, CA
Retired

Hi Tni, Once you understand the trade offs it is actually an easy adjustment. I equate it with asking my parents if I could paint my room when I was growing up. It always came with the caveat that yes as long as they could approve the color, LOL. As I recall they always did approve what I was doing. The interest is that no one creates situations that upset the balance and the design integrity with either poor interpretations of what is there or especially homemade additions. But they are all for improvement that enhances any neighborhood. 

Apr 19, 2011 01:58 PM
William Johnson
Retired - La Jolla, CA
Retired

Hi Sandi, You are so right. Buyers often don't understand what it was set up for and the benefits which very often is a real plus. A fabulous school for a family is certainly nothing to sneeze at. A fore station that looks more like a library and a recreation center and library open to its it citizens as state of the art centers is really something quite special. 

Apr 19, 2011 02:01 PM
William Johnson
Retired - La Jolla, CA
Retired

Ho Cory, I think that sadly you are correct. And they all don't have Mello Roos where the infrastructure might be built into the cost. Either way , it is there and someone had to pay to get it there. 

Apr 19, 2011 02:03 PM
William Johnson
Retired - La Jolla, CA
Retired

Hi Rosalie, if not now maybe in the future. These communities serve a great purpose for the tax base as well as shared amenities. 

Apr 19, 2011 02:04 PM
William Johnson
Retired - La Jolla, CA
Retired

Hi Diane, You are right, it has to be an informed decision but the case can easily be made that the benefits outweigh most negatives which are more perceived than real anyway. 

Apr 19, 2011 02:06 PM
Marte Cliff
Marte Cliff Copywriting - Priest River, ID
Your real estate writer

I cannot even imagine living in a community where other people could tell me what to do. Guess I've been a North Idaho renegde for too long!

I love living where my nearest neighbor is 1/4 mile away - and has no say about the color of my house or what I have parked out front. It's 12 miles to the grocery store... but the trade-off of privacy and wildlife in my front meadow are well worth it.

Apr 19, 2011 03:31 PM
William Johnson
Retired - La Jolla, CA
Retired

Hi Marte, I understand your sentiments totally. But wanting to live near a big city, these communities do provide for a lot of convenience. Yes, you do have give up the rural space and but it is sort a bridge point halfway between urban and suburban. 

Apr 19, 2011 04:30 PM
Steve Scheer
Realty Oasis - Metro Brokers - Highlands Ranch, CO
Highlands Ranch Real Estate - Denver Real Estate

Hi William, Where I live (and do much of my work) is a master planned community as well.  You are right, not everyone is a fan, and you have done a great job of spelling out the pros & cons.

Apr 19, 2011 04:34 PM
William Johnson
Retired - La Jolla, CA
Retired

Hi Steve, Thank you. I did feel  that some in our business really don't fully get the benefits very well. But then I was also a skeptic at one time so I do understand. I have a new client coming up that wants to leave their home in another master planned community of 4 years because they really want to to live in a real urban setting.  

Apr 19, 2011 06:35 PM
DeeDee Riley
Lyon Real Estate - El Dorado Hills CA - El Dorado Hills, CA
Realtor - El Dorado Hills & the Surrounding Areas

William, This is an excellent explanation.  We have a master planned community here in El Dorado Hills called Serrano.  It is divided into what they call villages where each is gated and has different size homes and differnt models.  There is a private golf course and Country Club.  There are elementry schools there but no shopping.   It has some of the newest homes many of which were built during the boom years so also the hardest hit.  It's interesting as some people only want to live in Serrano and some want to live anywhere but there.  Thanks so much for sharing!!!

Apr 19, 2011 07:42 PM
William Johnson
Retired - La Jolla, CA
Retired

Hi Dee Dee, Thank you and I appreciate what you have added here. I find that mind set here a lot. And I can understand that if a person has ever lived where they can do or not do as they please, it is a change that requires some clear understanding. Advantages, yes, Disadvantages , yes. But understanding removes most of the negatives. 

We have a master planned community that was devastated as it too was built during the run up of the market time frame. Tons of REO's and now new investor owners of some fabulous homes. 

Apr 19, 2011 07:55 PM
Mona Gersky
MoonDancer Realty, Dillsboro,NC - Sylva, NC
GRI,IMSD-Taking the mystery out of real estate.

Good morning William, Wasn't one of the original intentions with Master Planned Community (why do they choose these names? Makes it sound like Evil Empire) to limit urban sprawl?

I think I've also heard these developments called Intentional Communities, or is that different?  The closest entity we have are "gated communities" only the gates are generally left open!

Apr 20, 2011 12:13 AM
Gene Riemenschneider
Home Point Real Estate - Brentwood, CA
Turning Houses into Homes

This was a really good post and I will reblog it.  HOA and Mello Roos often scare people off.

Apr 20, 2011 10:12 AM