Six Reasons to Have a Homeowners Association Management Company
Homeowners association (HOA) management is the complex set of responsibilities and tasks associated with running a successful HOA. According to state and federal law, the HOA's board of directors has a fiduciary responsibility in the governance of their community association. Often, many HOA boards find the challenge overwhelming, if not impossible, when trying to figure out their roles alone. Here are a few of the most important reasons why HOA boards are turning to community management companies to help them manage and promote thriving, harmonious communities:Creating clear, well-defined rules
When an HOA is formed, the covenants, conditions, and restrictions (CC&Rs) are created by the declarant/builder. These documents serve as the legal foundation of the HOA. At times, many HOA boards find the CC&Rs difficult to define and piece together into a coherent whole. In this area, having an experienced HOA company to help out can be an enormous relief—ensuring that the CC&Rs not only adhere to all state laws governing HOAs but also can be understood by all members of the community.
Association members, despite their best intentions, cannot follow the rules of the HOA if they do not know what they are. Furthermore, they need to know why particular rules are in place. Otherwise, a given rule might feel like an arbitrary imposition. An community management company can be a real help in this area. First, by drawing upon their extensive experience communicating HOA rules to association members, they can ensure that everyone in the community knows precisely what the rules are. Second, given their intimate knowledge of the connection between particular HOA rules and their genuine benefits to the community, association management companies can spell out why each rule will help the HOA to thrive. Furthermore, the homeowners association management company can ensure that members are always aware of any changes or special situations that arise.
Enforcing fairness and consistency
Homeowners need to have confidence that everyone is receiving fair and consistent treatment from the HOA. For example, if an owner feels that one of their neighbors is receiving special treatment because of a close connection with a board member, they may lose trust in the integrity of the association's board, and thus its management as a whole. Having an outside party that can serve as an impartial intermediary in such a situation can prove invaluable. Experienced community management companies also work especially hard to foster a democratic atmosphere in which each member of the community feels that they can speak up and be heard by the greater group.
HOAs need to have great relationships with trusted local vendors to ensure their communities run smoothly and their common areas look great. However, vendors need to know that they are working with professionals, and vice-versa. Thankfully, an experienced association management company will have a pre-existing network of relationships with local vendors based on mutual trust and a shared history of getting jobs done right in your community.
A well-rounded resource
community association management companies have a wealth of experience and talent covering the full range of challenges that Associations face. The HOA's board of directors can rest assured that when they find themselves up against an issue that they have no idea how to handle, they can reach out to their community association management company for the guidance they need. This is especially important when it comes to legal matters. HOA management companies have experience handling the often obscure legal intricacies surrounding HOA rules and enforcement. If they don't have the answer to a legal question in-house, the HOA management company will certainly know who to reach out to in the legal community to respond to any pressing questions or concerns.
When to hire an HOA management company
HOA management companies are particularly valuable to associations where legal, accounting, development and general property management expertise are critical concerns. It is often unrealistic to find members of the HOA board with the expertise to fill all of these roles. Furthermore, accountants, lawyers and other highly-skilled professionals that join the board may not have the time necessary to consistently apply their expertise to the ongoing needs of a large HOA. For this reason, and the others above, an experienced HOA management company can make all the difference in managing and sustaining a thriving, successful association.
Looking for a management company to help your community thrive? Look no further, and contact us today!