Why HOA Boards Benefit from Working with a HOA Management Company
Some of the benefits a HOA management company provides include:
- Clarity – Management companies help ensure the HOA’s rules, regulations and policies are clearly defined and communicated to members. They also make sure these rules make sense and are easy to follow.
- Consistency – A good HOA management company enforces rules and policies with consistency. The management company makes sure there’s no perception of unfair treatment or favoritism among members. It will also deal with any problems as soon as they surface.
- Legal Knowledge – A HOA management company is often very knowledgeable regarding legislation affecting homeowner associations. The company will understand how the HOA’s policies, and enforcement of the policies, best conform to the law.
- Varied Expertise – A HOA management company will have diverse professionals on staff, including experts trained in property management, finance, accounting, human resources, marketing and more.
- Vendor Management – Management companies are experienced in building solid vendor relationships. They know how to keep issues from escalating. And, vendors may be more inclined to work with professionally managed HOAs because they know the chances are high the community will be well run.
- Neighborhood Commitment – Homeowners need to feel the management company is maintaining a safe, well managed neighborhood that’s meeting their expectations. It’s in the HOA management company’s best interest to make all the members within the community satisfied with their services.
- Open Communication – A HOA management company can open the lines of communication among members. It’s important everyone within the community feel comfortable voicing their concerns and ideas. A professional management company can bring more to the table than just enforcing HOA rules.
What Type of Community Should Hire a HOA Management Company?
Often, size dictates whether a HOA hires a management company. A smaller community may opt to be self-managed, whereas a larger HOA may find it impossible to conduct business without the help of a trained professional.
Although size is one criterion, it’s not the only deciding factor. A better way to decide whether to hire a professional HOA management company is to consider the following:
- Does the HOA manage many buildings, amenities and properties?
- Does the HOA have a lack of volunteers to manage the association?
- Do the volunteers lack the skills and expertise to do the necessary HOA management work?
Some HOAs may find they need to supplement their volunteer work with an outside professional management company. For example, maybe the HOA management company will handle some of the accounting functions and board member volunteers manage homeowner communications.
However responsibilities are delegated between the board and management company, the focus should always be on maintaining property values and a sense of community. This is what will attract buyers to the neighborhood – and keep current members happy and involved.