1. Financial Administration
As the HOA Board, one of the biggest pressures in running the association is the financial side. Especially in HOAs with more complex budgets and finances and thus, requires more complex financial documentation, it can be particularly challenging. Having a professional handle your association’s finances also ensures the correctness of your HOA’s financial documents and reports.
Also, as a third party with no personal interests in the community, an HOA management company can help with explaining fee hikes and collecting overdue assessments from your neighbors, saving you from the trouble and social discomfort of having to do so.
2. Better and Cheaper Maintenance
Tremendous work goes into maintaining the aesthetic appeal and property value of an HOA community. Regular touch-ups should be made in order to prevent larger property damage in the long run that can take a huge chunk from your community reserve.
To maintain your community’s appeal at the highest level, you’ll need vendors specialized for certain types of maintenance services (e.g. landscaping, maintenance, pool service).
HOA management companies are well-connected to many maintenance and repair contractors and can connect you to reputable ones right away. HOA managers also typically get discounts from vendors because of the volume of services that they use. That means, better and cheaper maintenance of your property than if you’d have to do it yourself!
3. Legal Expertise
It’s understandable that many Board members aren’t well-versed with ALL the laws that potentially affect the association. Especially in states that have highly regulated frameworks, the laws can be a lot and very complex. You may unintentionally violate the law without meaning to!
When the Board is unsure about the legality / illegality of an action, it’s best to consult with someone with a legal expertise.
An HOA management company is familiar with the laws affecting associations. One of the main benefits of hiring an HOA management company is access to a legal opinion that you can use in making board decisions. They also have legal resources and professional contacts that they can refer you to for specific legal issues.
4. HOA Systems
As a Board of volunteers, putting up HOA systems for managing the day-to-day responsibilities in your association is important in running it efficiently. Such systems include investments in software, services, and devices. However, building HOA systems from scratch can quickly cost you thousands of dollars and years of trial and error.
Another benefit of hiring an HOA management company is getting and using a prebuilt and established HOA system that can get up and running in less time. HOA managers also have a network of established systems and technology vendors that can save you a lot of money.
5. Uniform Enforcement
An HOA management has the wealth of knowledge and experience in handling day-to-day duties in running the association as well as solving problems before they occur. That includes covenant enforcement.
HOA managers perform regular inspections, then report their findings to the Board and give advice on what issues are violating the association’s governing documents. They also enforce the community rules uniformly among residents, preventing issues of bias and favoritism.
Photos by Daniel Watson, Evan Dvorkin, and Aubrey Odom on Unsplash