Top Tips For Saving HOA Money In A Troubled Economy
Across the country inflation has begun to show its effect on community associations. The pandemic brought supply chain issues that have increased the cost of doing business in America. HOA’s, condo associations, and townhome associations are talking to their association management companies about cost-saving decisions they can make to ensure the financial health of their community as the effects of inflation become evident. In this article we will review some options your association may want to consider.Landscaping
When thinking about landscaping costs, it is important to note that the visual appeal of the association is a high priority. We do not advise doing anything that will negatively affect the appeal of the community association unless absolutely necessary. With that said, there are several things you may want to consider that could save the HOA a lot of money in the long run. One thing communities are considering is the type of plants within the common area. Watering, trimming, and mowing services have all increased in price over the last year. Replacing plants that require a lot of pruning and watering with evergreen bushes or trees can save the community thousands in the long run. If there is a common area that doesn’t see much traffic, HOA’s may also consider making the change from grass to mulch or natural area. The more you can reduce the need of watering, mowing, and seeding the more you’ll be able to allocate to reserves.
Pool and Clubhouse
There are multiple aspects of pool management that, if monitored well can save your community association money. The first is chemical use in chlorinated pools. When the PH of your water is too low, chlorine will dissipate much faster than when using a slightly higher PH which is within the recommended limit. Talking to your pool management company about this issue and monitoring chemical test results can save the community association a lot of money in the long run. Associations may also consider raising the cost of clubhouse rentals to offset some of the increase in maintenance cost for the building.
Insurance
Community association board members should talk with their manager every year about getting new bids for insurance. Getting three bids for insurance every year can be more beneficial than expected. We’ve seen associations save over ten thousand dollars a year on the same policy simply by bidding out the policy year to year.
These suggestions aren’t for every community association, but for some associations they may be well worth the time spent investigating options for the HOA.
Ardent Residential helps community Associations ensure financial health through a proactive approach. To learn about how we can help your association thrive, visit MyArdent.com and find out how we can help!
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Having the right team managing your HOA could be the only thing standing in the way of a fumbled finances in a troubled economy. Visit www.MyArdent.com today to learn how we can help your community Association thrive.
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