Are your HOA board members able to handle the load of managing your homeowners association, or do you need a professional? This is a great question to be asking and there are a few factors to consider. If your board can handle some of the responsibilities but doesn’t want to take on all that needs to be managed and get done, then you may consider splitting the work between your volunteers and outside professionals.
For example, there may be a case for your board to handle the financial management, but you need to hire a company to manage outside vendors and contractors as well as handle inquiries, correspondence, and complaints from owners.
If your board is thinking about hiring an HOA management company here is a checklist of things to consider.
Hiring a Property Management Company
Hiring an outside property management company may benefit your HOA in cases where:
- Homeowners don’t have the experience or skills necessary to do HOA work such as tracking accounting and budgeting, managing the pool, or collecting outstanding dues.
- Homeowners don’t have the time to volunteer to manage your HOA.
- Your HOA is managing many units, properties, and/or amenities.
- A management company can offer your association discounts and benefits from service providers that are important to your HOA.
- Or there is a need for 3rd party ability and consistency in managing the whole HOA system.
Whichever management option you choose, keep your focus on what is best for your community.
The Goal of Hiring an HOA Management Company
Management should always take its direction from your HOA Board and keep community priorities top of mind. The goal should always be in maintaining and enhancing on the value of the homes/properties in your association.
Smart home buyers will look for HOAs that keep a well-maintained community and are prepared for the future. They will avoid buying into associations where common areas are unkempt and budgets that show cost overruns for unplanned maintenance and repairs.
Services Offered by HOA Management Companies
Although each management company will have its own list of services, these are types of services you can expect to receive from a quality property management company.
- Maintain association files, minutes, and membership records.
- Prepare correspondence relating to association business
- Follow through on collection policies
- Creation of association supplies such as stickers, membership cards, etc.
- Legal resource for legislative changes
- Access to legal counsel experienced with Association Law
- Fiscal management
- Budget preparation
- Provide actual vs. projected budget performance
- Provide for receipt and distribution of funds
- Accounting reports
- Recording of assessment payments
- Monthly financial statements
- Staff available for member’s questions
- Regular on-site property visits
- Follow-up phone calls on requests
- On call service
- Newsletters, bulletins, and notices to keep members apprised of Association business
- E-mail communication ability for both internal and external needs
- Coordinate and prepare documentation for annual and Board of Director meetings
- Attend annual and Board of Director meetings
- Monitor sub-contractor work
- Review and supervise special work projects
- Access to lists of licensed, bonded, and insured contractor
All boards face the same challenges and responsibilities. Getting an expert to consult can help the board navigate those challenges. Often, large HOAs can afford a full-time HOA Manager; in smaller HOAs you may not have the budget for that - but you can still afford consulting services to set you on the right path.
Choosing a property management company is a very important decision for every community association to make and will require time and energy on your board’s part. But your homeowners association deserves a company that will give you the best performance and service, as well as align with your community’s goals, values and will work with you to establish a long term, productive relationship.
Consider choosing Hignell HOA management to partner with your community. We recognize that each HOA has unique and specialized needs, so we have a dedicated community manager assigned to oversee your association.
The Hignell Companies have established a long history of creating caring communities. For over 25 years, the Hignell Companies have placed priority on providing the highest standards of excellence and service to enhance the individuals and communities we serve. As a full-service community management company, Hignell’s highly skilled, professional staff of community managers, bookkeepers, administrators, and maintenance staff are ready to anticipate and meet client’s needs. With a staff of over 150 we are large enough to meet all your needs, but small enough to give your association the personal, individual attention you deserve.