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When Does a Community Need HOA Management Companies?

May 07, 2012 | Comments: 0 | Views: 130

When a homeowners association (HOA) lacks the administrative resources to meet the needs of its community, it often requests the assistance of a management company-a service that supplies the administrative resources a needed to meet obligations. However, not all struggling HOAs request the help of management at the first sign of trouble. According to major polling firm Zogby International, four questions can be used to assess the value of an HOA to its community. To assess the value of your community's HOA, try answering the following questions:

Do board members focus on serving the community?

Most board members are elected to serve as volunteers-a scenario that requires them to have a passion for the community, as their service is not rewarded financially. Some board members soon tire of this arrangement, while others must put their jobs ahead of service to the community. Regardless of why board members do not focus on serving the community, their lack of attention must be compensated for if the community is to remain attractive to its residents and potential buyers.

Do community rules promote property value?

HOA rules range from being needlessly persnickety to being unfortunately lax, and though both types of rules are annoying, the latter generates the most ire from concerned community members. Unless the rules focus on maintaining property and developing community interests in a way makes the community attractive to potential buyers, they should be reconsidered with community development in mind.

Does a community support organization support the HOA?

An HOA that is supported by management typically performs better than ones that pursue community support without the help of management companies. As mentioned above, some board members juggle their duties with job duties, and few boards have the luxury of administrative assistants who provide extra support. Add in the fact that many boards lack members who are trained in business administration, and the importance of a support organization becomes obvious.

Do community members receive a fair return for assessment fees?

Nothing makes members of planned communities angrier than feeling as if they receive an unfair return on their assessment fees. When assessment fees fail to generate expected improvements to the community, financial mismanagement if often to blame, or poorly executed development plans. In some cases, fees are collected and saved, but not invested as originally planned, presenting the image of misspent funds.

Seeing assessment fees translated into community improvements is a basic expectation for members of HOA communities. When the expectation is not met, the financial upkeep of the community can benefit from the assistance of a support service.


Depending on how you answered the questions above, your HOA may need a management team to help it meet its obligations to the community. Provided by HOA management companies, this service helps planned communities improve their administration, financial upkeep, and community planning. For more information on HOA support, contact a support service that specializes in communities like yours.

HOA Management companies improve communities by performing homeowners association management.

Source: EzineArticles
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