There are more than 350,000 homeowners associations (HOAs) in the United States. They represent about 27 million households--more than half of all owner-occupied homes.
Most people are familiar with property management companies and HOAs, but you may not have heard about "HOA management." Property management companies are best known for serving rental or investment properties. They offer a variety of services, from grounds upkeep to rent collection.
Homeowners association property management is a similar setup but with some distinctions. This article goes over the many advantages HOA management can bring to your community. Keep reading to find out more.
What Is an HOA?
A homeowners association (HOA) is an organization formed in a subdivision, group of condominiums, or planned community. They manage the daily operations needed to maintain the community.
HOAs often charge residents fees to pay for events and property upkeep. This might include gated entrances, sidewalks, roads, trails, gardens, and anything else owned by the community as a whole.
They also make and enforce rules for the community. This can involve everything from building permits to home style, mailbox color, and lawn upkeep. They also are responsible for giving fines or taking other actions for failure to follow community guidelines.
What Is HOA Management?
Homeowners association management involves an outside company providing different services to the community. The main one is that it oversees the maintenance of common property and amenities. In most cases, the management company does not replace the board but helps them fulfill their duties.
They might attend or even run HOA meetings, including taking minutes. The company might get bids from different vendors or contractors and present that to the board. The company may be responsible for planning community events.
The management company might collect HOA dues from residents. They would manage insurance plans and prepare monthly financial statements. In some cases, the management company might provide legal advice to the board.
What Are the Advantages of HOA Management?
The biggest benefit of hiring an HOA management company is that it alleviates work and stress for the board and other community members. Most board members are volunteers, sacrificing their own time to attend to the needs of the community. Hiring an HOA company also keeps board members from having to send out fine letters or hassle their own neighbors about dues.
One of the gaps that HOA property management companies fill is being able to provide expertise. No matter how great your neighbors are, it is rare that you will have the diversity of necessary skills on any given board. Hiring a company to take on all these responsibilities keeps you from worrying about the board lacking a particular skill.
Finally, hiring professional HOA management services gives you peace of mind that things are done right. From financial reporting to insurance and legal issues, relying on an outside source (and not your neighbors) can be very useful. It can go a long way toward creating a happier, more stress-free community.
Learn More About HOA Management
Now that you understand the basics of HOA management and the many benefits it can bring, you can determine if it is a service that is right for you. Hiring pros can help free up time and get rid of stress for you and your community members.
PMI Scioto Metro is a full-service property management company in Columbus, Ohio. Our approach is to customize services based on each client's needs. Reach out to us today to learn more or to schedule a free consultation.