As the overseer of an HOA (homeowners association) that acts as a governing entity over a condo community, you can face a number of pertinent responsibilities. A condo association management firm can help. Here is a look at how.
The management firm will make sure policies are enforced.
When an HOA is initially established, the individuals overseeing the organization will come up with different policies that are meant to govern the community and retain certain standards. For example, the HOA may create policies that govern things like:
- What implements condo owners can add to their properties
- How many pets are permitted at each condo
- What actions will be taken when a condo owner breaks the rules
While these policies are intended to generate a community where expectations are understood and followed, your HOA can run into struggles enforcing the policies. Enforcement can be both time-consuming and stressful, but a condo association management firm can step in and make sure all listed policies are enforced.
The management firm will handle the collection of HOA dues.
HOA dues are a necessity for a successful organization because these collected monies cover a diverse collection of operational costs. If you are not getting your dues paid by property owners within the community, your organization can run into a lot of finance-related challenges.
For example, if half of the property owners are not paying their HOA dues on time, you may see depleted account funds that are meant to cover the costs of property maintenance. With a management firm helping to implement collection strategies and carrying those strategies out, you will see more timely payments and fewer financial issues for your HOA.
The management firm can allocate funds for larger community expenditures.
Perhaps your HOA has decided to invest in a new community fitness facility, needs to revamp the community park, or is looking at expanding security within the neighborhood. As well as the best-made plans may be made, the financial aspect of making these investments can come as a challenge when you have limited profit margins.
The condo association management firm can help by creating an active savings plan to allocate funds to reserve for larger future investments or expenditures. While the methodology can vary, most of these firms do employ accountants who are highly familiar with the economic responsibilities of an HOA. Therefore, the firm can help you create a logical roadmap to achieve certain expenditure goals.