What do HOA Management Companies do?
The smooth running of a community can be a real challenge. Usually, an HOA (homeowners association) is in charge of managing the corporations’ business issues at the same time balancing the needs of the neighborhood community. However, such responsibilities are mostly more than volunteers can or what to do with professional support.
When these responsibilities become overwhelming for the volunteer board of directors, HOAs hire an HOA management company to carry out their community’s management duties effectively. However, sometimes lines can be blurred as to which party does what and where homeowners stand. Here is a closer look at the actual responsibilities of Phoenix HOA management companies and how they can benefit the community association.
The board is in charge of the decision-making, and the HOA managers fulfill their actual dues collection, vendor payment, maintenance, and server as their primary homeowner point of contract. The specific responsibilities of HOA management companies can be broken into four sections. This includes
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A well-versed HOA management company will have an experienced manager to act as a community’s primary contact. The manager will be an expert in community management and know-how to navigate through all the stations that the community may encounter through reasonable communication means. Are well-trained HOA management team will be able to offer easily accessible support as well as:
- Provide monthly management reports
- Schedule and attend all board meetings
- Guide the board through the whole preparation of the annual budget process
- Enforce all the rules and regulations of the community
- Respond to homeowner inquiries within the shortest time possible.
The site management is a significant piece of the property management puzzle. By neglecting to follow the association’s rules and regulations, home values run the chance of decreasing, and the community could be viewed in a negative light. In order to combat this, the HOA management company and the board should familiarize the rules of the association and enforce them uniformly among core members.
To enforce the HOA regulations and rules, the manager should familiarize the association through regular on-site visits. The tasks during the on-site visit include:
- To inspect for rule violations.
- Check on maintenance issues.
- Ensure that pool cleaning, lawn care, and other vendor tasks are completed according to the contractor specifications.
- To coordinate different board approved actions
Accounts receivable management
An experienced HOA management firm should be well trained in collecting on delinquent accounts. They should be updated by state law concerning collections and ensure that the notices sent to delinquent owners are compliant as per the requirements. Debt management with HOA management companies involves:
- Sending delinquent accounts and updates to the board
- Working with associations lawyer when coordinating legal action
- Reporting the delinquent accounts and updates to the board.
The accuracy with HOA budget and community finances should be a complicated and involved situation. The HOA management company will have a robust experience to handle such complications of community finance. An experienced and well-versed HOA management company will be able to:
- Estimate the maintenance cost accurately.
- Manage bank accounts for their whole community
- Offer guidance for long-term funding for the board and community
- Offer detailed record-keeping on accounts payable and accounts receivable.
- Review monthly billing for community assessments and dues
- Create monthly financial statements in the required time