New neighborhoods typically develop as a subdivision. Some of these subdivisions use a management structure called a homeowners’ association (HOA) while others use no maintenance structure. The latter depends on city services for road maintenance and upkeep rather than undertaking it themselves.
While housing once sprang up in a disorganized manner with property purchased ad hoc, the modern method of real estate development creates whole neighborhoods. Today, Americans have a one in five chance of buying a home that’s a part of an HOA.
Many of these HOAs use property management firms to handle the day-to-day contact with residents and showing the neighborhood’s model homes, if applicable. The alternative to self-management requires hiring staff and creating business procedures as well as maintaining an office, which may be located in the housing subdivision or outside it.
A self-managed HOA might try to run using volunteers, but they will often have a tough time finding volunteers. The self-management infrastructure requires a full-time staff to accomplish the work of maintaining private roads, tennis courts, and pools. Using volunteers also results in an inconsistent governing and enforcement of covenants as well as favoritism.
Using property management results in better interaction between people in the community, and between the community and its residents. A property management firm maintains the roads, pool, and related items. Many benefits exist to using a management firm for your HOA including:
- Communications improvements between the residents and HOA
- Preventative and responsive maintenance to improve the community
- Financial management support
- Fair and equitable dispute management
- Long-term growth strategies
- Meeting planning for trustees, board members, and owners
Finding an appropriate HOA management firm requires a local search. You need a company that can undertake maintenance work onsite. They also need to maintain a local office, so your residents can interact with them in person. The company should also provide telephone, email, and web chat contact. This ensures that all people can easily contact the management company in the manner they need that leaves a contact trail if needed for legal pursuits at a later date.