avoid buying into associations where common areas aren’t spiffy

By
Real Estate Agent with Re/Max 10 New Lenox Illinois

Checklist: A pro is the way to go if:

  • Your HOA must manage a lot of building systems, amenities, and properties.
  • Home owners don’t have time to volunteer to manage the association.
  • Home owners don’t have the skills to do association work, such as depositing and recording dues checks or managing a pool.
  • The management companies you’re considering can get discounts from contractors or service providers, such as insurance companies, and those discounts are important to your HOA.

Our HOA doesn’t need a professional manager

OK, if the issues above don’t stand in your way, you can save money by not hiring a professional manager. Recruit volunteers who can handle billing, correspondence, and complaints. In general, you’ll want to fill board and committee volunteer positions with folks who have skills in:

  • Finance
  • Operations
  • Law
  • Public relations
  • Vendor management

Use a mix of pro and DIY in your HOA

If your HOA can cover some but not all of the jobs on your list, split the work between in-house volunteers and outside professionals. Some HOAs have an accounting firm handle billing, deposits, and audits, while board members manage contractors and tackle correspondence, complaints, and inquiries from owners.

Either way, a professional management company should never run the whole show. It should take its direction from the board. Nor would it be fiscally wise to let an outside firm have full control over your finances.

And keep your eyes on the prize: property values. Smart home buyers will avoid buying into associations where common areas aren’t spiffy and community budgets show cost overruns and special assessments for unplanned repairs

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Rainmaker
1,275,544
Wallace S. Gibson, CPM
Gibson Management Group, Ltd. - Charlottesville, VA
LandlordWhisperer

I've known would-be buyers who check the building parking lot for the residents' cars between 2 - 4P - if there are "beater" are UNwashed cars there mid-day, that may mean that the residents are slovenly and UNcaring.

Dec 28, 2011 09:59 PM #1
Rainmaker
238,276
Dale Taylor
Re/Max 10 New Lenox Illinois - Frankfort, IL
Realtor = Chicago Illinois Homes Townhomes Condos

Funny the things Buyers notice and perceive.  Happy New Year!

Dec 31, 2011 04:23 AM #2
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Rainmaker
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Dale Taylor

Realtor = Chicago Illinois Homes Townhomes Condos
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