Owning properties in HOA communities can offer several benefits, but also some disadvantages. One of the main benefits is that you have someone, an HOA property manager, to look over your property and ensure it meets the requirements and criteria set by the HOA. That said, HOA managers are similar to rental property managers, but they may have some additional tasks or duties that differ from those of a normal property manager. Today, we’ll go over what HOA communities are, how they work, and some of the responsibilities of HOA property managers. Read along to learn more!
Contents of This Article:
- Understanding HOA Communities
- What Does an HOA Property Manager Do?
- HOA Manager vs. Rental Property Manager
- Why Hire an HOA Management Company?
- Find the Right Management Solution Today
Understanding HOA Communities
A homeowners association (HOA) is a residential neighborhood or housing complex where homeowners are required to be members of an organized association. The purpose of an HOA is to manage and maintain common areas and amenities within the community and enforce rules and regulations outlined in documents like the Covenants, Conditions, and Restrictions (CC&Rs).
CC&Rs set certain conditions for property owners about the maintenance of their properties. Sometimes, they put restrictions on things like fences or the type of landscaping allowed. However, they may also include minor details, like the color of paint you use on the exterior of your home. If you violate the guidelines within the agreement, you may be penalized in the form of fees or forced compliance.
HOA management companies in Philadelphia are responsible for overseeing the upkeep and maintenance of shared spaces within an HOA community. Common areas within an HOA include parks, playgrounds, swimming pools, recreational facilities, and sometimes streets and sidewalks.
If you live within HOA communities, you typically have to pay monthly or annual fees or dues. These funds support the association’s activities, including maintenance, repairs, administrative costs, etc. That said, the fees depend on several factors, like the type of properties, the location, amenities offered, and operating expenses.
While HOAs provide several benefits, they can also have some serious restrictions on how homeowners can use and modify their properties. As such, it’s important to carefully review the CC&Rs and understand all of the rules, fees, and responsibilities before purchasing a home in an HOA community.
Are HOAs Good or Bad?
HOA communities don’t always have the best reputation. After all, there are plenty of rules and restrictions for property owners to follow if they are involved with one. Unfortunately, that means some property owners don’t have the control they desire over their property. You must also pay fees to be a part of an HOA. However, that doesn’t necessarily mean that they are bad. In fact, there are plenty of advantages.
For instance, HOAs often enforce rules to maintain the community’s uniform and pleasing appearance, which can help preserve property values. They also take care of several maintenance and upkeep tasks, helping the community and reducing the burden on individual homeowners. HOA communities are often well-kept and pleasant to live in due to everyone having the same rules and regulations to abide by.
What Does an HOA Property Manager Do?
An HOA property manager is responsible for overseeing the day-to-day operations of the homeowners association and ensuring that the community runs smoothly. That said, their duties can vary depending on the specific needs of the HOA, but here are some of the common tasks they typically handle.
- Enforce Rules and Regulations- Managers ensure that homeowners abide by the HOA’s rules and regulations, which are outlined in documents like the CC&Rs (Covenants, Conditions, and Restrictions).
- Handle Disputes- Managers mediate and resolve disputes among homeowners or between homeowners and the HOA.
- Financial Management- HOA managers create and manage the association’s budget, which includes collecting dues, paying bills, and keeping financial records.
- Organize Meetings- Managers plan and coordinate regular meetings for the HOA board and sometimes community-wide meetings for all homeowners within the association.
- Legal Compliance- HOA managers ensure that the association complies with local, state, and federal laws and regulations.
- Contract Management- Managers negotiate and manage contracts with vendors, contractors, and service providers for landscaping, security, and maintenance services.
- Community Improvement Projects- They may initiate and oversee projects to enhance the community, like renovating common areas or adding new amenities.
HOA Manager vs. Property Manager
An HOA manager and a property manager are two distinct roles, each with specific responsibilities and areas of focus. While both roles involve management responsibilities, an HOA manager focuses more on the operations of a homeowners association and the community, while a property manager is more focused on managing individual rentals on behalf of property owners. Here are some of the distinct differences between an HOA manager and a property manager.
What Does an HOA Manager Do?
Managers in HOA communities oversee the operations and affairs of the Homeowners Association itself. For instance, they primarily handle community common areas and shared spaces, like public parks, pools, and landscaping. However, they do not manage individual homes or units within the community.
That said, since they are responsible for maintaining common areas and amenities, they may coordinate with contractors and service providers to ensure they are well-maintained. HOA managers must also ensure that the association complies with legal and regulatory requirements, including adherence to CC&Rs (Covenants, Conditions, and Restrictions) and other governing documents.
Responsibilities of Rental Property Managers
A property manager is responsible for managing individual rental properties on behalf of property owners. They typically handle tasks related to specific units or homes, like finding and screening tenants, collecting rent payments, and performing maintenance. Unlike HOA managers, property management services in Richmond focus more on individual rental properties, including apartments, houses, condos, or commercial spaces.
However, like HOA managers, property managers may also coordinate with contractors and service providers to ensure properties are well-maintained. Property managers must also ensure that each property complies with local and state rental laws, housing codes, and lease agreements.
Why Hire an HOA Management Company?
Hiring someone to look over the properties within an HOA can provide several benefits to the association and its members. The right management team can help the association operate more efficiently, uphold community standards, and enhance the overall living experience for residents. Here are some of the main benefits of hiring HOA property managers.
- Expertise and Experience- HOA managers are typically experienced professionals who are well-versed in community management. As such, they understand the legal and administrative work it takes to run an association.
- Compliance- HOA management companies are knowledgeable about local and state laws, helping the association stay compliant with legal requirements and avoiding potential issues.
- Rule Enforcement- They have experience in enforcing community rules and regulations, ensuring consistency and fairness in rule enforcement.
- Time and Stress Saving- HOA managers allow board members to focus on higher-level tasks and decision-making by taking care of the day-to-day operations and administrative work.
- Objective Third Party- A management company can act as a neutral mediator in disputes or conflicts, helping to find fair and equitable resolutions.
Find the Right Management Solution Today
Managing real estate, whether rental properties or HOA communities, can add up to a lot of work. As such, if you find yourself with too many properties on your hands, it may be time to outsource. Finding a professional, comprehensive property management solution can help you free up time and ensure your business runs as smoothly as possible.
Need More Advice? contact us today!
Bay Property Management Group offers full-service management for rental properties in and around Baltimore, Philadelphia, Northern Virginia, and Washington, DC. We also offer HOA management for properties in Philadelphia. So, if you’re looking for help performing the day-to-day property management tasks, we’ve got you covered. Contact BMG today to learn more about how we can help your business succeed!
