Should I Hire an HOA Management Company?

Should I Hire an HOA Management Company?

Self-managed HOA communities rely on their elected board of directors to run their community. They are responsible for dealing directly with homeowners to answer questions, collect HOA fees, issue violations, and so forth. Having a very active and accountable board is crucial to the community’s success. So how should you decide if you should hire an HOA management company to run your community? Read these tips to determine what’s suitable for your association!

What does an HOA management company do?

An HOA management company’s essential duty is to manage the community’s daily operations, including communicating with homeowners, scheduling maintenance, and other administrative work. Your communities board will still be essential, as will the HOA management company. The HOA management company is there to act as your community’s advisor and help run your community smoothly. 

What are the benefits of hiring an HOA management company?

Easier Management

Your HOA board members usually aren’t community association professionals who have been in the industry for years which can make it difficult for them to handle everyday HOA tasks. With an HOA management company, you get experience and expertise in managing a successful community association and can relieve your board members from these duties. They will take over administrative duties such as communicating with homeowners, processing violations, handling arch requests, and property maintenance. 

A management company will also be helpful for your residents as they will have a clearer picture of who to communicate with. They will have a designated point of contact and someone who will respond quickly to their questions. 

Industry Knowledge

A management company will also help your community be less risky by following all the rules and regulations to comply with the law. Having this industry knowledge will be a tremendous benefit for your association!

Are there disadvantages to hiring an HOA management company?

There are always disadvantages to having someone take over your community’s management, but do the pros outweigh the cons?

Increase in Costs

Hiring a management company will increase your costs for your association as you’ll have to pay for this service. You can increase your HOA fees to cover this cost, but your residents might not be happy with this decision. 

Less Control

While your board is still in control of all the crucial decisions for your HOA, hiring a management company can decrease the board’s governance. If your board is very involved and worried about their duties reducing this could be a disadvantage. However, you can help mitigate this by ensuring the management company and the board are on the same page.

Self-Managed HOA vs. HOA Management Company: Which should I choose?

The answer is: it depends! If your community is small and operating efficiently, it might be unnecessary to have a management company. However, it could be a great option if your board members are struggling with the responsibilities and your community is large enough to cover the cost. If you’re looking at hiring a management company, read this article to guide you on doing this correctly!

 

Either way, remember that Smartwebs can help you or your management company. With our software, you’ll be able to easily manage your association’s violations, arch requests, work orders, and even accounting. Get a demo of our software to see how Smartwebs can help you!