To put it simply, the purpose of an HOA is to maintain a safe, attractive, and enjoyable living environment for the owners of the property. There are many rules that go along with being active in an association. HOAs now seek HOA management services for efficiently maintaining the properties and to ensure that everyone is following the rules.
An HOA is a legal entity created by state law or local ordinance, which owns and maintains all common property located within a subdivision. The individual owners of each property in turn elect a Board of Directors to serve as the governing authority for the HOA.
HOAs have the power to collect dues from the owners in order to pay for the upkeep of common areas, such as security, recreation facilities, and administrative fees. They are also responsible for enforcing rules of conduct for everyone living within their jurisdiction. These rules may include parking restrictions, pet ownership guidelines, and rules for maintaining property values.
Here are the common responsibilities of HOAs:
- Financial planning
HOAs are responsible for all the financial matters of a common area, be it residential or commercial. This includes setting up and maintaining a financial plan for the community. HOAs are also responsible for the upkeep of the facilities in a community. They may maintain reserve funds to use in case of extreme weather or to fund property improvements.
- People management
HOAs are the ones in charge of enforcing rules and regulations for people living in a community. They can take action to require owners to paint their fences or clean up their yards, and are responsible for ensuring that everyone follows the rules of conduct, if necessary.
- Goals and objectives
An HOA may have set goals and objectives to maintain a higher property value. These objectives may include holding regular meetings, creating committees for a particular purpose, and enforcing building restrictions within their community. One of the most important tasks of an HOA board is to set appropriate goals and objectives. And then come up with strategies that will help the board achieve their intended targets.
- Communication
HOAs are required to communicate with the owners in their community. They must be available to answer questions, address complaints, and ensure that all members of the community know what is going on.
- Marketing
HOAs are responsible for promoting their community by holding community events and promotion campaigns to help bring in new residents. With the right amount of advertising, HOAs can drive up the value of a property in their area.