Homeowners Associations make the rules of condominiums and subdivisions and also enforce those rules. Although not all communities have HOAs, they are increasing in popularity. An HOA can alleviate a homeowner of certain responsibilities, but it also imposes rules with which they may disagree.
If you have the job of selecting an HOA manager for your community, you may wonder what you should look for in an HOA management company. Research is the key to finding the perfect HOA manager for you. However, you will need to do more than research on your computer.
According to Probayway.com, There are a few steps you should take before selecting a management company.
How much are you willing to pay?
Before you begin your search, you should sit down with your HOA committee and determine a budget. You must discuss the services you need the HOA management company to provide. If you have a large community with a lot of members on the HOA board, there may be some tasks that you can perform yourself.
Once you have decided on a budget and the tasks the manager will perform, you want to let HOA management companies know that you are looking for services.
To get bids from HOA management companies, you will have to create a request for a proposal. Every management company that you contact must be given the same set of facts. You must include your HOA’s financial records in the proposal.
You are required to provide detailed information about your community to potential management companies. They will need to know if you are incorporated. You must reveal whether or not you are a not-for-profit organization and if you can provide them with the proper documentation of this status from the IRS.
The management company will need to know how many people are in your HOA, They will also need to know who your officers are, and they will need to know how often you have meetings and when they will be required to attend these meetings.
The proposal should ask management companies to provide you with information about why you should hire them and not someone else. It is important to be very detailed with your needs in your proposal. The management company should respond with a very thorough sales pitch illustrating why they are the best company to handle your needs.
Discuss Your Options
Once you have bids from at least three management companies, you will want to discuss those bids with your committee. At this point, you may want to research each of the companies that have made you an offer. You should find out how long they have been in business and if they have any complaints against them with the Better Business Bureau or your state’s Department of Real Estate.
Your committee should come up with a standard set of interview questions. As you interview potential candidates, you might think of new questions along the way. Hence, it would be difficult to ask everyone the exact same questions, but you should try to keep them as uniform as possible. You can have a formal meeting face to face or on Zoom.
Make a Decision
Once you have interviewed all of your candidates, it is time to decide on the best HOA management company. Go around the table at your committee meeting and have everyone state who they would like to hire and why they would like to hire them, and then have everyone take a vote and let the majority rule.
Having an HOA manager alleviates a great deal of stress from you and the people on your board as long as you choose wisely.