Community Association Management

 
 

Community associations, led by an elected board of directors, dictate the overall management and development of a group of homes or condominiums, and have a responsibility to the community to make sure their homes as investments remain secure. Oftentimes for larger associations, a manager or management company will be employed by the board to handle the day to day tasks of maintaining and developing the community. Managing a community association is a complex and involved job; whether for a community of single family homes or condominiums, it takes time, knowledge and dedication to see a community association succeed.

Homeowners associations (HOAs) are commonplace across the nation; the Community Associations Institute trade association estimated that homeowner's associations governed 23 million American homes and 57 million residents in 2006.(source) In general, when buying a home or condominium that is governed by a community association, it is required to become a member of the association as a stipulation of purchase. The association's governing documents, or the legally binding documents that outline the rights and requirements of the owners within the community, are part of the closing paperwork. As a member, homeowners are able to take advantage of the amenities and services offered by the association.

The boards of these associations, who are made up of elected members of the community, are responsible for providing these amenities and services. General responsibilities might include these: managing common areas within the community like parks, clubrooms and pools; property interests and working to maintain property values; developing amenities and activities to encourage a sense of community; and most importantly, upholding the rules and regulations set forth by the governing documents of the association. The boards are also in charge of setting goals and standards for the community, maintaining the rules to be upheld by homeowners, and the financial stability of the association.

For smaller associations, the elected boards are generally volunteers, but for larger communities, it is necessary to hire a manager or management company to oversee the duties and tasks the board has set forth. Also, often, association boards have to deal with legal and financial issues that require industry professionals; rather than hiring on a contract basis, a professional association manager can handle all aspects of the community's upkeep. Essentially, an association manager takes over the responsibilities of the board and oversees duties including: the maintenance of common areas like landscaping and improvements; budgeting and assisting with the development of governing documents; enforcing association rules and regulations within the community; carrying out the development goals of the board; acting as the liaison for work orders and maintenance; and being the point of contact for the city, contractors and developers. Sometimes the manager can also be brought on as a leader to help a new or inexperienced board establish goals and projects for the community. In having a permanent professional manager, it leaves the board free to make decisions while an experienced professional oversees the day to day tasks and projects.

Association management is a vital role within a community. It ensures that the benefits of having a community association are achieved, while enabling it to run smoothly and successfully. Professional managers and management companies are becoming integral to the community association infrastructure and process as the need for homeowners to maintain their real estate investment intensifies and communities expand.

The majority of this information was found in the Community Association Institute's "An Introduction to Community Association Living". Found on the regenesis.net website. Accessed on December 10, 2008. http://www.regenesis.net/community_association_living.pdf