A well-managed HOA protects the property value and makes the life for an easier and more enjoyable life.
Generally a well-managed HOA has clear and concise regulations that are timely maintained when circumstances change. The regulations are consistently applied throughout the HOA. Managers in the HOA have extensive working knowledge of HOA bylaws and regulations as well as of the applicable Law in their country and state. Homeowner concerns and ideas are timely addressed and when needed brought to a General Assembly for a decision. Homeowner participation flourishes and a community spirit evolves.
In many cases, a badly managed HOA starts with unclear and ambiguous bylaws and HOA managers without sufficient knowledge of the Law. These managers become insecure and defensive when Homeowners have issues as they do not know enough about the actual regulations and the Law. Therefore are not able to competently address those issues. Homeowners feel blocked out and are feeling that ‘nothing gets done’. The managers begin to meet in secrecy, do not publish any minutes of their meetings and try to exert excessive control. Homeowners become frustrated and participation drops. Bylaws become stale and there is a huge backlog of homeowner proposals. The community starts falling into camps and strive at assemblies becomes the norm.
If you care about your property value and in what kind of place you will be living, you need to get involved.
- Educate yourself on the bylaws and the common law that governs your HOA.
- Insist that those are unambiguous, kept up to date and easily accessible for all homeowners.
- Demand the regulations are fairly and equally applied. If you find a regulations unfair, propose new ones.
- Exercise your right as homeowner to participate and get involved.
- Make sure the people that are voted into HOA offices know the applicable laws and are equipped to handle the job. Ask them if they have ever studied the applicable laws and were able to understand them. They having talked to an attorney is not the answer you want to hear. They need to know their stuff.
Rapidly rising HOA fees are a sure fire sign for management issues.
When HOA fees are yanked it is usually for two reasons.
- The management has failed in the past to build proper reserves, so in present time expenses explode to catchup with deferred maintenance.
- The management is misappropriating moneys of the HOA.