3 Things You Didn’t Know Your Property Management Company Does
Your property management company performs many vital functions in order to facilitate the smooth running of your homeowners association. Your management company is the support system that helps carry out the directives of your board. However, your management company is tasked with entirely different responsibilities and functions than your HOA board.
Regarding the relationship between your HOA board and your management company, many homeowners aren’t entirely clear about who does what.
To understand more about the basic division of duties, review our previous post titled, “Rules and Expectations of Managers and HOA Boards of Directors.”
Beyond the many upfront duties that your property management company provides, there are lots of smaller, behind the scenes functions that are highly important.
Here are three lesser-known ways that your property management company is working on your behalf to preserve the property values in your homeowners association.
Property management companies support and influence the board but don’t have final decision-making power.
Ultimately, your board of directors has the final say in making every decision for your HOA. Your HOA management company provides your board with expert advice for sound business decisions, recommendations for vendors, and guidance on when to consult legal counsel for an issue. Since the management company is charged with implementing the decisions of board of directors, it can create confusion about where the decision originated. Very little is decided by the management company, including hiring vendors. While HOA board members might seek the advice of HOA property management experts, the board always has the final say.
Management companies provide accounting services.
Managing the logistics of an HOA’s accounting is a detail-oriented process that occupies lots of man-hours. Your management company provides extensive accounting services to safeguard your association’s assets on behalf of your homeowners association, alleviating board member volunteers from bookkeeping paperwork so they can focus on the overall strategy for maintaining the best possible community.
Property management accounting services include:
- Accounts payable and accounts receivable
- Dues collection & reconciliation
- Online payments through ACH
- Monthly financial reporting
Property managers are experts in the specialized accounting needs of homeowners associations, so their accounting services are thorough and complete. This expertise protects your HOA from liability.
Management companies brainstorm ideas to build community.
Aside from overseeing your HOA’s daily operations, including accounting and inspections, your property manager is hard at work generating ideas to bring your community closer together. For some communities, that means sharing the fruits of a property’s amenities. For others, it’s organizing activities that introduce neighbors and provide fun family entertainment. Creativity and ingenuity are important traits that your manager and property management company apply to make your community a more inviting and welcoming place to live.
Your property management company is hard at work handling multiple tasks that create a community you love and establish a desirable place for new homeowners to buy into. If you have questions about what your property manager does for your community, don’t hesitate to reach out. Schedule an in-person meeting with your manager, visit a board meeting, or contact your management company directly.