7 Tips for Running an HOA Successfully

Running a Homeowners Association can be hard and challenging. You’re responsible for making sure your neighborhood is in peak shape. If not, it could impact the overall appeal of your community and your property values. But, what makes a great HOA? (We dive deep into this in our ebook here). The answer may depend on the type of community association you have, your homeowners, and so on, but at the core of every successful HOA are these characteristics:

1. Build a Competent HOA Board With Clear Objectives

Without a board of directors who know what they’re doing, your community is essentially like a chicken with its head cut off – frantic, frenzied, and a mess. They should also have clear objectives and goals that define the future of the HOA.

Your board should be able to fully understand the governing documents to make the correct decisions. They also will have the skills and experience to manage your community, or at least the training and educational opportunities available to them to grow in their positions.

2. Keep the Community Top of Mind Always

To be successful, the HOA board should always put the community and it’s homeowners first. Board members should always remember their fiduciary duty to the association – meaning, their legal obligation to make reasonable decisions for the best interest of the entire community.

3. Have a Healthy Budget

The financials should be transparent for all members to see. It should also be balanced. A great HOA board will know how to draft a budget. If the budget is a mess, the community will likely follow suit.

4. Hold Productive and Efficient Meetings

Time is valuable, especially for your volunteer-run board of directors. That is why it’s important to keep meetings short and productive. Take time to study the agenda before meetings, so you’re not wasting anyone’s time. Have questions in hand, and come to the meetings with solutions.

5. Be Fair and Consistent When Enforcing Rules

There will always be a homeowner in your community who doesn’t want to follow the rules – it may even be your next door neighbor or your friend. As a board member, your job is to make sure you enforce the rules in a fair, unbiased manner. If you’re being selective about who you enforce rules with, you may run into some serious legal issues down the road.

6. Communicate Openly

Residents have a right to know what’s happening in their own community. Be consistent with sharing updates on all non-confidential community matters. You may even want to involve homeowners. If you and the homeowners can work together, it can only help your community as a whole function optimally.

7. Know When to Call For Help

A successful HOA knows when to wave the white flag and ask for help. A property management company can come in and take over the daily tasks that may be overwhelming the board of directors. This way, the board can focus on the important tasks that impact the community.

The strength of the HOA depends on how well the board functions. That’s why we created this checklist of 8 tips for becoming a better board member. A strong board equals a strong community; resulting in higher property values and lower HOA fees.