It can be pretty challenging to run a community. A Homeowners Association (HOA) is usually tasked with handling the business affairs of the neighborhood, ensuring needs and wants are balanced. Things they take care of include security, maintenance of utilities, and trash removal.
HOA sometimes gets overwhelmed and needs a Homeowners Association management company to help them execute these roles. This firm usually works by the rules set by the HOA board for the wellbeing of the community.
Hiring an HOA management company that fulfills the community’s needs is an uphill task. Here are tips to help you make the right decision:
1. Create a Search Committee
It is advisable to form a search committee to help the board select a management firm for your community. Ensure people you bring into the search committee are responsible and committed. It is recommended that the volunteers are experts in specific fields like construction, law, and finance, among others.
2. Determine Your Budget
Before you select hoa management companies, you need to determine a budget you will be working with. First, decide the services you need and the amount you’re willing to spend on them. It is at this point where you decide whether the board will handle some things.
3. Write Down Your Specifications
After the budget specifications, you will form a request for a proposal (RFP). Be sure to include all details of work and your expectations. Send this RFP without alterations to all HOA property companies to begin your selection process.
4. Evaluate the Companies
The companies you sent the RFP will respond with the same information since that’s what you asked for. The board will now evaluate each company’s proposal based on some merits and demerits. It would be much better if the companies sent a fee proposal and service proposal separately. This way, you can examine their services without being influenced by cost.
At this point, you will eliminate some companies and remain with the ones that merit. You will have narrow options which are more manageable.
5. Interview Shortlisted Candidates
Similar to hiring employees, you will also conduct interviews with the top management companies after your evaluation. A face-to-face interview would help you know the candidates better and understand how it would feel like working with them. Prepare by drafting interview questions that suit your community’s needs.
6. Contract Review
After the interview, you definitely have the best HOA management company that matches your needs. Before signing the company, review the contract to make sure both parties are favored and legally protected. An attorney can guide you through this. Once you’re done, finish up the signing process and let the work begin. You will monitor and track their performance to see that they deliver according to their promises.
A homeowners association management company comes with loads of benefits. It lightens the load off the community board while bringing expertise skills to the neighborhood. The selection process is, however, not easy. The steps above should help you select the right HOA management company.