Why Should an HOA Hire a Property Management Company?

Why Should an HOA Hire a Property Management Company?

Should a Home Owners Association consider hiring a property management company? Effectively Managing an HOA community can be a significant challenge. Typically, a Homeowner Association (HOA) is responsible for handling the companies’ corporate affairs while balancing the local community’s wishes and needs. However, these duties are often greater than volunteers are capable of or willing to handle without professional assistance. So why should an HOA hire a property management company?

When volunteer board members become overwhelmed with responsibilities, many HOAs employ property management companies to manage their communities effectively. Here is a closer look at whether it is a wise decision for an HOA to hire a management company, its fundamental roles, and how the management company can help the HOA.

What is a Property Management Company?

A property management company handles all the tasks related to owning a rental, including maintenance, operation, and oversight of the real estate properties and associations they manage. An HOA will save much time, tension, and money by hiring a management company. It is important to note that an HOA management company is just as invested in the city as homeowners are. Its mission is to maximize property values and to maintain healthy and harmonious living conditions for everyone. 

Why is it Important for an HOA to Consider a Property Management Company? 

Why is it Important for an HOA to Consider a Property Management Company?

An HOA board can accomplish so much more with the assistance of a management firm than it could by itself. An added benefit is that there is no need to assign complete accountability to a manager. A few challenging daily activities will free up the board to concentrate on more strategic, long-term objectives.

In essence, a competent HOA management company makes it far easier for an HOA board to meet its responsibilities. HOA management companies will assist your HOA in the following ways.

Hiring vendors

Typically, HOA board members lack the resources and network connectivity necessary to locate cost-effective and reliable vendors and home insurance service providers. However, a management firm can leverage a vast network of resources to identify the most cost-effective vendors in your region. That is because the majority of management companies have established long-term relationships with seasoned and skilled vendors with whom they have worked for years. These partnerships result from a strong reputation based on being dependable, paying on time, and gaining access to additional clients. As a result, suppliers are likely to accept lower prices with well-known management companies than unfamiliar HOA board members.

Open communication

The wonderful thing about an experienced management company is that they are not solely responsible for enforcing laws and regulations. Additionally, they make a deliberate effort, through strategic action, to attend to and consider community members’ needs before fulfilling them appropriately.


Occasionally, familiarity with residents can influence HOA board members’ decision-making and even result in unintentional preferential treatment. A management firm is distinct from a property owner in that it has no personal relations with the tenants. As such, a property manager is free of any underlying prejudice in enforcing the association’s rules and regulations.

Resolving legal disputes

Additionally, the HOA management firm is responsible for ensuring that the organization adheres to its laws, regulations, and state law. Knowledgeable HOA managers bring extensive litigation expertise and collaborations with legal practitioners to the table, which will help the HOA.

Managing expectations

When most residents move into HOAs, they obtain governing documents for the association as part of their welcoming package. However, most people are so distracted that they neglect to read these lengthy and difficult-to-understand papers.

However, it is essential that the board reviews and comprehends the HOA’s founding documents, including its bylaws, policies, and CC&R’s.

Seasoned HOA management representatives will collaborate with the board members to interpret and explain the governing documents, empowering them to implement them equally and effectively.

5 Tips When Hiring a Property Management Company

5 Tips When Hiring a Property Management Company

Today, the market has lots of HOA management companies. As such, it is critical to consider all aspects of their services before coming to a decision. Consider the following factors when selecting an HOA management company:

A Brief Client History

Perhaps the most critical factor to consider is their clientele history. The professional HOA management company has a good client history, from simple testimonials to the entire experience. Note that this does not always imply that an HOA management company with the most clients is the best. There are instances when newcomers to the HOA management sector perform well because of their smaller client base. That, in turn, keeps them focused and their undivided vigor in their work. As such, always choose an HOA management company with a positive record of accomplishment of client satisfaction. Always choose an HOA management company with a positive track record of client satisfaction.

Service Availability and Quality

HOAs must review the quantity and quality of services offered by an HOA management company. These companies can provide:

  • Reporting services
  • Collection services
  • Budgeting
  • Conflict resolution and assessment
  • Enforcement
  • Maintenance services 
  • Monitoring and accounting
  • Financial analysis

Service Costs

While the quality and quantity of services are critical in making final decisions, they must also be financially feasible. Regardless of their quality, professionalism, and reputation, hiring a company that an HOA can’t afford isn’t recommended. After all, retaining the services of an HOA management company is frequently a systematic process. As such, maintain a healthy balance of quantity and professionalism. 


It can be detrimental if the services of the HOA management company hired are unavailable. As such, HOAs should ensure that the firm hired has a relatively high availability year-round and during peak periods.


Generally, HOA management service providers can be far away from their residential communities or HOAs. It is still possible to hire such a company, but the additional payment is usually avoidable. Therefore, always choose the more accessible option.

Bottom Line

Why should an HOA hire a property management company? When done correctly, hiring an HOA management company can be highly beneficial to all parties involved. After all, a collaboration between the property management company, HOA board, and homeowners is critical to the success of an HOA community. Each party must accept its responsibilities to contribute to the health of a community. 

Call the Experts

There are numerous advantages to collaborating with Dwellings Property Management. Along with alleviating your HOA board’s workload, our HOA management company brings professional insights and practical resources to the table. Whether you are a new HOA looking to hire a property management company or thinking of switching HOA management companies, please do not hesitate to contact us.

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