If you’re a new resident in an HOA neighborhood, or your neighborhood has recently started an HOA, all the terminology thrown around can be confusing. Of course, you might know what words like “president” and “treasurer” mean outside of an HOA context, but what about the inside of it? What do these positions do? And what’s the deal with HOA boards and property management services? Don’t they essentially do the same thing? It all can feel so overwhelming.
Gassen, as an Eden Prairie provider of online property management, accounting property management, and general HOA management, is here to help. While we can’t answer all your HOA questions in a single blog post, we can at least define a few terms.
Below, we’ll discuss the difference between property management services and HOA boards, what they each do, the purposes that each serve, and what might be a better fit for your fledgling HOA.
The Key Difference: One is Paid, One is Volunteer
Indeed, HOA boards are volunteer positions. Neighborhood residents give up their time willingly and for free to govern everything from the neighborhood’s collective funds to its bylaws. In contrast, HOA management services are paid to help the board out with whatever it may need. As board members nearly always have paying jobs and family life outside of their HOA commitments, so these services can be not only helpful but essential to running a functioning HOA.
In addition to this key difference, there are a few other things that set property management services and HOA boards apart.
● HOA boards don’t need to be experts at what they do | While it’s certainly advisable for your HOA board to have past experience in a similar position, they don’t necessarily have to meet any minimum qualifications. In contrast, property management companies are made up of professionals who have devoted their lives to helping neighborhood life go smoothly.
● The board has the ultimate say when it comes to neighborhood goings-on | While property management services are industry professionals, the board tends to carry more weight in neighborhood policies and the like. After all, the board pays the HOA management company, not the other way around!
● Boards generally are more involved in planning community events | Though this isn’t a hard-and-fast rule, it is very common.
Contact Gassen For Personalized HOA Management Services
We’re here to help with whatever your new board might need. Give our Eden Prairie office a call now at 952-922-5575.