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What Does an HOA Management Company Do?

Whether you are new to a homeowner’s association community or have been a resident for awhile, it is important to know the responsibilities of an HOA Management Company and the responsibilities of your board of directors. Many times management companies may take the blame for upset homeowners, when in reality, the management company is following direction and decisions of the board of directors. In this blog, we will highlight the responsibilities of an HOA management company and the board of directors of a community.

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What is an HOA Management Company?

An HOA management company is a business who oversees the operations of an homeowner's association (HOA). The board of directors of an HOA may select and hire a management company to carry out essential responsibilities such as, collect homeowner dues, pay invoices, provide monthly management and financial reports, enforce rules, conduct property visits to address maintenance issues, answer homeowner questions and much more.

What are the responsibilities of an HOA management company?

  • Carry out the decisions of the Board of Directors (but must be within limits of their Governing Documents, management contract & state and federal laws)

  • Provide monthly financial statements

  • Offer guidance to board of directors

  • Vendor and contract management

  • Pay invoices

  • Property maintenance & regular property visits

  • Collect homeowner dues

  • Obtain bids from vendors

  • Rule enforcement

  • Insurance management

  • Capital improvement projects

  • Homeowner questions & relations

What are the Board of Directors of an HOA?

The board of directors of an HOA are voluntary homeowners who are elected to help run and oversee the community. The board makes decisions based on the community’s needs and within limits of their governing documents.

What are the responsibilities of the Board of Directors in an HOA?

The board of directors makes decisions for the association on behalf of the homeowners. Ensuring that the common areas are well cared for and maintained, determine appropriate due amounts, select vendors and review contracts, schedule board and homeowner meetings, resolve homeowner disputes and address other common situations that may arise. The Board is also responsible for obtaining insurance for the community and enforcing the rules of the governing documents. The Board is not paid by the association, they are voluntary. The most common hierarchy of a board of directors includes the president, vice president, secretary and treasurer.

What happens when a Board hires a full service management company?

Many associations choose to have a full service management company oversee their community as it relieves the board of completing many of the responsibilities listed above. Management companies, such as Gassen HOA Management, overtake the monthly financial reporting, vendor contracts and payments, homeowner dues, property visits, maintenance requests and even provide a client support team to assist the homeowners in the community with questions. A full management company's provides an association manager who completes monthly property visits of the community and addresses potential maintenance or construction items the association will need to fix or update. Managers also will seek out construction bids for the community as needed. Managers work closely with the board and play a vital role in the community, but they are still restricted by the community's governing documents, the contract between the company and the HOA, and the direction of the board of directors, as well as state and federal laws.

The main goal of Gassen HOA Management, is to have a smoothly operational HOA, and to also address the needs and elevate the HOA to its next level. We are prepared to help lead your community to its highest potential. If your community is seeking value-based HOA management services, we might be a great fit for you!

What if an HOA does not have a full service management company?

Some homeowner's associations choose not to hire a full management company for their community for a variety of reasons. Including, but not limited to, the size of the HOA, inability to afford the fees or the ability to complete all of the routine management tasks on their own. There are three common ways for an HOA to operate.

  1. Hiring a management company: The board of directors finds an HOA management company to work with, signs a contract and is assigned an association manager to oversee the property and carry out the rules of the governing documents. Monthly financials are also then taken care of by the management company, as well as many other aspects of the community.

  2. Self Managed: A board of directors may decide to not hire a management company put to instead voluntarily manage the community and its financials on their own. Board members are not paid for these duties.

  3. HOA Employed Manager: Some associations may chose to take the route of finding and hiring their own paid association manager instead of self-management or hiring a company.

If you are a self-managed association and not interested in full management, a division of Gassen, HOA Assist, provides financial services to these specific types of HOAs! HOA Assist manages monthly financials for HOAs across the nation of any size and type and at a fraction of the cost of a full management company.

Interested in our full management HOA services?

Gassen Management has been providing property management solutions since 1969. Over the years, we have built a reputation for being proactive to problems, solution-focused and dedicated to providing expert service.

In 1986, we began to focus on HOA management only in Minnesota and have since then become one of the most trusted and reliable names in the industry.


We are a team of dedicated professionals, who are committed to providing you with the best solutions for your property management needs. Our team is here to provide you with the guidance and assistance you need in HOA living to ensure a successful outcome.

Contact us today at 952-922-5575 to have your questions answered or start the first steps to partnership!

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