Frequently asked questions about HOAs and HOA Management Companies.
What is an HOA?
An HOA or Homeowner Association is a legal entity created to manage
and maintain the common areas of a community. Typically these "common
areas" consist of things like pools, clubhouses, landscaping, parks,
streets and roads.
HOAs can consist of single family homes, condominiums, or town homes
and are typically setup by the original developer of the community with a
set of rules called "Declaration of Covenants, Conditions, and
Restrictions" otherwise known as "CC&Rs".
One of the primary functions of the HOA is enforce and ensure that
these "CC&Rs" are adhered to by the individual homeowners. The
guiding principals of these regulations are normally to help maintain
property values and the quality of life within the community.
What does a management company do?
Many HOAs contract a professional property management company, such as Sharp HOA Management, Inc. to properly and effectively utilize their expertise to handle
day-to-day operations, perform ongoing maintenance duties and
communicate with residents. In addition, the property management
company is responsible for executing on all Board decisions and ensuring
that all homeowners comply with the CC&Rs and adhere to state
condominium statutes. Other services include: Collection of assessments, supervision of subcontractors, providing financial statements and income/expense reports.
Sometimes, however, homeowners confuse the roles and responsibilities
of their HOA Board and their property management company, especially
when it comes to community rule enforcement. Despite what many
homeowners think, your property management company does not set any
policies or rules pertaining to your community, nor does it determine
the penalties for non-compliance. Rather, the management company’s
responsibility is to enforce the community policies and regulations made
by your Board of Directors on behalf of your HOA.