The definition and purpose of community property management

Community propertyPeople have felt safe living in communities since the dawn of civilization. In most neighborhoods there are many subdivisions and complexes that are owned by different individuals, each having his/her housing units within them. The existence of these communities creates the need for sharing certain responsibilities. Communities utilize associations known as homeowner associations (HOAs) or property owners’ associations (POAs).

What are HOAs?

HOAs are privately owned and run but have the power to enforce CC&Rs (covenants, conditions, and restrictions). All owners of properties in a given residential area need to abide by the CC&Rs of their HOA. Outside the private housing units are community properties that are maintained by the HOAs. These properties include swimming pools and playgrounds.

Who are community property managers?

There are over 320,000 communities governed by community associations, housing over 63 million people in the US. HOAs are governed by elected boards that in turn outsource services such as property management. Some of the functions of property managers in the administration of community properties include:

• Collection of dues to pay for security and maintenance of community property
• Ensuring that community property has insurance
• Budgeting for collections by HOAs
• Hiring contractors and staff for specialized tasks

HOAs cannot perform all the responsibilities within community development and therefore hire maintenance crews, secretaries, and security personnel. Property managers will oversee these teams.

What is the purpose of community property management?

Community property is an invaluable component of neighborhoods across the US. The upkeep and maintenance of many common areas such as streets, trails, sidewalks, recreational amenities, water feature areas, ponds, parks, and some buildings are part of community property management. These manmade and natural areas require constant improvement to serve their intended purpose – accessibility.

The primary purpose of community property management within a HOA is to ensure that any improvements and maintenance work benefits not only the local community but also the environment in general. This, therefore, requires the involvement of homeowners, residents, and other professionals at every stage. The full spectrum of community property management entails CC&R compliance, correspondence, and bidding and supervision for maintenance work.

A highly experienced community property manager is an asset as he/she ensures that the HOA’s management plan, developed by the board of directors and other stakeholders, is interpreted to create a community that does not depreciate in value. A qualified community property company guarantees compliance with industry best practices and standards.

The function of community property management is to ensure that HOA neighborhoods safeguard the property values of their residents. This is performed by asking residents and homeowners to make contributions for landscaping and other maintenance work for amenities in the community.

There are several restrictions that HOAs enforce including raising farm animals, collecting junk in yards, and allowing standards within a housing unit to fall to a level that would jeopardize overall property values. A community property manager’s main purpose, therefore, is to ensure that residents’ investments are secured and neighborhoods maintain a curb appeal.