HOAs vs. Property Managers Explained By One of Nashville’s Best Property Management Companies
Are you a property owner in Nashville, Brentwood, Franklin, or the surrounding areas? If so, there are two potential organizations you may need to interact with when it comes to maintaining your investment: homeowners associations (HOAs) and property management companies.
While HOAs and property managers have different purposes, they can both be integral in ensuring your property is well taken care of and your tenants are happy. This article will outline the key differences and similarities between HOAs and property managers. That way, you can better understand how to utilize them and the services they offer.
What Is an HOA?
A homeowners association, or HOA, is an organization formed and run by the residents of a subdivision, townhouse, condominium complex, or any other type of planned community. HOAs are run by an elected board of volunteers, who help manage the common interest of all residents in the neighborhood.
HOAs are typically responsible for the upkeep of common areas, such as parks, playgrounds, swimming pools, gyms, and tennis courts. They also create and enforce rules for the community, which all members are obligated to follow.
These rules include landscaping guidelines, acceptable paint colors for homes, uniform mailbox styles, and acceptable home designs. The purpose of these regulations is to maintain aesthetic standards, which in turn influence the property values for homes in the community.
HOAs may have rules concerning other aspects of living in the community, like how many pets you can have, what type of vehicles you can own and where they can be parked, quiet hours, and whether or not you can rent out your property.
Another key responsibility of HOAs is managing the insurance, utilities, and finances for the community. HOAs get their funding from the monthly or yearly dues paid by the residents. These funds are then used to cover the cost of the community’s insurance and utilities, as well as maintaining common areas, infrastructure, and planning neighborhood events.
While some people view HOAs as an extra expense, many homeowners find that the benefits they offer are well worth the cost. This is because HOAs provide a sense of community and neighborhood pride through social events, and access to well-maintained amenities that all residents can enjoy.
What Is a Property Manager?
Property managers, or property management companies, are hired by a property owner to help manage their residential or commercial real estate. They are responsible for the care and upkeep of the property, whether it is a home, retail mall, piece of land, or an office building.
Their duties include overseeing all the day-to-day aspects of the property to keep things running smoothly. This includes jobs like:
- Collecting rent
- Resolving tenant complaints
- Handling maintenance requests
- Filling vacancies
- Managing the property’s budget
Property management companies can take the hassle out of owning residential rental properties, commercial office or retail buildings, or even out of maintaining your own home. That way, the property owner can sit back and focus on generating an income from their real estate investment. Imagine being able to check those pesky items off your to-do list without having to deal with them yourself!
How Are HOAs and Property Managers Similar?
Property managers and homeowner associations actually share some of the same responsibilities. For example, both organizations are responsible for ensuring the maintenance and upkeep of the properties they oversee. They either perform maintenance tasks themselves or hire specialized professionals depending on the need.
In addition, HOAs and property managers serve homeowners and tenants directly by resolving disputes, handling complaints, and ensuring all residents are happy living in the community.
Property managers and HOAs are also responsible for making sure residents follow all the rules of the neighborhood, and that homes and yards are in accordance with the defined aesthetic standards.
What Are The Differences Between HOAs and Property Managers?
While HOAs and property managers might seem similar on the surface, there are some important differences between the two. For example, homeowners associations are typically run by volunteer boards made up of the community’s residents, while property managers are professionals hired by an individual property owner or HOA.
Additionally, HOAs are generally located in residential neighborhoods. On the other hand, property managers and property management companies can oversee residential communities as well as commercial or industrial properties. HOAs also typically cover a smaller geographic area, such as a single neighborhood or subdivision, while property managers may be hired to take care of multiple properties in various locations.
Lastly, property managers are often in charge of rental properties while HOAs primarily govern neighborhoods where people own their homes, though some HOA communities may permit renters.
Ultimately, despite their differences, both HOAs and property managers play an important role in maintaining the quality of life for residents in their communities.
Have You Considered Working with One of Nashville’s Top Property Management Companies?
If you’re checking out property management companies in Nashville, Brentwood, Franklin, or the surrounding areas, WMCO should be at the top of your list. WMCO offers complete property management services to make your life easier. We’ll take care of everything from property maintenance and financial reporting to tenant screening and rent collection.
We also offer community association management – a special service for homeowners associations to take some of the load off of volunteers. We can handle fee collecting, maintenance of communal areas, financial management, and more to help your HOA run more smoothly.
If you need help managing your property, please contact us today for more information! We would be happy to discuss our services with you and answer any questions you may have.