FAQ for HOA’s
The HOA’s insurance covers items in your association’s documents (Roof, exterior walls etc.) Each HOA is different with what it covers. A private Home Owner’s policy covers the interior contents of the property (cabinets, appliances etc.). A Landlord policy covers owners for many different issues including liability issues. Recommendation is for all homeowners to have a HO6 policy.
Fees are set at a flat rate with no set-up fees. A flat rate of $100 per document preparation for annual disclosures provided to homeowners is charged annually.
All required tax reporting is provided at no additional charge.
The client is responsible for all operating costs for running the property including, but not limited to, advertising, legal fees, as well as wages, payroll taxes, and workmans’ compensation for property employees, all materials and labor in connection with authorized repairs or improvements for the property, all services for the property (i.e. pest control, landscape maintenance, parking lot, etc.), utility charges, property taxes, insurance premiums and accounting and tax preparation fees. Regency reserves the right to pay all expenses for the property from a client’s trust fund account, on behalf of the client.
During the operational phase, Regency will implement the following:
- Computerized billing to all property owners.
- Follow-up on all delinquent property owner payments.
- Pursuing appropriate legal remedies for non-payment pursuant to the owners directives.
- Establish and maintain computerized accounting for property owner accounts.
- Prepare and mail notices.
- Enforce all rules pursuant to tenants lease.
- Supervise all common area building maintenance.
- Selecting vendors for all common area services on a competitive basis and ensuring vendors are properly licensed, bonded and insured as required by law.
- Review insurance coverage and get competitive bids.
- Provide detailed monthly financial reports.
- Processing annual 1096 transmittal and all 1099 forms.
- Help prepare annual financial records.
- Provide special financial analysis or statistical reports as needed.
- Maintain business relationship with all individual property owners and respond to any special request for services not covered in the contract.
Develop a plan to maintain and increase property values.
- Maintenance of property
- Improvement of property
- Maintenance of adequate reserves
Protect Board of Directors from personal liability.
- Maintain documentation
- Handle issues promptly
- Review and educate board members on Association documents (i.e. CC&Rs, By-Laws, Amendments) and current laws (i.e. local, state, and federal laws including Davis-Stirling Act, Codes, and Real Estate Laws.)
Ease in Transfer of Power
- Able to bring new Board members immediately up to date
- Facilitate change in financial documents including signee privileges
Encourage Community Involvement
- Allows owners (homemakers, retired persons) to participate
- Allows Board to focus on immediate concerns
Act as a mediator in disputes
- Promote harmony among all residents
- The “go to guy” regarding ownership concerns
- Able to help reach compromises
- Explain rules, regulations, and reason behind them
Perform collection activities
- Able to keep Board informed of the status of accounts
- Able to contact Delinquent accounts and act accordingly within Bard and Association document guidelines
- Able to take necessary legal action to protect the Association
- Experienced in facilities and construction management; ensure the quality of service through supervision.
- Help prepare bid specs
- Solicit competitive bids from competent contractors
Assist in orderly transfer of property
- Fill out Association certifications
- Provide documents when needed
- Orient new owners
- Keep owners up to date on association business
- Solicit proxies when needed
- Solicit comments and suggestions from owners
- Ability to provide cost-effective bids
- Avoid losses maintaining consistent collections practices.
- Know the Rules created by the HOA Board. This will help you understand and obey any limitations, by-laws and any other rules and regulations implemented to maintain the community.
- Remember that you must pay your HOA fees on time. By not paying or paying your dues late will result in fines, liens and in very extreme cases, foreclosure.
- Never ignore any communications from the homeowner association, especially any notices that may regard outstanding dues, rule changes/violations, or fines. The HOA board is created to make sure that all homeowners are treated equally, which also includes placing liens and taking more serious measures to make sure that all policies are implemented accordingly.
- Always maintain your property according to HOA governing rules and policies. If you are making any additions to your home, remember to contact your HOA board and clear it with them first.
- Be aware that HOA approval is generally needed before making improvements. This includes all exterior improvements to the home and also some interior improvements.
- Know that your association has certain responsibilities to the membership including compliance with federal and state laws, fiduciary responsibility by board members, elections, meeting notices, meetings, due process and much more as defined in the covenants and by-laws.
- It is important to stay well informed and to be a part of the homeowner association business. Attend meetings, annual meetings, understand budgeting, and even volunteer to serve as part of the board if you have time.
- Make sure that the HOA board has all your current contact information including telephone numbers.
- If you rent out your home, let the tenants know that they must comply with HOA rules. Remember that homeowners are held responsible for all tenant/guest actions, so make this clear for anyone living in your home.
- Know the members of the board and also who to contact when needed. Maintain on hand with information about who is in charge as HOA representative, on-site employees, property management company information, and any other information regarding the board.