What Does an HOA Management Company Do?

Jul 28, 2020

Community living in the modern urban lifestyle requires high scale management and effective decisions. Enforcing the community’s rules and ethics, clearing maintenance issues, and enabling overall site management can be difficult within large urban communities. Homeowners are a group of people (a community) who share the same interests. 

neighborhood in san diego managed by hoa company citadel properties

They may belong to the same apartment complex, society, or neighborhood. This includes both property owners and rental property tenants. When you’re searching for a place to live, the nearby amenities and environment matter just as much as the place itself. The neighborhood, maintenance services, security, basic facilities, and leisure amenities play an important role in deciding property values. 

HOA vs. HOA Management Company

Given the complicated structure of modern housing, a number of large homeowner communities have established their own Homeowners Associations (HOAs). The Homeowners Association of any given community is responsible for setting up voluntary management teams. 

Essentially, a Homeowners Association makes sure that the community affairs run smoothly at all levels. Whether it’s the collection of dues, control of vandalism, new sewage systems, or any other management task, the HOA is responsible for its success.

However, there’s a limit to the time and effort one can volunteer for such services. Even the most cooperative neighborhoods have to face management problems every once in a while. No matter how effective or experienced a condominium association is, there are always people who don’t pay their dues timely, litter around, and are just a nuisance. 

Even the people who are willing to uphold the sense of community, have a thousand other issues to deal with in their personal life. With the limited attention that the owner’s association and HOA boards are able to provide, it gets difficult to maintain the community. 

The solution to every obstacle in this regard is hiring a third party service that can manage and supervise all aspects of the association. This third party service is known as an HOA management company. Private and commercial property management, supervision of services, routine reports, and accountability are overseen by such companies.

Though the duties of an HOA and a professional HOA management company seem similar, there’s actually a very fine line between the two. The HOA board of directors and the homeowners do the actual work for the residential area. They are responsible for managing waterworks, curbing crimes, and ensuring other amenities are always available. 

The Homeowners Association managers supervise, schedule, and direct all the administrative and management work. The HOA company managers and HOA boards work together to maintain a safe and secure living for all within the community.

What Do HOA Management Companies Do?

HOA and property management companies are dedicated to making your homeownership a pleasant experience. These companies are capable of handling large communities in any area with topnotch expertise. The management inc and HOA boards of directors work together to make sure that the community can sustain itself and doesn’t break down. 

As we mentioned earlier, the homeowner associations themselves commit to the actual work of clearing dues and maintaining the property. The management company’s job is to make sure the HOA is operating effectively and without any disruption. Let’s have a detailed look at the job of the HOA management company’s duties:

Administrating the Homeowners Association

An HOA management company primarily assigns management contracts to the homeowners. The management is responsible for thoroughly examining the needs of the homeowners. The HOA company also oversees HOA finance, HOA property, HOA insurance, and HOA committees. 

The administration is the backbone of this company. It is basically responsible for guiding the boards of HOA directors around the frequent problems they may come across. Moreover, the administrative scope of HOA management includes many things, such as:

  • Scheduling board meetings with homeowners to discuss current issues or upcoming events.
  • Making sure the amenities are provided uninterruptedly and with proper quality control.
  • Advising the board on financial matters of the community.
  • Discussing and providing routine reports of the community.
  • Accounting Receivable Management

Another sore thumb of the modern homeowner’s community is the myriad of laws, rules, and formulas regarding account management. Finances can be especially difficult to handle in places where there’s commercial as well as a rental property. The best way to effectively get all the accounting done on time and with proper accuracy is to consult an HOA manager. 

In this regard, the management responsibility comprises accounting for the expenditure and living costs of the homeowners’ community. They’re responsible for understanding the state laws and creating an effective system of local accountability. In this regard, the HOA managers can:

  • Manage the billing.
  • Investigate, notify, and report delinquent owners.
  • Take legal action against delinquent owners within the HOA’s directives and state policies.


Apart from just collecting bills from stubborn homeowners and tenants, a management company has a number of other jobs at hand. Not only is it responsible for extracting enough financial resources, but it is also responsible for making these finances as fruitful as possible. 

The accounting aspect of HOA managing deals with long term community savings, renovations, maintenance costs, and improving services. All this isn’t done in the blink of an eye. It took a lot of planning and focused on calculated decisions. Briefly, here’s what the HOA management company does:

  • Estimate the current and future costs of maintenance for homeowners.
  • Detailed record keeping of all expenses and savings.
  • Saving the capital in the community’s bank account.
  • Review monthly billing and figure out the dues.
  • Create monthly financial statements for analysis and record keeping.
  • Guiding the board of HOA for long term financial goals for the community that can enhance the value of the neighborhood.

Site Management

Beside handling upper administrative affairs, the company also works with the HOA to ensure the quality of life for the community. This includes:

  • Enforcing rules within the territory.
  • Ensuring all the contract-based tasks are done and paid for in a timely manner. 
  • Dispute resolution within community members.
  • Considering management proposal.
  • Reviewing and solving maintenance issues.

Ready to explore a new HOA management solution? Call Citadel! 619.487.9977 🔥🔥🔥