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HOA's always run out of money

Discussion in 'Commercial Snow Removal' started by Scottscape, Feb 28, 2010.

  1. Scottscape

    Scottscape Senior Member
    Messages: 662

    I quit doing HOA's last year because they ALWAYS run out of money. I dont recommend them to anyone. I get lots of calls for them probably more calls for them than I do anything else.
     
  2. djagusch

    djagusch 2000 Club Member
    from mn
    Messages: 2,071

    Never had a HOA run out of money. Typically their reserve funds are larger than 10K one I have has approx 70K in reserves. They set away money for future repairs (aka driveways, sidewalks, sod, siding, roofs, etc). If the HOA runs over budget the BOD can dip into the reserves and adjust dues for the next year. Typically if you talk to the property management company they can let you know the reserve situation if payment is slow. Example one month my check was a week later than normal and I made a call. It was then end of the fiscal year and they went over budget on a couple areas. When the check was cut it was put on hold do to the low bank account number. That made the PM email the BOD to approve going into the reserve fund (that had 38K in it). I had a check within two days of my call the Prez of the HOA sent a email saying sorry for the inconvenience.

    Might be more to your story or state laws about HOA's are different in Ohio.
     
  3. hoskm01

    hoskm01 Senior Member
    from AZ
    Messages: 475

    We focus and strive for HOA's, they are EXCELLENT customers.

    Like djagusch said, they have reserves, and if they dont, they are not being properly managed. Any HOA worth their salt has a LONG term plan and sets aside money for driveways, sidewalks, new irrigation system, everything under their care. Our smallest HOA has about 400 homes and 500k in reserves (so the property manager tells me). If snow removal is high this year, they'll adjust their line item in the budget for next year to compensate. The reserves can be used to compensate as well, in heavy years, or for a major repair.

    HOA's are great, I recommend them to anyone and everyone. Make sure YOU also conduct an interview on them and any customer before you sign on the dotted line.
     
  4. buckwheat_la

    buckwheat_la 2000 Club Member
    Messages: 2,254

    around here they can go both ways, some HOA's are great, some a real PITA, usually the ones trying to run everything themselves, and that have a high rate of rentals, don't reserve a large amount of money, but if you get a "elderly" HOA, they are great, usually having a large amount of money aside, and willing to pay for great service
     
  5. clark lawn

    clark lawn PlowSite.com Addict
    from NE ohio
    Messages: 1,233

    must be an Ohio thing cause around here they always cry poor. i have had a couple that i do tell me to up trigger(no) and no more salt( sign off) because they dont have the money for this season. acually the last three seasons have been like that because we have been in the top 5 for snowfall records.
     
  6. kramer56

    kramer56 Senior Member
    Messages: 595

    HOA? may i ask
     
  7. basher

    basher PlowSite Fanatic
    from 19707
    Messages: 8,992

    Home Owners Assoc.
     
  8. My bowtie

    My bowtie Senior Member
    Messages: 279

    I do a small HOA. 13, 5+ ac lots. I only do the roadway not the HO drives. Always a PITA getting paid, and crying poverty. Told me no more sand/salt this yr. Had him sign off on that one.
     
  9. dfdsuperduty

    dfdsuperduty Senior Member
    Messages: 597

    what is the best way to target HOA's with marketing (i.e. contacts, po boxes etc...)
     
  10. big acres

    big acres Senior Member
    Messages: 653

    Target property management companies who specialize in HOA. A great way to get access to them is to join your local CAI chapter (Community Association Institute). If you have a good local chapters there will be monthly luncheons for like $30 where you can sit with the managers, mingle, learn a bit about their biz, or step up to a higher sponsorship level and have a display table or appear on their website and literature.