Governing Board Duties Increasing

As many cities, including Detroit, experience financial difficulties, some homeowner associations have assumed control of various duties for the associations they serve.  The nature of HOA communities has shifted to include property maintenance, trash collection, and other duties that were once performed by local governments.  As a result, it is becoming increasingly difficult for board members of HOA communities to take care of the day-to-day operational tasks of managing the communities they represent.  According to USA Today, 75%-85% of HOA communities perform their day-to-day activities with the assistance of an experienced property management company, while the other 15%-25% are still self managed.  

As the residual effects of the housing crises continue, governing board members of HOAs are required to take on more and more responsibilities.  This ranges from daily operations like dealing with contractors, bookkeeping duties like paying invoices, and collecting delinquent association fees from fellow members  These tasks can prove to be daunting without the assistance of a professional management company, such as LandArc.

Click on the following link to read more:

http://www.usatoday.com/story/money/business/2013/03/03/hoas-pick-up-duties-left-by-struggling-cities/1960671/

HOA "Shakedown"

In a homeowner association, decisions are made with the entire community in mind rather than individuals.  As a result, there are some instances where homeowners feel that since they pay their dues, they have a right to get their way.  So in some cases, homeowners start withholding dues in order to “shakeup” the board and get their desired outcome.  When this happens, the source listed below states that it is important to gain an understanding of the situation in a personal manner (a phone call from a board member as opposed to an email or letter).  

If the homeowner’s request is reasonable, then the situation could be resolved along with possibly waiving any late fees that have been incurred.  If the request is not reasonable, then explain the reasons why.  In many cases, withholding fees could simply be the result of financial difficulties.  If that is the case, the homeowner might be able to receive accommodations such as a payment plan based on their situation.  To read more about this topic, click here.

Presentation Dinner

Now that winter is underway, it is time to think about preventive maintenance.  We can help.  LandArc is holding a presentation on Tuesday, February 26 at 6:30 pm. Among the topics that will be discussed are: routine preventive maintenance, handling delinquencies, and saving money. This event will take place at the Station 885 at 885 Starkweather, Plymouth, MI, 48170. Dinner will be included. 

Call (888) 646-9888 or email rcomins@landarc.com to register.

A drawing and giveaway will be held at the conclusion of the evening.

HOA Couple Files Lawsuit

One of the biggest concerns for property management companies is keeping up with delinquent payments from homeowners who live within the associations they manage. However, despite the pressure to obtain payments, ethical practices should always be followed. A young couple who are homeowners in an Arizona HOA recently filed a class action lawsuit against their property management company, alleging that they had been charged illegal fees in addition to the amount they owed to their HOA.

To read more about this topic, click on the following link:

http://www.azfamily.com/news/consumer/Class-action-lawsuit-filed-against-some-Arizona-HOAs-179719631.html

Budget Seminar Update

FYI: the date for the budget seminar has been changed to Wednesday, October 24. The time and place are still the same: 6-8 pm at the Royal Park Hotel: 600 East University Drive, Rochester, MI 48307. Dinner will be included with the budget seminar. Invitations will be mailed out by next week at the latest. If you are a governing board member at a homeowner association and do not receive an invitation by October 10 but would still like to attend, please email rcomins@landarc.com to register. We will accept registration for the budget seminar until October 15. LandArc strongly recommends that association board members attend this event in preparation for the upcoming budget season.

Free Budget Seminar

Budget time for HOA communities is upon us once again. Did you know that there are two independent budgets that are vital to the continued growth of home associations? These are the operations budget and the reserve budget. Both are the driving force behind all HOA communities. LandArc is committed to providing the associations we manage with the tools necessary to succeed. That is why we are offering a free budget seminar for association board members in about a month. This event will take place on Tuesday, October 23rd from 6-8 pm at the Royal Park Hotel: 600 East University Drive, Rochester, MI, 48307. Allow us to have a positive impact on your community.


Source: http://www.mesquitecitizen.com/viewnews.php?newsid=2848&id=77

Could This Happen in Your Community?

The regulation differences between states can often be difficult to follow, especially if you live in an HOA community that receives services from a different state. Issues can also arise from conflicts of interest between public organizations and HOA communities.
Here is a recent instance of a legal dispute between a public organization and an HOA community: a property in Virginia has a gravel road winding right through the center of their land. Three years ago the owners barred public access to this road. An action that caused a non-profit public organization to file a lawsuit against the property owners. The dispute here was whether the road running through HOA community was public property by right. For information about the particulars to the dispute, click here: http://newsmanager.commpartners.com/cailaw/issues/2012-08-15.html
At first, the property owners were ordered by a trial court to remove the gates barring public access to the road. However, the HOA community appealed to the State of Virginia Supreme Court, which found fault the trial court’s decision and reversed the previous ruling. This barred public access to the road running through the property of the HOA community once again. Is this something that could happen in your community?

LandArc Newsletter to Community Board Members

Success Stories

Whenever we have a victory at LandArc, we call it a Success Story.  Celebrating our accomplishments and the success of our customers helps encourage our staff by seeing the fruit of their labor.  The attached letter is a nice one that deserves special recognition.  This community came to us just over one year ago with a number of challenges.  We recently held their annual meeting and celebrated a number of accomplishments, such as getting a quorum for the first time (ever!), increasing their reserve fund by $100k, and reducing delinquencies by over $65k. 

Much can be accomplished in a short time with the right priorities and a committed team!