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What are the pros and cons of a condo association hiring a management company?
Wiki User
∙ 14y ago
It is important when an association hires a management company, that the company have earned a proven track record of managing condominiums. Condominium-savvy management companies are usually affiliated with national organizations, such as CAI (Community Association Institute). As well, they understand how to read and employ the responsibilities called for in the governing documents, and they understand state condominium law.
Check the local BBB for a company's standing. Interview past and present clients.
The first step, however, is to decide what skills are required to manage the property, what skills the board possesses and what skills are lacking. Then the association can hire a management company that is good fit with that board.
Insist on a managing agent who fits with the board's style of work and level of involvement.
Pros: The management company
- Handles the condominium's finances, including paying bills and collecting past-due assessments from owners
- Maintains lists of tenants and contact details for all residents
- Reports financial standings monthly
- Operates as a buffer between the board and board-members' neighbors
- Helps the board execute its duties as outlined in the governing documents
- Helps the board abide by state laws that govern condominiums
- Advises the board in special situations, such as disaster repairs, vendor relations, crisis situations and so forth
Cons: The management company can
- Abuse its responsibilities by conducting itself in non-professional ways
- Manage the property as though it were a rental property, ignoring governing documents and state laws
- Pay bills late
- Demonstrate poor communication skills and alienate association members
- Refuse to abide by the decisions of the board
- And so forth
Before you sign a contract with a management company:
- Read it through to understand what services are offered and which services are covered in your base rate and which are charged for in addition, and
- Obtain an estimate from the managing agent as to the administrative fees and office expenses anticipated monthly to support your particular property
- Verify that the contract terms offered and the terms set out in your governing documents match or are not in conflict
- Understand the cancellation process and the renewal process
Wiki User
∙ 14y ago
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How far is Maravilla condo unit 1303 from the beach in destin fl?
You can find your answer by calling the condominium or its association management company.
How do you address an envelope to a condo?
You can address a letter to the board of directors of a condominium association, and use the mailing address of the association. This might be the president's address, or the address of the management company.
Who prepares an estoppel letter?
Typically, the management company or treasurer of an HOA or Condo association prepares the Estoppel Letter, Form, or Certificate.
What are some condo association management companies in Chicago?
Some condo association management companies in Chicago include Root Reality, Inc and SGJ Property Management. You can learn more about these companies online at their respective websites.
Are condo associations hiring repairs required to carry workmans comp insurance?
Even if a condo association does not have direct employees, there can still be potential situations where workers compensation coverage is beneficial. For instance, should an injury happen on site to a worker from the property management company or to a subcontractor, some states might hold the property owner (the condo association in this case) liable, despite the worker not being a direct employee of the association. It's also worth bearing in mind how your property management company handles their own insurance. Some property management firms, like Daisy Property Management, ensure that all their staff and subcontractors are properly covered, giving peace of mind to the condo associations we support. However, it's always beneficial to have a comprehensive review of your condo association's insurance portfolio completed by a licensed insurance professional to ensure there are no gaps in coverage. This should ideally be updated annually or when there are significant changes to the association's properties or operations.
If a condo management company places a lien on your condo will you be locked out of it?
First, the conodminium association placed the lien, the management company just did the paperwork. A lien is placed on your condo to make sure you can't sell it without the back debts being paid. It is done to protect the association. This is usually done when assessments aren't paid on time. If you have fallen behind on your payments, then the association can withhold certain services, possibly even turning off utilities (depending on your documents and state law), but can't lock you out of your home. They can, however, foreclose on your unit if assessments continue to go unpaid.
Who takes care of the condominium and the grounds?
generally this is going to be your homeowners association within the condo, although it can many times be managed by a professional management company. I personally live in a PUD (Planned Unit Development) community, which is very similar to a condo complex. In my neighborhood, all of our property maintenance and insurance issues are handled through the HOA. If all else fails, you could contact your condo association and ask them. hope this helps!
Should a management company be making a budget for a condo association?
It's a sad day for any association when its board, either the finance committee or the treasurer, fails to be involved enough to prepare the association's budget. The management company does not live in the community, is not invested in the community, and otherwise can only offer a generalized approximation of expected expenses. It is possible that the management company can draft a budget, to help the board include all the line items, and recommend best practices. But the board is legally responsible for the budget. Typically, owners who ratify a management company-prepared budget are clearly apathetic and will pay the consequences in more than financial ways.
Can a condo homeowner be charged a fee to obtain a master condo association flood certificate of insurance?
Depending on the source of the certificate, it may be that there are expenses related to producing it. The management company may have a set fee for all copies, scans and so forth. The insurance company may have already provided a copy to the association, and your request is for a duplicate copy. The insurance company may charge for it. The fee should not be excessive; it should be nominal. Unless there are extraneous circumstances, such as duplicate requests from a single owner.
What is featured in Condo Management magazine?
The Condo Management magazine is mainly a magazine geared towards homeowners and condo management in states like Florida, California, and New York. It will feature articles about condo living in general.
Can a condo maintenance company be fired by the owners?
Read your governing documents and determine under which provision your condominium is being foreclosed.It isn't the maintenance company doing the foreclosing, it's the association's board of directors, perhaps through the maintenance or management company.A condominium unit can be foreclosed upon by the association for non-payment of assessments, which owners are legally bound to pay.
Is a condo association a business?
Absolutely, yes. The association may be incorporated as a profit, not for profit, or an unincorporated association.
