Vital Budgeting Measures in Your HOA

Homeowners associations or HOAs have a number of roles in a particular neighbourhood. They provide amenities like parks, landscape maintenance, club houses and pools in return for monthly or annual dues. On the homeowners’ side, they may find it challenging to accumulate the funds needed to provide a reasonable level of services and maintenance for the HOA. However, it can be avoided if the board makes cost-cutting a priority. They have to identify the high-ticket items first. Consider the following:



For those HOAs having high utility costs, try to hire a utility auditing company. What they’ll do is they verify the accuracy of utility bills, notes discrepancies and also assists in refund claims.



In order to save on insurance premiums, HOAs can raise the deductibles and to offset this additional risk, owners may try to get a ‘loss assessment’ coverage for very little money. Such coverage will be available when the HOA has to special assess for the deductible to be covered on an insurable event.



You can replace turf with drought-tolerant native species to save water as well as maintenance costs. Installing rain override sensors is also a good practice.


Pools and spas

To save, you may adjust the heater temperature and pump cycle times. For water conservation and to reduce heating costs, try to use a pool solar blanket.



In terms of lighting, a high-efficiency outdoor lighting such as a compact fluorescent, metal halide, halogen and mercury vapour is a good choice.


Preventive maintenance

This one can be your biggest money saver. What it does is it finds out and fixes the problems ahead of time when they are small enough to resolve cheaply. So, you have to determine beforehand those items that need inspection and repair. Then, maintain a schedule for maintenance.


Review contracts annually

You should also review those fixed costs. These include the insurance, management, landscape and pool contracts. You have to communicate with those providers every year and ask if there are some ways to cut down the costs. 


No comments

Post Your Comment:

Your email will not be published
Moe Pourtaghi

"Nothing brings me more joy than seeing my buyers & sellers have success in their Real Estate endeavours. I hope you find the articles on my blog inspiring and educating in your ventures." - Moe Pourtaghi

Subscribe to receive Market Updates & Tips

Reciprocity Logo The data relating to real estate on this website comes in part from the MLS® Reciprocity program of either the Greater Vancouver REALTORS® (GVR), the Fraser Valley Real Estate Board (FVREB) or the Chilliwack and District Real Estate Board (CADREB). Real estate listings held by participating real estate firms are marked with the MLS® logo and detailed information about the listing includes the name of the listing agent. This representation is based in whole or part on data generated by either the GVR, the FVREB or the CADREB which assumes no responsibility for its accuracy. The materials contained on this page may not be reproduced without the express written consent of either the GVR, the FVREB or the CADREB.