The coronavirus outbreak has led to temporary business closures and a reduction of workdays. As a result, more homeowners are unable to pay their HOA dues. This is when HOA remote management during coronavirus becomes all the more important.
In this article:
- Benefits of HOA Remote Management During Coronavirus
- The Importance of HOA Dues
- Unpaid HOA Dues During COVID-19 Outbreak
- How HOA Remote Management During Coronavirus Can Help
- HOA Remote Management and Coronavirus
In this article:
Benefits of HOA Remote Management During Coronavirus
The coronavirus outbreak, also known as COVID-19, has plunged the world at large into a health crisis. What started out as a mysterious respiratory illness in China has now spread across the globe. In the United States alone, hundreds of new cases are reported each day. Earlier this month, the World Health Organization declared the COVID-19 a pandemic. The outbreak forced companies to shut their doors and allow their employees to work from home. Others, though, are not so lucky.
Homeowners associations are not exempt from the effects of the coronavirus outbreak. To limit the spread of the virus, HOA boards must postpone in-person meetings or find creative ways to continue operations. One such method is to turn to remote HOA management.
HOAs can benefit from remote management services year-round. But during these trying times, remote or virtual management becomes even more crucial. An association cannot operate without funds sourced from resident dues. With the help of virtual management, communities can continue to function with minimal risk of safety.
The Importance of HOA Dues
An HOA relies on assessments or dues to run effectively. These dues come from homeowners’ pockets, collected regularly. Some HOAs collect dues on a yearly basis, while others adopt a month-to-month scheme.
The standard depends on your HOA governing documents. Regardless of how often you collect dues, though, there is no denying their importance. Without money to go around, an HOA cannot pay vendors or shoulder the cost of maintenance and repairs.
Unpaid HOA Dues During COVID-19 Outbreak
More and more states have begun to impose restrictions on households and businesses. People are encouraged to stay at home or practice social distancing when outside. Due to this and a number of other possible reasons, residents may be unable to pay their assessments. As a result, the amount of unpaid HOA dues during coronavirus will rise.
If you are well-versed with how HOAs work, then you know delinquent dues are detrimental to a community. An HOA board will be forced to make adjustments to make up for the loss. Sometimes, boards will even resort to levying special assessments to its members. Here are just some of the likely effects of unpaid HOA dues:
- Cancellation of Maintenance and Repairs. With no money for maintenance and repairs, an HOA can look forward to an unsafe environment, reduced curb appeal, and lower property values.
- Use Reserves. An HOA will be forced to tap into their reserve fund, leaving no money for emergencies and future capital replacements.
- Higher Dues. To replenish the reserves, the HOA board will be compelled to charge higher assessments the following year.
How HOA Remote Management During Coronavirus Can Help
Coronavirus is an outbreak of global proportions. It has compelled a lot of establishments to temporarily shut down, but that does not mean businesses and HOAs can just come to a screeching halt. Businesses could fail and economies could collapse. As a result, companies are allowing their employees to bring their work home.
In the case of HOAs, though, working from home is rarely an option, especially if your HOA does not use online software. So, at a time like this, HOAs must turn to other solutions such as remote management. Here are the top HOA remote management benefits:
1. Limit Physical Contact
Given that COVID-19 is extremely contagious, limiting physical contact is paramount to containing the spread of the virus. This means keeping your distance and refraining from touching other people, which can be difficult when you need to collect dues or handle other tasks.
Remote management during coronavirus can solve this problem. Collecting dues does not have to involve physical contact. In fact, residents find it more convenient to pay online or by mail. With remote management, residents can be notified of their upcoming payments and pay virtually.
2. Remain Operational
Non-payment of HOA dues can lead to a lack of operating funds. This, in turn, can result in maintenance and repair jobs getting delayed or axed altogether. With no money to pay vendors and for supplies, an HOA is unable to fulfill its primary goal of maintaining the community.
Additionally, if your HOA employs workers or relies on volunteers to handle various tasks, operations would cease due to health precautions. Reviewing documents, tracking requests, and processing invoices all require attention. People who take care of these tasks would be at risk.
With remote management, workers need not be on-site to manage duties. It is business as usual even during lockdowns and quarantines.
3. More Affordable
There is no reason to worry about the cost of hiring an HOA remote management company. Compared to the cost of full-service HOA management companies, remote management companies only charge 50% of the cost of service.
That in no way means they provide lower-quality service. By hiring the right remote HOA management company, you can rest easy knowing your HOA will continue operations even amidst a pandemic like COVID-19.
HOA Remote Management and Coronavirus
All organizations rely on revenue to keep the ball going. For an HOA, resident dues are critical to maintaining the community. Understandably, though, the COVID-19 outbreak has restricted movement and physical contact among people. It is not like your HOA board can just drop everything and stop managing the association. To remain up and running, HOA remote management during coronavirus is the answer.
The advantages of remote HOA management are not exclusive to health crises such as this, though. Any HOA will benefit from virtual management services year-round. This is why many HOAs have already chosen this path. If you opt to follow in their footsteps, make sure to contact Clark Simson Miller for the best remote management services in the business.
- Problem With Late HOA Dues? Look Into A HOA Collection Agency To Help You
- 4 Things To Consider Before Setting Up Electronic Payments For HOA Dues
- How To Lower HOA Fees Without Huge Trade-Offs