Does Your Condo or HOA Community Have Long-Term Plan?
The Frustrating Truth
Post the Surfside condo collapse, every community is aware of the dangers of deferred maintenance. Kicking the can down the road is finally catching up to communities.
Aging infrastructure is compounded by a series of challenges and poor decision-making by boards over an extended period of time. You have likely encountered some or all of these issues with the communities in your portfolio.
- Lack of a proper reserve study to identify potential issues.
- Lack of education & communication. Homeowner opposition to assessment increases / special assessments.
- Lack of financial planning to accommodate for current, future, and lasting repairs.
- Lack of funding to support vital maintenance projects.
- Lack of capital improvement project tracking leading to missed steps, bloated budgets, and poor time management.
- Lack of preventative maintenance schedule tracking and implementation.
You are not alone
Deferred maintenance is an unfortunate status quo in community associations. No matter how large or small, every community has at one point or another at least considered deprioritizing necessary maintenance. But failing to care for the community’s future can lead to lawsuits or even death, as we saw with the Surfside condo collapse.
The Landscape is Changing
Government agencies like Fannie Mae and Freddie Mac have already introduced changes to their lending guidelines in response to Surfside, and as most states open their legislating sessions, we know that many more laws will be introduced across the country in the coming months. Even insurance companies are starting to react, so the push for communities to address this issue is reaching critical mass.
It’s time to embrace a new way of thinking. Communities need a strategic long-term plan that incorporates inventory control, financial planning and project management. Only with an actionable plan in place can communities protect the safety and future of the membership.
Start building your community’s long-term plan now. Let us show you how.
