New Year’s Resolutions of HOA Service Providers

By Kelly G. Richardson, Esq. CCAL

[This is the fourth and final installment of this series, which previously addressed directors, homeowners, and managers]

As the association’s service provider, I resolve to:

NUMBER ONE:

1) Follow the Golden Rule. [Treat others how I want to be treated.] were 2 to 3. There were and still are talks of recession which is understandable but also remember, recessions are usually months long and short-term pain or unknown. The market is shifting so much lately. Over the past week, there were three properties with a combined 49 offers. 22 on 1, 18 on the other, and 9. The interesting thing will be what is the delta of these multiple offers from the listing price to the final purchase price. Over the 2 years of the hot market, these multiple offers pushed properties up to $500- $1 Million over the asking price. I am not sure where these three will land as they are still pending, but I feel it will not be as high of a delta with buyers being a little more cautious when going above asking as they were in the past hot market.

Properties that are showing and performing are well-priced first and foremost. Agents that have homes selling are working hard with their sellers to price the homes according to this market and stay up to date on current trends and local statistics. Our local SBAOR and brokerages work hard to supply the agents with up-to-date statistics. Networking with other agents and teams reveals a clear picture of what is happening up to the day, as this information is crucial in guiding clients. Most of these homes moving quickly are well done as most buyers don’t have the cash to put into a large remodel after purchasing. If they need updating, the agents consider this with pricing accordingly. Local Real Estate agents are doing a great job counseling clients to prepare for the market and create successful outcomes not dependent on the condition of the home. Seeing multiple offers again on many properties is showing the strength of our market and the number of buyers still out there looking to purchase.

With Gratitude, Todd

Shea

PROPOSALS:

2) Give the association the best proposal I can. If the association’s request for proposal omits important elements of the work, I will add those elements to my proposal and disclose the proposed extra cost now instead of charging it later as an “extra.”

3) Tell the HOA if they really don’t need my services right now.

4) Disclose any less expensive (and possibly less profitable) alternatives they didn’t consider.

5) Explain my recommendations, and never tell them just to “trust me.”

6) Promise only what I know I can deliver.

7) Not seek a contract of more than one year in length unless the work cannot be completed in less than a year.

KNOWLEDGE:

8) Pursue professional designations and attend seminars to keep current.

9) Take CAI’s Educated Business Partner course to ensure my understanding of the unique needs and characteristics of common interest communities.

SERVICE:

10) Promptly answer the board’s or manager’s questions.

11) Explain my company’s charges, taking no offense.

12) Take instruction only from the manager or from the person designated by the contract as my point of contact.

13) Immediately alert management if a homeowner, even a committee chair or director, interferes with the work.

14) If any work outside the contract becomes necessary, I will in writing quote a price in advance and will first obtain written authorization.

15) Not attempt to perform work outside my expertise and immediately advise the association of additional expertise needed.

COMMUNITY RELATIONS:

16) Be courteous to all residents, being aware that my work might occasionally be disruptive to them.

17) Provide regular updates to the board and management on major projects.

18) Volunteer at no charge to attend occasional “town hall” meetings to update the membership on the progress of major projects.

19) Ensure that the work areas are clean and safe for residents at the end of each workday.

20) Not start work too early, nor end it too late, to avoid disturbing residents.

ETHICS:

21) Not offer commissions or personal incentives of any kind to directors or managers and will promptly refuse and disclose to the board any requests for improper benefits from managers, directors, or committee members.

22) Not give expensive gifts to managers or directors.

23) Never give preferential treatment, free products, or services to directors, and treat all members equally.

24) Not advise or assist anyone to keep or attain a board seat and demonstrate complete neutrality regarding board elections. My personal opinions on candidates will remain private.

25) If my company has any business relationship with the management company, I won’t assume the manager disclosed it and I’ll promptly disclose it in writing to the board.

PERFORMANCE:

26) Always carry proof of workers’ compensation and liability insurance and provide it with my proposal.

27) Alert the association as soon as possible in writing if work is requested that my company is not licensed or qualified to perform.

28) Stand behind my company’s work, promptly conceding and correcting any mistakes.

LAST:

29) Follow the Golden Rule.

Todd Shea