Thinking of Changing Your HOA Management Company? Here’s What to Know
If your homeowners association (HOA) is dealing with poor communication, rising costs, or unsatisfactory service from your current management company, it may be time to consider a change. But switching HOA management isn’t something you want to do in a rush. Here’s what you need to know before you make a move.
Know Why You Want to Switch
Before anything else, clearly define the reasons for the change. Are you unhappy with how the company handles finances? Is communication with residents lacking? Pinpointing the issues will help your board make a stronger case, find the right replacement, and avoid the same problems in the future.
Review the Current Contract
Don’t forget to check your current management agreement. Look closely at the termination clause, required notice period, and any penalties for ending the contract early. Most agreements require 30–60 days' notice, so understanding these details is essential for a smooth transition.
Decide What Services You Really Need
Not all HOAs require full-service management. Some communities benefit from basic accounting services, while others need a hands-on manager to oversee day-to-day operations. Consider whether your community needs help with:
Financial reporting and dues collection
Vendor and maintenance oversight
Rule enforcement and homeowner communication
Legal compliance and board support
Knowing this will help you choose the right type of provider.
Budgeting and Comparing Fees
Management fees can vary depending on your location, number of homes, and the level of service. Full-service management usually costs more than accounting-only models, so be sure to compare pricing along with what’s included. Don’t forget to ask about additional fees—such as setup charges or costs for special projects.
Plan for a Smooth Transition
Once you’ve selected a new company, give your current provider the proper notice. Then prepare for a 60–90 day transition period. During this time, you’ll need to:
Sign a new agreement
Transfer records, bank accounts, and vendor information
Notify homeowners of the change
Update your website and contact directories
Most importantly, coordinate closely with both companies to ensure nothing slips through the cracks.
If you're ready to change HOA management, planning ahead can make all the difference. The goal isn’t just to make a switch—it’s to upgrade to a company that better supports your community’s needs and long-term goals.
