Homeowners Association Cost Management

Service

info@assncostmgt.com

Software

Homeowners Associations (HOAs) with commonly owned Property and Assets have two types of costs for which revenue must be generated.  Here are the key elements:

BUDGET - The first type is Annual Operating Expense, managed with the Budget.  These costs would include monthly bills and obligations such as utilities, management fees, insurance, and supplies, etc.  It's a pretty simple annual forecast. 

 

RESERVE STUDY - The second type is Replacement of Depreciating Common Assets, and managed with the Reserve Study.  This consists of things like private roads, buildings, recreational facilities, and fences, etc.  A 30-year projection of total cost is prepared which includes the replacement cost, size in units of measure, no. of items, useful life, remaining life, etc. of all commonly owned association assets for each year.

 

REVENUE - Diligent completion of this projection permits the Homeowners Association Board to determine the required size of Regular Annual Membership Assessments, or DUES, to accumulate  sufficient Revenue to cover the costs.

There are many companies that analyze HOA common facilities and  prepare a Reserve Study for a Fee.  This can be expensive and somewhat confusing.   HOA Board Members are lead to believe that they must pay for a service by a licensed company that specializes in providing this service for community associations.  

For a Board to prepare their Reserve Study themselves, "due diligence" is certainly required.   HOAs can save money, attain better management control, and improve membership communications by using our software to self perform their Reserve Study.  A specialized company to do this is simply not necessary.  

Here is the integrated Excel Program that we would use to conduct an invoiced Reserve Study.  The program can be purchased for HOA Board use in preparing their Reserve Study themselves.  The links here are self evident.  Please study the example and screen shots.  If you have questions, comments or orders, please email me and we'll work together.

*      Example of the HOA Cost Management Program with input data . . .  printed as a PDF

**    Screen Shots of the blank Excel file.

***  Computation cell contents are proprietary and hidden.

Fred Arbogast

info@assncostmgt.com 

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Past Clients

Brighton Hill Homeowners Association

Prescott, Arizona

Orinda Circle Townhouse Corporation

Cameron Park, California

The Cazador Lane Townhomes Association

San Clemente, California

Mill Site Townhomes Association I

Arnold, California