The economy is a problematic topic for anyone to bring up. Times are rough all around the world and no one enjoys needing to spend more money.
That's why it's often difficult to approach your HOA community about the need to raise HOA fees.
The bottom line is that success requires dues, and sometimes those dues need to increase. We're here to help you learn more about how to approach this topic and implement those raises in a way that doesn't leave your community angry. Read on to understand how to plan the right strategies!
Communicate
No HOA can succeed without a huge helping of communication. Before raising HOA dues, gather your members and talk about why those increases are necessary. Show them how the HOA plans to use that extra money to bring value to the area.
Don't forget to bring up local laws that pertain to the increase. This will pave the way for calm conversation since you're showing that the HOA is following Georgian law.
These steps are easy to do and take little time, but make a big difference in how your members react to the upcoming changes.
Instead of feeling blindsided by the update, they'll understand the reasoning. They may even get excited to see how the HOA evolves.
Pursue Other Avenues
Another step to take before raising fees is to take a detailed look at your current budget and collections.
Are there ways to decrease certain costs? Can your HOA find cheaper vendors to use for maintenance purposes? What are the average costs for utilities and can they be offset in some way?
By doing thorough HOA assessments like this, you can often find that you don't need that fee increase after all. Adjusting the budget may be all you need to do to make up the difference.
Leniency
When a raise first reaches the community, it's in the HOA's best interest to lengthen the due date for those new fees. Allowing for some margin of error can be a breath of relief for your members.
This gives them time to get used to the change without feeling like they're being hounded by the HOA.
Plus, this kind of warm acceptance of the situation goes a long way when board elections come around.
Professional HOA Management
Asking for more money is never an easy thing. A close community like an HOA makes this task even harder since you know each other well.
Instead, hire an HOA management team to handle these uncomfortable situations for you. They'll have fair judgment with each member so that the HOA can reach its goals.
Seamless Increase of HOA Fees
Communication, cost-minimization, and education are the keys to increasing your HOA fees without causing a riot. Even with these strategies, it's sometimes still a tricky balance to strike. If your HOA struggles with its fees, it might be time to get some outside expert help.
PMI Northeast Atlanta offers advice on setting fees, lowering costs, finding local vendors, and other types of financial aid. With over 20 years of experience to back us up, we assist HOAs with all kinds of issues. Contact us today to tell us your HOA's needs, and we'll figure out a plan to help!
