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HOA Management Blog

At The Hignell Companies we have been providing professional management services for California Homeowner Association Boards for nearly 30 years. We love sharing our knowledge and perspective. Give us a call at 530-419-6032 if you have any questions.

The Purpose and Fundamentals of a Homeowners Association

February 12, 2013 at 11:56 AM / by HOA Expert

The Hignell Companies values community and what it means to a part of a homeowners association. Even though you live in a homeowners association, you might be surprised how many of your neighbors -- owners and renters alike -- do not really understand the fundamental nature of common-interest communities. The media and government officials also lack a true understanding of the community homeowners association (or condominium) concept.

The Community Associations Institute (CAI), a national membership organization that represents the best interests of homeowners association communities like those managed by The Hignell Companies, developed 10 basic principles that answer three essential questions:

(1) What is the basic function of a homeowners association?

(2) What are the essential obligations and expectations of homeowners?

(3) What are the core principles that should guide association leaders?

The Hignell Companies is confident you will recognize best practices of your community while reading these principles.

  1. A homeowners association ensures that the collective rights and interests of homeowners are respected and preserved.

  2. A homeowners association is the most local form of representative democracy, with leaders elected by their neighbors to govern in the best interest of all residents.

  3. A homeowners association provides services and amenities to residents, protects property value, and meets the established expectations of homeowners.

  4. A homeowners association will succeed when it cultivates a true sense of community, active homeowner involvement and a culture of building consensus.

  5. Association homeowners have the right to elect their community leaders and to use the democratic process to determine the policies that will protect their investments.

  6. Association homeowners choose where to live and accept a contractual responsibility to abide by established policies and meet their financial obligations to the homeowners association.

  7. Association leaders protect the community's financial health by using established management practices and sound business principles.

  8. Association leaders have a legal and ethical obligation to adhere to the association's governing documents and abide by all applicable laws.

  9. Association leaders seek an effective balance between the preferences of individual residents and the collective rights of homeowners.

  10. Association leaders and residents should be reasonable, flexible and open to the possibility -- and benefits -- of compromise.

The Hignell Companies strongly believes that adhering to these basic fundamentals helps in Creating Caring Communities.

Fundamentals can be downloaded at www.caionline.org/governance/fundamentals.pdf. For more information about Community Associations Institute, go to http://www.caionline.org/.

Topics: Living in an HOA, HOA Management, HOA