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9 Mistakes Board Members of Condominiums, Cooperatives, and HOAs Make

Property Management Companies Michigan

Serving as a member of a condominium, cooperative, or HOA board is a challenging, yet rewarding role. Board members are responsible for maintaining the community’s standards and ensuring its smooth operation. However, common mistakes can hinder their effectiveness. Here are nine mistakes often made by board members, along with solutions to avoid them.

1. Being Unaware of Your Position’s Responsibilities and Not Allowing Sufficient Time to Fulfill Them

Mistake: Lack of understanding of your role and responsibilities can lead to inefficiencies and missed obligations.

Solution: Clearly define and understand your role. There should be a job description that clearly outlines the responsibilities and duties of each Boar Member’s role. Members should be aware of these responsibilities before nominating candidates. If you are elected, ensure that you allocate enough time to fulfill your duties effectively. Regular training and role clarification can help in managing responsibilities efficiently. Ask your property management company to assist in training your board.

2. Not Being Knowledgeable of State Statutes, as well as Other State and Federal Laws

Mistake: Ignorance of relevant laws and regulations can result in legal issues and penalties for the community.

Solution: Stay informed. Familiarize yourself with state statutes and federal laws that govern your operations. Regular training and consultation with legal experts can ensure compliance and protect the community from legal pitfalls.

3. Putting Personal Feelings Ahead of the Community’s Best Interest

Mistake: Allowing personal biases or emotions to influence decisions can compromise the board’s ability to act in the best interest of the community.

Solution: Remember your role and keep it professional. Board members should prioritize the community’s needs over personal feelings, maintaining objectivity and professionalism at all times.

4. Taking Action Without Having All the Facts

Mistake: Making decisions without fully understanding the situation can lead to poor outcomes and dissatisfaction among residents.

Solution: Get educated. Before making any decisions, gather all relevant information, consult experts if necessary, and ensure a thorough understanding of the issue at hand. Informed decision-making is key to effective governance. Once elected to your board, start reading through your bylaws, declarations, and other applicable governing documents.

5. Selectively Enforcing Rules

Mistake: Enforcing rules inconsistently among residents can lead to perceptions of unfairness and potential legal issues.

Solution: Apply rules uniformly. Ensure that all rules are enforced consistently and fairly for all residents. This not only maintains fairness but also upholds legal standards, such as those related to fair housing.

6. Micromanaging the Property Management Company

Mistake: Over-involvement in the day-to-day operations of the property management company can lead to inefficiencies and strained relationships.

Solution: Understand the management company’s role. Board members should focus on establishing the building’s strategic goals and setting its policies, while the management company handles policy enforcement, day-to-day operations, maintenance, and communication. Trusting the management company to do its job allows the board to concentrate on higher-level responsibilities.

7. Communicating Inadequately, Such as Delaying Sharing Bad News

Mistake: Poor communication, including withholding or delaying bad news, can erode trust and create confusion within the community.

Solution: Communicate openly. Transparent and timely communication builds trust and keeps residents informed. Regular updates, including any challenges or setbacks, foster an environment of openness and collaboration.

8. Not Being Prepared for Emergencies and the Unexpected

Mistake: Failing to plan for emergencies can lead to chaos and ineffective responses when unexpected events occur.

Solution: Develop an emergency preparedness plan. Anticipate potential emergencies and create comprehensive plans to address them. Regular drills and updates to the plan can ensure the community is ready to handle unexpected situations.

9. Insufficient Training

Mistake: Lack of training can leave board members ill-equipped to handle their responsibilities effectively.

Solution: Invest in training. Regular training sessions for current and new board members can enhance their knowledge and skills. Professional Property Services offers training programs designed to equip board members with the tools they need to succeed.

By recognizing and addressing these common mistakes, board members can significantly improve their effectiveness and better serve their communities. Education, communication, and strategic planning are crucial to fostering a thriving and harmonious living environment.