Helping you understand community association business with industry leading insight.
Levels of Reserve Studies
Reserve studies are a useful capital planning tool for any association, but in order for your reserve study to work best for your association, it’s crucial that you choose and implement the correct reserve study service. There are four levels of reserve studies as defined by the Community Associations Institute. It’s important to understand the scope of each and how they can contribute to your association’s long-term success.
Aging Infrastructure – Knowing What’s at Stake
Too often with aging buildings, maintaining aesthetic elements becomes more important than maintaining building integrity. Understanding your aging infrastructure’s ins and outs, board liability, insurance, and practical steps for your board or association to take are all part of the world of building and community management.
Supply Chain Issues and Rising Costs – Best Practices for Addressing Your Community’s Capital Planning Needs
We are often asked, “how can my association account for supply chain issues and rising costs when addressing our capital planning needs?” Unfortunately, this question often times arises when a community is in the thick of addressing urgent capital projects.
What Is A Reserve Study & What Is It Not?
When you go to the doctor for your yearly checkup, chances are you’re seeing a family doctor or general practitioner. If your doctor identifies an underlying health issue with your heart for example, they will point you in the direction of a cardiologist for further testing to uncover the root of the internal issue.
Are You Feeling Lucky?
Arbitrary percent funded values do not provide a complete measure of the health of your reserve funds. Threshold funding provides a clear understanding of financial health.
The Importance of Reserve Studies: What We Can Learn From The Champlain Towers Collapse
In the wake of the tragic collapse of the Champlain Towers Condominium in Surfside, Florida, many people want to know how such a thing could happen.
What to Know as a First-Time Board Member
Becoming a board member of an HOA or community association is an exciting move. But with a newfound position comes potentially unfamiliar responsibilities. Let’s explore the essential things you need to know to be a successful board member!
Frequently Asked Questions: Reserve Studies & Aging Infrastructure
The recent highly-publicized Surfside tragedy has motivated many property managers to contact us with questions about reserve studies for aging infrastructure. Below are answers to the most common questions we receive.
What is a Reserve Study and Why is It Important?
A reserve study is a vital capital planning tool for HOAs and condominium associations that provides directional guidance and an in-depth analysis of community assets.
What is Included in a Reserve Study?
A Reserve Study is made up of two parts, as defined by Community Associations Institute (CAI) and the Association of Professional Reserve Analysts (APRA) – the Physical Analysis and the Financial Analysis of the common elements.
When Should a Reserve Study be Done?
A reserve study is a tool used to provide an opinion of the annual reserve contributions required to support the reserve expenditures at a property.
How Much Should a Condo Have in Reserves?
Boards and owners alike must balance the need to keep adequate savings for future projects with the desire to keep monthly or quarterly fees at reasonable levels.
Are Your Reserves Fully Funded?
Are your reserves fully funded? It’s a great question, but at the risk of making this sound like a legal blog, it depends. In order to answer the question accurately, we first have to define the term fully funded.
What Does a Reserve Study Do?
A Reserve Study is a long-term budget planning tool that identifies the common elements belonging to an Association, and recommends a funding plan to maintain, repair or replace these common elements over a specified time period.
Three Keys to Assuring the Most Efficient Use of Reserve Funds
Community leaders, as defined within the Community Associations Institute’s Rights and Responsibilities for Better Communities, “have a responsibility to fulfill their fiduciary duties to the community they serve and to exercise discretion in a manner they reasonably believe to be within the best interests of their community.”
