What Does a Condominium Management Company Do?
Why Hire a Professional Condo Manager?
What Does the Condominium Management Company Do?
In general, homeowners witness various levels of activity from the condominium manager.
Interaction ranges from no contact to intensive discussions and communications
regarding financial matters, rules and regulations, and condominium community projects.
Whether or not the homeowner's contact with the condo association manager is frequent
or nearly non-existent, all homeowners see an item at budget time reflecting
payment for condo management services for the year. We would like to summarize some
of the many important tasks and duties of the condo association manager.
The basic functions of the condominium manager are to provide the expertise and research
necessary to assist the board in making decisions, to implement board decisions,
and to administer the operation of the physical assets, the services, and the
programs of the condo association in accordance with the policies and guidelines of
the board. The manager's duties are administrative, financial, and operational
in nature. Together, they enhance the value of the property and maximize the
sense of community.
- The condo manger assists the board, prior to and during the budget process, brings
facts and figures to the board for its review and facilitates the research
of issues and items pertinent to developing the budget; drawing from the condominium management
company's experience and expertise. The condo manager prepares the preliminary budget
proposal upon which the board bases its final budget deliberations. The condo manger
calculates all assessments for the coming year and reconciles homeowner accounts
based on the previous year's actual operations.
- The condo manager keeps and maintains all the files and records of the condominium association
including insurance policies, service contracts, financial statements, governing
documents, minutes from meetings, and all correspondence.
- The condo manager coordinates, schedules, and supervises the work of all service
contractors. Prior to contracting for condominium services, the manager assists the board
in developing specifications to meet the individual needs of the property.
The condo manager facilitates the bidding process and selection of particular contractors.
It is also the responsibility of the condo manager to evaluate contractor performance
and to recommend adjustments in specifications, payment terms, or other contract
provisions based on his or her evaluation.
- The condo manager performs all back-office functions related to disclosure requirements
for the sale of homes. The manager provides the necessary paperwork to realtors
conforming to applicable state statutes.
- The condo manager pays all bills of the association and collects all common area
charges. The manager checks invoices, verifies expenditures in accordance
with the adopted budget, and follows up on bills received by the condominium association
that may be in dispute.
- The condo manager maintains the financial records of the condominium association including
preparation of a balance sheet, budget analysis, general ledger, accounts
payable and receivable summary, and a reconciliation of all condominium association bank
and investment accounts no less than on a monthly basis. A financial package
is presented to the board on a monthly basis.
- The condo manager organizes all board meetings and the annual meeting and completes
all condominium association mailings.
- The condo manager implements and enforces the policies, rules, and regulations
of the condominium association. The breadth of responsibilities range from administrating
conduct with respect to parking or animals to collecting delinquent fees.
The condo manager also deals with technical issues such as homeowner remodeling
Finally, the most underappreciated and perhaps the most valuable part of the
condo manager's job is fielding the dozens of calls, inquiries, and requests each
month from homeowners. From mail delivery, to keys, to occasional frustrated
or angry calls; homeowner contact makes up a large portion of the condo manager's
involvement with the condominium association.
Though management's functions are not always visible to all homeowners, condo management
provides not only the basic services that make the property and condominium association
run smoothly but, also the presence and expertise to handle the extraordinary
and sometimes unexpected circumstances or events associated with community living.
Why Hire a Professional Condo Manager?
To a large extent the success of any community association rests with its
management. While some condominium associations prefer to be "self-managed",
in our opinion that choice is not preferable. Even if a self-managed board has
a full time paid superintendent or site manager the members of the board of
directors still must be involved in the day to day operations. Often time board
members do not have the time, training, or resources to handle the tasks.
Whether your condominium association is comprised of 4 units or 400, it is, and should
be, conducted as a business. The board has a fiduciary duty and the responsibility
to make decisions and act in a reasonable and informed manner. The board must
make sound business judgments. A good business decision is to avoid becoming
involved in every detail of condominium property management.
A professional condo manager has the training, experience, and resources to provide
excellent service and to accommodate staff scheduling issues necessitated by
vacations, personal life adjustments and emergency situations.
A well run condominium association should hire a professional condominium management company and carefully
delegate responsibilities to them. Secondly, the board should adequately supervise
the condo manager to make certain that the manager is fulfilling their obligations.
A board that delegates but, does not adequately supervise is likely to have
a relationship with the condominium management company that is unsatisfactory to all parties.
The board should look to the condominium management company to assist the board in the
decision making process expecting technical expertise, research, and organization
of pertinent information. The condominium management company should be relied on to implement
the board's decisions and administer the services, programs, and facility operations
within the policies and guidelines set by the board.
The primary differentiation is experience. With over eighteen years of condominium property
management experience we are prepared to help when the community faces the inevitable
challenge. We believe that professional condo managers should carry professional credentials.
All community managers are certified or actively seeking certification as community
managers. Members of our team also hold a variety of property management and
facilities engineering credentials.
Brumm Inc. serves a targeted market and is deployed such that it has the depth
of talent and resources to provide continuous seamless service when employees
are absent. Our ability to tap larger organization's resources is valuable to
handle the inevitable emergencies that arise.
We pride ourselves on developing options and working with the Board to implement
solutions to the challenges faced at each condominium property. We are facilitators, not
just administrators. Our value is not in what we know about your property but,
how we communicate that knowledge to the Board so they can use the knowledge
to make the best possible decisions.
Brumm Inc. is serious about protecting your assets and is fully insured. We
maintain not only general liability insurance but, also errors and omissions
coverage and fidelity insurance on every employee.