A Homeowners Association is an organization that makes and enforces rules and guidelines for a subdivision, planned community or condominium building.

An assessment is a fee that is assessed to all the units that make up your HOA to help pay for large expenditures that the monthly dues are not able to cover. If assessed, all unit Owners are required to pay this fee.

The monthly dues that Owners pay help pay for recurring monthly bills like water, trash, grounds/snow maintenance, insurance and other expenses associated with the daily upkeep of the HOA. The Assessment typically helps pay for an expense that is not recurring, like concrete, siding and/or roofing replacement.

The HOA Board of Directors can hire a property management company to help oversee the daily operations of the HOA. The property management Company works for and answers directly to Board of Directors. The Property Management Company obtains bids, pays the monthly bills, collects the monthly dues and provides regular financial reporting to the Board. The management company also works with the Board on setting up meetings and sending correspondence to Unit Owners. 

The Board of Directors typically consists of Unit Owners within the HOA that hold meetings and oversee the daily opeperations of the HOA. The Board of Directors decides things like the monthly dues amount and the Board represents the interest of all Unit Owners.

Most HOA's that Charisma Property Management manages, have reserve accounts. The HOA Board of Directors allocates a minimum of 10% of the gross monthly dues to be put into a reserve account. That money is used to help pay for bills that the regular operating account may not have enough funds to cover on a given month or to help with larger expenditures such as concrete repairs and replacement, roof and/or siding replacement.

The Board of Directors, per the governing documents, has the right to place a lien against your individual unit. The lien will also include any associated legal fees until the amount owed is paid in full.  

An HOA insurance policy is different than a home owners insurance policy. HOA Owners want to have “Condominium Insurance,” also known as an H06 Policy, with “Loss Prevention” coverage. The Loss Prevention coverage is important because if the HOA has to file an insurance claim for damage and/or loss to HOA property, your personal H06 policy will kick in and pay the amount assessed minus your deductible. 

You can run for a position, when available, at the Annual HOA Meeting. If a position comes open in the interim, the Board of Directors will ask you to write up a short bio about yourself and why you want to serve on the Board of Directors. You can also contact Jen and/or Amy at Charisma Property Management via email at info@charismaproperties.com or at 605-271-4663 option 3 to ask questions. Any information you give them will be passed on to the Board of Directors.

The security deposit is 100% refundable when tenants move out as long as the unit is clean, there is no damage (this includes pet damage) and there are no rent or other charges owed. You will recieve a  move out checklist when you give notice as a guide to help you get your full deposit back.