5 Invaluable Tips for Running an Effective Condo Association

You can search the internet and quickly find ideas on how to run an effective condo association. The results you discover will return many useful, if not run-of-the-mill suggestions for such things as:

• How to conduct meetings that get participation and make all parties feel their voices are heard.
• Educate paid and volunteer board members so everyone clearly understands their responsibilities and those of their management and homeowner counterparts.
• Create a comprehensive budget that adheres to state laws governing assessments and any financial obligations homeowners must cover for maintenance, major repairs, property renovations, structural upgrades, and that includes a thorough NJ condo association insurance  program.
• Communicate frequently and plainly with homeowners on all issues that potentially affect them, intending to eliminate confusion that often leads to speculation, gossip, and unwarranted animosity.
• Be innovative and open to new ways to do things. Learn to compromise when possible because it improves relationships and eases situations for issues where you have no room to bargain.

Well-run condo associations make life better and more comfortable for homeowners and the management team that serves their needs. That’s because they are run by capable people who aim for the best experience for all parties. Experienced management will also prepare for inevitable and unavoidable poor experiences inherent in operating condo associations. They will even know how to identify and capitalize on fortunate breaks, such as changes in state laws, and so forth.

Being ready to maximize good opportunities and mitigate bad situations is the first step. When you study condo associations that get consistently good results from their efforts and maintain happy constituents, some things become apparent. What you will find is they are well-capitalized with two kinds of bank accounts. The first and most evident is operations are well-funded, adequately insured, and run without high and unnecessary costs to homeowners. The second type is what bestselling author Stephen Covey called an emotional bank account.

An association that maintains proper fiscal controls while striving to minimize expenses without loss of service gains respect for its financial management. One highly practical way to maintain appropriate budgetary control is to make sure your NJ condo association insurance will cover all insurable losses and unexpected expenses. It is especially important to cover risks in gaps that sometimes go unnoticed and otherwise absorbed by homeowners. 

The one word that describes an emotional bank account is trust. It is the foundation for healthy relationships. When an emotional bank account has sufficient deposits, relationships survive challenging circumstances. The most substantial deposits are made frequently without regard to whether they are acknowledged or reciprocated. Little things may seem inconsequential, but they matter, are noticed, and go into the emotional bank account.

• Are vital communications, such as budgets, bills, and other messages sent on time?
• Does the tone of communications come across as friendly, helpful, and cooperative?
• Is it easy to contact association management, and do they respond promptly?
• Are volunteers acknowledged in ways that allow homeowners to appreciate them?
• Does the board routinely look for ways to show demonstrate goodwill to homeowners?

Whenever there are contractual agreements relating to communal property and financial, and other responsibilities, the potential for misunderstandings, hard feelings, and confusion exists. In some cases, no matter how well funded, financial and emotional bank accounts can get overdrawn. But those associations that make a genuine effort to maintain open relationships with clear intentions will be the ones most resistant to unnecessary negative results arising from unavoidable problems.

Condominium associations have unique insurance needs and require the expertise of professionals who can meet those needs. Dickstein Associates Agency offers Condominium Association Insurance Programs to protect associations from losses in the event of property and liability damages.

It’s important to note that no two condo associations have the same coverage needs. Our professionals will review your bylaws and Master Deed and determine what package is best for your association. Options include bare walls, single entity, and modified single-entity coverage. As your professional insurance adviser, it’s our job to help you understand the risks your insurance protects, and to provide expertise to help make the best decisions when choosing from the various NJ condo association insurance options available to you.

About Dickstein Associates Agency

Dickstein Associates Agency has distinguished itself as a leading provider of personal and business insurance in the tri-state area for over 55 years. We pride ourselves on being advocates for our clients and providing them with quality and affordable coverages. As an independent insurance agency, we partner with various carriers, allowing for flexible and unbiased coverage for each client’s unique circumstances. For more information on how you can leverage all of your insurance to work best for you, and how we can secure the best insurance in the marketplace based on your specific needs, contact us today at (800) 862-6662.