Blog
By Katina Croghan, CMCA, AMS
In today’s fast-paced world, where convenience and connection are key, technology is transforming the way communities interact, engage, and thrive together. Whether you live in a high-rise, a suburban neighborhood, or a master-planned community, innovative tools are making it easier than ever for residents to connect with one another, stay informed, and feel right at home.
The Rise of Digital Communication Platforms
Gone are the days of waiting for a printed newsletter to see what’s happening in the neighborhood. Modern community apps and portals now give residents instant access to event calendars, board meeting updates, and announcements—all from the convenience of a phone or computer.
Benefits for residents:
We use: Trusty powered by NITRO, Constant Contact, and Vantaca Portal.
Smart Access and Security Systems
From keyless entry to license-plate recognition at community gates, technology is making it easier (and safer) for residents and guests to access shared spaces. These systems streamline entry, track usage, and provide real-time alerts.
We use: ButterflyMX, Brivo, and Axis.
Virtual and Hybrid Events
In-person gatherings will always be important, but virtual and hybrid options make it easier for more residents to participate. From livestreamed HOA meetings to online trivia nights, everyone can stay engaged no matter their schedule.
We use: Zoom, Microsoft Teams, and Eventbrite.
Resident Feedback and Service Requests
Technology makes it simple to share feedback, submit service requests, and track progress. Quick response tools ensure issues are addressed faster and more efficiently.
We use: Vantaca Portal and Enumerate.
The Bigger Picture
When used thoughtfully, technology doesn’t just make life easier - it builds stronger, more connected communities. By giving residents quick access to information, more control over their environment, and easier ways to connect, we create neighborhoods where people feel valued, engaged, and proud to belong.
The future of community living isn’t just about bricks and mortar - it’s about building digital bridges that bring neighbors and management closer together.
About the Author Katina Croghan, CMCA, AMS, first got involved in HOA life by serving on her own community’s Social Committee and Board of Directors. She has seen firsthand how technology in HOA management has evolved from a “nice-to-have” to a must-have. Now, as a Large-Scale General Manager with The Management Trust, Katina works with a team that embraces forward-thinking technology to make community life smoother, safer, and more connected.
By Kelly K. McQueeney, Orten Cavanagh Holmes & Hunt, LLC.
It’s DocuSign, it’s an email, it’s a fax, it’s a thumbs up emoji? Maybe….
Colorado law recognizes the use and validity of electronic signatures under the Uniform Electronic Transactions Act (UETA) (C.R.S. § 24-71.3-101 – 24-71.3-121). The result is that electronic signatures have the same legal effect and enforceability as handwritten signatures.
So, what is an electronic signature? For community associations, you may have used electronic signatures for signing contracts, proxies, etc. You may be familiar with software such as DocuSign, which produces a lovely script signature on the document, similar to or better than your handwritten signature. However, electronic signatures are defined more broadly under UETA. An electronic signature means “an electronic sound, symbol, or process attached to or logically associated with a record and executed or adopted by a person with the intent to sign the record.” (C.R.S. § 24-71.3-102(8).)
Given the variations permitted for electronic signatures, the UETA requires that the “intent to sign” be clear. UETA does not require parties to use electronic signatures and, in fact, applies when parties agree to use electronic signatures in a transaction. Additionally, electronic signatures are not allowed in all cases, including wills, family court matters, and certain real estate transactions. UETA does not require any specific software or security to authenticate signatures, but it does require certain elements to give legal effect to an electronic signature and the underlying transaction:
One of the risks of electronic signatures is that parties’ intent to sign electronically may not be clear. This will become a question for the Colorado courts if a dispute arises between the parties (e.g., if one party claims there is no valid agreement or contract).
Courts will consider the circumstances of the transactions and whether there is an electronic signature that meets the statutory elements above. Courts may rely on parties’ past conduct and dealings in establishing a party’s intent to sign electronically. For example, if parties have regularly used email or text messaging in the past, the court may find the email signature block and/or text messaging sufficient as an electronic signature and consent to be bound. Unfortunately, when so many businesses now have email and text as their preferred means of communication and negotiation, parties’ intent and consent can get wrapped up in seemingly informal electronic communications. While DocuSign and other similar platforms may be overkill in all circumstances, incorporating more secure e-signature platforms into your practice for major projects, underlying service contracts, and change orders can help delineate parties’ intent and consent and is overall good practice if utilizing electronic signatures.
While electronic signatures have become more popular for vendor contracts, another way electronic signatures may come up for community associations, although less common, is with proxies. The Colorado Revised Nonprofit Corporation Act allows for appointments of a proxy by electronic transmission (e.g., email) if it is done such that it includes written evidence from which it can be determined that the member sent the proxy. (C.R.S., § 7-127-203.) Again, here, the identity and the intent need to be clear for the electronic transaction and the electronic signature to be valid and enforceable. While DocuSign may not be required for proxies, it would be helpful. However, community associations may verify email addresses or find other means to try and verify and authenticate the identity and intent for electronic proxies.
There are many benefits to electronic signatures for community associations. Electronic transactions are more efficient and convenient and can improve participation by both community directors and members. There are several e-signature platforms that offer signature security that provide encryption, verification, and other means to reduce forgery risks. There are also options now for electronic notarizations and acknowledgements, which are recognized by statute. That said, the challenges remain as to authenticating electronic signatures and establishing parties’ intent if disputed. As such, community associations and their contractors may benefit from utilizing recognized e-signature platforms, when possible, for services. For other times, it is recommended to keep track of email or text conversations and make sure your intention and expectations are clear before you hit SEND.
Kelly K. McQueeney is a transactional attorney at Orten Cavanagh Holmes & Hunt, LLC. Kelly has practiced law for over 12 years, but began her career in Colorado's HOA industry as a community association manager, supplying her with additional perspectives when providing counsel to her clients.
By Connor Kelly, ACCU, Inc.
The role of a community manager is as rewarding as it is demanding. Juggling resident concerns, managing vendors, staying on top of board communications, handling compliance issues, and making sure everything runs smoothly requires sharp organization and an even sharper memory. Even the most experienced community managers can only accomplish so much in a day.
That’s where artificial intelligence (AI) steps in—not to replace community managers, but to make their work smoother, faster, and more scalable.
Let’s start by asking the question: What is AI?
AI is software designed to perform tasks that usually require human intelligence—like learning, problem-solving, understanding language, or recognizing patterns. Think of it this way: it's what powers tools such as Siri, Alexa, chatbots, or those 'you might also like' suggestions on Netflix and Amazon. Basically, it helps technology think and make decisions, without needing a human to tell it what to do every single time.
In short: AI is smart software that can think and act like a human—but faster.
Streamlining Communication
One of the most time-consuming parts of community management is communication—answering resident emails, responding to vendor questions, and following up with board members. AI can act as a digital assistant, handling repetitive communications through natural language processing. Some platforms use AI to read incoming emails and auto-draft responses based on previous interactions or standard protocols. That means no more digging through threads to remember what was said last month—AI does it for you.
And let’s not forget chatbots. These digital helpers can respond to residents 24/7 with answers to common questions: “When is trash day?”, “Where can I submit an ARC request?”, or “What’s the status of my maintenance ticket?” This not only reduces the load on managers, but also boosts resident satisfaction with quick replies—even after hours.
Smarter Task Management
AI tools can help prioritize tasks based on urgency, importance, or even sentiment. If a resident writes an angry message about a safety issue, AI can flag it for immediate attention. Most systems are even smart enough to auto-assign tasks to the right department or vendor, reducing manual coordination and minimizing delays.
Plus, when AI is integrated with work order systems, it can predict future maintenance needs by recognizing patterns—like if a certain elevator breaks down every six months, or if landscaping requests spike in April. That means better planning and fewer surprises.
AI delivers true automation with intelligent agents capable of executing complex workflows—such as processing thousands of invoices in minutes, generating annual budgets in seconds, and handling resident inquiries—without human intervention. This significantly improves operational efficiency and scalability.
Budgeting and Financial Insights
Community managers often collaborate with boards on budgeting. AI can assist by analyzing historical spending, identifying cost trends, and even predicting future expenses. Some tools can offer suggestions like: “Based on the past 3 years, you’ll likely spend 12% more on snow removal this winter.” AI can help consolidate accounts receivable, invoice processing, payment reconciliation, and revenue tracking. This streamlines workflows and captures all revenue accurately and efficiently.
Automating financial insights doesn’t just save time—it improves transparency and gives boards more confidence in the numbers being presented.
Human Touch + AI = A Better Experience
AI doesn’t replace the need for empathy, people skills, or deep community knowledge. It can’t build trust with a board member or ease a frustrated homeowner the way an experienced manager can. What it can do is take on the repetitive, time-consuming tasks that often distract from the work that truly matters.
By automating routine processes, flagging priorities, and streamlining communication, AI gives managers the freedom to focus on what they do best: building strong relationships, resolving issues with a personal touch, and making thoughtful, informed decisions. Far from removing the human element, AI enhances it—supporting managers so they can show up where it counts most.
But it’s important to be honest about where AI is today. One of the biggest hurdles faced is that much of AI still operates as a “black box.” We can see the outputs, but not always the reasoning behind them. That lack of transparency slows progress and increases the need for verification—especially when dealing with compliance, resident communication, and financial data. There is a great deal of time spent from the executive level digging into the functionality, ensuring accuracy, and carefully identifying where AI can safely enhance operations—and where human oversight remains essential.
The Future
Community management isn’t one where people are replaced by machines—it’s one where people are empowered by machines. With the help of AI, community managers can work smarter, not harder—delivering better service while avoiding burnout.
So yes, AI can streamline tasks, improve efficiency, and unlock major opportunities. But it also requires thoughtful implementation, rigorous oversight, and a deep understanding of how it actually works. We’re not here to blindly adopt the latest trend—we’re here to challenge it, test it, and refine it until it truly works for management teams and the communities that are served.
As tools continue to evolve, embracing AI won’t just be a bonus—it will be a competitive edge for management companies and communities that want to stay ahead. Those who adapt early will not only improve operational efficiency but also elevate the homeowner experience, retain top talent, and gain an edge in an increasingly service-driven market. The future of community management is a partnership between people and technology—and that future is already here.
Connor Kelly is a dedicated professional at ACCU, Inc. in Denver. His role as 'Integrated Operations' with ACCU focuses on enhancing efficiency by implementing AI-driven tools and processes across the organization. This role streamlines workflows, automates routine tasks, and ensures teams have the technology and support needed to operate at their best. The goal is to seamlessly integrate people and technology to deliver smarter, faster, and more effective results.
By Ashley Douglas
Many HOAs are burdened with aging or underused amenities—such as outdated pools, deteriorating tennis courts, or poorly maintained open spaces. While these can be seen as liabilities, they also present a valuable opportunity to reinvest in the community and enhance both home values and resident engagement. Repurposing these areas into amenities like pickleball courts, playgrounds, or community gardens can attract new buyers and encourage more active participation from current residents.
Before pursuing any enhancement project, it’s critical to first address all life safety issues and risks of structural deterioration. Ensuring that homes and common areas are safe and protected from the elements should always be the top priority.
Next, consult your HOA attorney to review your community’s governing documents and determine what options are available for modifying common areas. Legal guidance will ensure your plans align with association rules and procedures.
The Board should also identify a clear project budget and funding source. If the project requires a special assessment or loan, work closely with management and financial professionals to outline key milestones and deliverables early in the process.
With the groundwork in place, the Board can begin brainstorming ideas and priorities ahead of meeting with a qualified design professional. Consider factors like the community’s demographics, long-term vision, and the types of amenities that would most appeal to future buyers. For example, would a pickleball court pair well with an upgraded grilling area? Or would a serene garden with flowers and benches be a better fit for the neighborhood?
When selecting a design firm, look for one that offers both architectural and engineering services, as both disciplines will be essential for this type of project. While engineers focus on structural integrity, functionality, and safety, architects handle aesthetics, spatial layout, and design. Together, they form a comprehensive team to take your project from concept to completion.
Be sure to vet each firm’s experience with HOA projects and clarify team roles during the selection process. A strong design team will not only help you visualize the project through renderings and material samples but also guide resident feedback and help fine-tune the final plan.
Involving design professionals early is crucial. Most cities will require permits for amenity improvements and will need to review detailed architectural and engineering plans before approval. Your design team can streamline communication with the city, helping to anticipate and meet permitting requirements efficiently.
They’ll also help match your vision with your budget and recommend reputable contractors, ensuring you receive accurate, comparable proposals.
Ultimately, successful HOAs take a proactive approach—maintaining buildings and investing in resident experiences to preserve property values and strengthen community ties.
With 15 years of experience in complex construction project planning and 2 years in engineering business development, Ashley Douglas specializes in leading cross-company teams to deliver projects on time and within budget. Known for strong communication and customer service skills, Ashley thrives in collaborative environments focused on shared goals.
By Jesse Flageolle, Westward Management Group
Ready, Set, Convenience!
Email? Is that a fancy name for a special class of mail you can send at the post office? Okay, so this isn’t the early 2000s anymore, and everyone likely has an email account, or three. Most of us regularly use Amazon, Google, and a plethora of apps that fill our lives with convenience. The cost of all these “free” services? Simply enter one of those email accounts and voila, convenience is yours.
No big deal, I love convenience too, but we all need to be aware most companies sell our email addresses to third parties. In and of itself, this is not necessarily an issue, and we all signed off on it by reading the entire terms of service… right? The problem presents itself with the availability of email addresses to nefarious entities, i.e., hackers, scammers, etc.
The increase of phishing emails, sophisticated scams, and fraudulent communications targeting organizations means we all will eventually come face to face with an email that can cause us harm. The consequences of falling for an email scam can range from financial loss to reputational damage, regulatory fines, and operational disruption. It is more important than ever for managers and boards to adopt pragmatic, actionable strategies to protect inboxes and organizations.
Phishing, Spamming, and Spoofing - Oh My!
Aside from limiting the use of company or board email addresses to business or community-related activities only, the following tips will help you identify potential email scams.
Danger, Will Robinson!
If you suspect an email is malicious:
Oops, I Clicked It Again!
Mistakes happen! Even well-trained individuals can fall for sophisticated attacks. If you click a link or download a file from a problematic email:
Preventative Steps and Helpful Tools
Email attacks are ever-evolving threats that require proactive preventative measures. Use the tools and tactics below to ensure you remain as secure as possible.
To Infinity and Beyond
Protecting the inbox is no longer just an IT issue, it’s a critical responsibility for all. By fostering a vigilant culture, ensuring robust technical defenses, and preparing for inevitable incidents, boards and managers can dramatically reduce the risk of falling victim to email-based attacks. The most effective approach is proactive, practical, and persistent!
Jesse Flageolle serves as Integrator & CIO at Westwind Management Group, an accounting and management company dedicated to helping people live better lives! At Westwind, Jesse focuses on building a high-performing team dedicated to serving communities with excellence.
By Aileen McGinnis, Westward360
With the significant increases in the price of insurance the past few years and costs for vendors and capital projects rising, auditing your Association’s expenses is an imperative action every Community Manager and Board of Directors should take. Regular audits not only tighten budgets but also help protect reserves and reduce the need for special assessments. Here’s a practical approach to auditing for savings, based on strategies I’ve used successfully over the years.
1. Start with Preventive Maintenance
It may seem counterintuitive, but spending money early can save more in the long run. Preventive maintenance—like routine roof inspections or sealing cracks in pavement—can significantly reduce emergency repairs and extend the useful life of major assets. Emergencies are almost always more expensive due to rush fees, lack of multiple bids and damage escalation.
Associations that schedule regular maintenance inspections for roofs, boilers, irrigation systems and other infrastructure consistently report lower annual maintenance costs over time.
2. Seasonalized Budgeting
Many associations use a flat monthly budget that doesn’t reflect seasonal realities. For instance, water use spikes in the summer, while heating bills increase in the winter. Instead, segment your utility, landscaping and snow removal budgets by season. This helps boards identify and plan for peak usage periods and makes monthly cash flow easier to manage.
3. Go Out to Bid, Renegotiate Contracts and Review Terms
It is a best business practice to solicit competitive bids for all contracts, even if the Association is satisfied with current service providers. Although the Board of Directors may be happy with the company they are working with, the potential for significant cost savings through vendor evaluation warrants a formal bidding process, which could realize substantial annual reductions in expenditures. Vendors often raise prices incrementally each year, banking on boards not to push back. Don’t let inertia cost you. I recommend reviewing all contracts annually and renegotiating long-term agreements when possible. I’ve found that oftentimes, vendors are willing to negotiate on pricing when there is potential for them losing the work entirely.
Always ask if routine maintenance is included. Elevator maintenance, for example, can be very costly. An elevator maintenance contract that includes free service calls during business hours will cost you far less than one that doesn’t.
If you have a good payment history and consistent business with a vendor, use that as leverage to ask for a discount or improved terms. Consider bundling services or asking for multi-year pricing locks.
4. Embrace Technology for Efficiency
Simple upgrades like rain sensors on irrigation systems can prevent thousands of gallons of wasted water and remote irrigation controllers can eliminate unnecessary trips to the community. Similarly, switching to LED lighting in common areas—especially parking lots and hallways—can cut electricity bills significantly.
Take it a step further by applying for rebates. Many utility companies offer incentives for switching to energy-efficient systems. Landscaping grants may also be available through local water agencies to support drought-tolerant landscaping, which reduces long-term irrigation costs.
5. Insurance: Look Beyond the Premium
Insurance is one of the largest fixed costs for many HOAs. Yet, I often see associations overlooking possible incentives that could lower their premiums. Installing security cameras, upgrading roofs with impact and fire-resistant materials, or adding fire-suppression systems may qualify you for discounts.
Work with a broker who specializes in HOA insurance. They’ll often know which underwriters offer the best pricing for specific community types and may even provide a free audit of your current policy.
6. Track Water Usage and Watch for Leaks
Unexplained spikes in water bills are usually a sign of hidden leaks or inefficient systems. Request monthly water usage reports from your utility provider and compare them to previous years. If you see a jump, investigate. You may reveal an underground leak or failed wax ring on a toilet causing water loss.
7. Create a Finance Committee
It’s hard for board members alone to keep an eye on everything. A dedicated finance committee of detail-oriented homeowners can help review invoices, analyze trends, and propose efficiencies. Often, they’ll catch inconsistencies or waste that others miss.
8. Negotiate Legal Retainers and Explore Prepay Discounts
Legal advice is essential—but costly. Instead of paying hourly, consider negotiating a monthly retainer with your legal counsel for routine questions and document reviews.
Similarly, some vendors offer discounts for upfront or annual payments. If your cash flow allows, check in with your vendors to see if there is any incentive offered for an upfront payment.
9. Optimize Vendor Visits
Lastly, make your vendors’ trips more efficient. For example, instead of calling a vendor every time a lightbulb goes out, schedule monthly bulb replacement visits. Consolidating service calls saves money on trip fees and minimizes interruptions.
There’s no one silver bullet for curtailing HOA expenses—but with a structured approach, you can achieve meaningful savings. The key is to be proactive, not reactive. Regular audits, smart upgrades, and better contract management are all tools that have served my Associations well over the past 15 years.
Managing an Association is a balancing act between fiscal responsibility and community service. But when you can cut costs without cutting corners, everyone wins.
Aileen McGinnis is a Senior Community Association Manager with Westward360 and has 15 years of experience in the industry ranging from portfolio management to onsite luxury highrise management. She places great importance on demonstrating integrity, respect and building strong relationships with both the communities she manages and her colleagues.
By Jack Thomas, Elk Horn Painting
On June 24, 2021, a condo tower in Surfside, Florida partially collapsed in the middle of the night. Ninety-eight people lost their lives. In the aftermath, investigators uncovered years of delayed repairs, deferred structural maintenance, and warning signs that had been seen—but not acted on. For many in the HOA world, Surfside became a wake-up call. It exposed what can happen when financial pressures, human psychology, and group dynamics combine to postpone critical upkeep.
While most communities will never face a tragedy of that scale, the forces that led to Surfside’s collapse are at play in many associations. Cracks in the stucco, roof leaks, failing drainage—these are rarely sudden. They build over time, and so do the psychological patterns that allow boards to put off addressing them. The problem isn’t carelessness. It’s often a set of invisible mental traps, social dynamics, and structural habits that push tough decisions down the road. The good news is that many experts have studied these obstacles, and we know what the solutions are.
Present Bias
Take present bias, for instance—the tendency to prioritize short-term comfort over long-term benefit. In board meetings, that might sound like: “Let’s wait until next year’s budget cycle,” or “We don’t want to raise dues right now.” The issue is, next year often looks exactly like this year, and the repair gets more expensive in the meantime. According to national facilities data, deferring maintenance can raise future costs by 15 to 30 times.
Tool: Implement an automatic minimal-planned-increase dues policy (e.g., 3% annually, or higher as needed). This reduces emotional decision-making and builds financial readiness gradually.
Optimism Bias
Then there’s optimism bias—believing, sometimes unconsciously, that nothing will go wrong. When reserve studies or inspection reports identify major upcoming repairs, it’s tempting to downplay the timeline: “That’s years away.” But buildings, like people, age regardless of how much we’d rather not deal with it.
“If I have a goal to lose weight, it does not help if I only weigh myself every six months. Rather, I will weigh myself each day and week to see if my current diet is working... The same rule applies to a Reserve Study.”
- Bryan Farley, President, Association Reserves
Tool: Require a reserve study presentation at your annual meeting with simple visuals showing risk timelines and funding gaps.
Pessimism Bias
At the other end of the spectrum, pessimism bias can also freeze action. When a big repair feels insurmountable, boards sometimes do… nothing. Not because they don’t care, but because they assume any action will spark backlash, cost too much, or fail to pass.
Tool: Break major repairs into phased mini-projects, starting with the lowest-cost/highest-impact step. This builds early momentum and reduces overwhelm.
Conflict Avoidance
Add to that the social nature of HOA boards. These aren’t strangers in a boardroom—they’re neighbors, often volunteers, trying to keep the peace. That makes conflict avoidance common: directors hesitate to propose fee hikes or special assessments, fearing the fallout. It's easier to delay and hope for a future board to handle it. But that often creates a domino effect: year after year, critical repairs are tabled until something breaks.
Tool: Have your CAM or contractor present cost multiplier comparisons: “Fix today: $8,000. Fail later: $60,000.”
Solutions
So what can boards do differently? First: make maintenance visible. Updated reserve studies and condition assessments aren’t just compliance tools—they’re psychological counterweights to optimism bias. When you see the roof lifespan chart or read that the boilers have two years left, it grounds the conversation in reality.
Tool: Assign a rotating “devil’s advocate” role at board meetings to challenge status-quo assumptions about deferrals. It institutionalizes thoughtful dissent.
Second: normalize action. Annual dues increases tied to inflation and aging components are much easier for owners to accept than a sudden 200% spike. Transparent communication—especially when framed around preserving home values and avoiding future hardship—builds trust. Boards that share reserve funding levels, show cost trajectories, and hold town halls tend to get more buy-in.
Tool: Use a deferred decisions memo for board transitions. Each outgoing board leaves a one-page summary for the next, creating continuity and accountability.
Third: build a culture of stewardship. This starts with leadership. When even one board member reframes the question—“How do we protect this community for the next 20 years?”—it opens the door to longer-term thinking. And when board members feel supported by owners, managers, and experts alike, they’re far more likely to face the hard decisions head-on.
About the Author & Acknowledgements
Jack Thomas leads business development for Elk Horn Painting, where he helps HOA boards and property managers across Colorado protect and elevate their communities through thoughtful, high-quality exterior painting projects.
This article was developed with writing and research support from ChatGPT (OpenAI) using a curated body of expert sources.
By Bryan Farley, Association Reserves, LLC.
News has spread throughout the HOA world regarding the ‘mortgage blacklist’ that could impact the resale ability of condominium and co-op associations. The ‘mortgage blacklist’ refers to a list of HOAs that Fannie Mae, a major mortgage financier, deems ineligible for conventional loans. This list is not public, and condo owners and associations usually learn of their inclusion only when a buyer's loan is rejected.
This is a cause for concern but, thankfully, managers and board members have an ability to check to see where their community stands.
Fannie Mae has introduced a new online tool to help associations check their eligibility status and identify any conditions that may be causing them to be unapproved. This tool aims to enhance the efficiency of condo/co-op lending and create a transparent environment that benefits all participants.
Why is Fannie Mae Eligibility Important?
Being “Fannie Mae Qualified” is important, as it allows individual consumers to get the most attractive mortgage terms. Lenders like to sell mortgages in the association to Fannie Mae, enhancing their liquidity, and enhancing their ability to make more mortgages available to other consumers. Providing a way for lenders to increase their liquidity by selling off their mortgages is the reason why Fannie Mae and Freddie Mac exist. Mortgages in associations not Fannie Mae approved for one reason or another will not qualify for sale to Fannie Mae, and become burdensome to the lender. In those cases, the consumer will be offered less attractive mortgage terms, which makes purchasing the home more expensive, which could potentially lower home values in the affected community.
Why Is a Community Ineligible?
Fannie Mae (and Freddie Mac) have minimum physical and financial standards for condo and co-op associations to appear on their “approved” list. For example, a minimum Reserve Funding rate of 10% of total budget is one of their criteria. Both organizations increased their scrutiny over which associations were and were not “approved” for mortgage purchases after the tragic collapse of Champlain Towers South in 2021. This led to an increase in the number of associations not approved. However, this also led to confusion among managers and board members regarding if their association was approved, and if not, why.
How to Establish if a Community is Eligible
Fannie Mae has released a website (https://condostatus.fanniemae.com) to provide managers and board members the ability to check if Fannie Mae is aware of any condition at the project that does not meet one or more of their published Selling Guide (B4-2) requirements. This website creates transparency into the association’s Fannie Mae approval status by explaining why the association may not meet their published requirements.
How to Use the Tool
Managers and board members can access the information by registering on the website (https://condostatus.fanniemae.com) and searching for their community by providing appropriate identifying information (name, address, tax id#…). Homeowners and potential buyers may also ask the manager or a board member to look up the association to learn the status in advance of any upcoming sale, purchase, or mortgage event.
What to Do if Your Association is Not Fannie Mae Approved
Associations can remedy any identified conditions and are encouraged to work with the mortgage lenders currently working with individual buyers so that their lenders can submit clarifying documentation to Fannie Mae. Once received by Fannie Mae, they will review the information to determine if an update to the project status is appropriate. If the association remains on the unapproved list, Boards and Managers can encourage their homeowners and potential buyers to work with lenders to explore other financing options.
With this new online tool, Fannie Mae has made appropriate adjustments to enhance the efficiency of their condo/co-op lending process and created a transparent environment that benefits all participants and drives sustainable homeownership.
Bryan Farley is the President of Association Reserves, CO and has completed over 3,000 Reserve Studies and earned the Community Associations Institute (CAI) designation of Reserve Specialist (RS #260). His 14+ years of experience includes all types of condominium and homeowner associations throughout the United States, ranging from international high-rises to historical monuments.
By Emily Wigdale, Front Steps
Artificial Intelligence (AI) is rapidly reshaping the financial landscape of homeowner's association (HOA) management. AI offers a unique opportunity to improve operational efficiency, elevate accuracy, and drive smarter, data-informed decisions. As a form of digital “safety equipment,” AI protects financial integrity, reduces manual workload, and enhances transparency. Yet, with these advancements comes a critical need to balance innovation with thoughtful human oversight.
In the financial operations of HOAs, AI delivers significant value. Automated systems can reconcile accounts, track expenses, and forecast budgets with greater speed and precision than traditional manual methods. AI can detect irregularities in transactions, optimize cash flow strategies, and support compliance with local and federal financial regulations. These tools strengthen fiscal responsibility and help ensure sound decision-making for the community.
AI-enabled tools like automated payment systems, digital invoice processing, and intelligent fraud detection contribute to smoother financial operations and faster reporting. Real-time data analytics offer actionable insights into reserve funding, capital planning, and long-term financial health. These capabilities improve clarity, reduce delays, and allow HOA leaders to make informed, forward-looking decisions.
Communication around financial matters also benefits from AI. Routine payment reminders, fee breakdowns, and account updates can be automated through secure messaging platforms, minimizing errors and administrative time. For HOA managers, this reduces repetitive tasks and frees up time to focus on strategic financial planning and stakeholder engagement.
However, adopting AI in HOA financial management must be approached with care. While automation is highly effective for data-heavy processes, tasks such as interpreting governing documents, reviewing financial agreements, and validating high-impact transactions still require human judgment. Accuracy, nuance, and contextual understanding remain essential.
This is where human expertise becomes indispensable. Managers play a critical role in verifying AI outputs, ensuring compliance, and identifying inconsistencies that automated systems may overlook. Rather than replacing human input, AI should enhance capacity and reduce manual strain, allowing managers to focus on high-value oversight and community trust.
AI is not a substitute for financial professionals or community leadership. It is a powerful partner, working in support of clearer operations, stronger accountability, and more confident in resource management. With thoughtful implementation and ongoing oversight, AI can help HOAs achieve a new level of financial transparency, efficiency, and long-term stability.
FRONTSTEPS is a leading provider of community management software, offering integrated tools that help HOAs streamline operations, enhance communication, and strengthen financial oversight. This article was written by Emily Wigdale, Director of Marketing at FRONTSTEPS.
By Jason Stephenson, Founder of Indygo Community Association Management
Homeowners associations work hard to keep communities running smoothly, plan for future costs, and protect property values. Even with the best intentions and solid annual budgets, unexpected expenses can pop up - whether it’s emergency roof repairs, major infrastructure work, or insurance premium increases. When savings aren’t enough, HOAs might need to consider special assessments, loans, or revising the budget to stay on track. Each option has its own benefits and considerations, and understanding these tools can help board members make decisions that are clear, fair, and financially sound.
Special Assessments:
A special assessment is a one-time fee that homeowners might be asked to pay to handle unexpected expenses. It’s often the fastest way to raise funds when reserves are low. In Colorado, HOAs need to follow specific procedures, as outlined in their governing documents and the Colorado Common Interest Ownership Act (CCIOA). These procedures might include giving notices, voting by the board, and sometimes getting approval from members.
Pros:
- Immediate Funding: Helps address urgent needs quickly.
- No Long-Term Debt: Unlike a loan, it doesn’t add interest or future obligations.
- Direct Responsibility: The current owners share the cost and also benefit from the improvement.
Cons:
- Owner Pushback: Homeowners might be surprised or upset, especially if the fee is large.
- Financial Hardship: Not everyone can handle sudden costs, which could lead to missed payments or resentment.
- Community Tension: Poor communication might erode trust in the board.
Association Loans: Sharing the Cost
If a special assessment feels stressful or daunting, considering a loan could be a helpful alternative. HOA loans can support significant projects and allow for manageable payments spread out over several years, often resulting in smaller increases in dues gradually.
- Lower Immediate Impact: Monthly payments are easier for homeowners.
- Preserves Reserves: Keeps emergency funds available for future needs.
- Faster Project Completion: Work can start without delay, as payments are spread out.
- Interest and Fees: Loans come with extra costs, increasing the total expense.
- Long-Term Commitment: Repayments may limit future budgets.
- Board Authority Limits: Depending on rules, loans might need owner approval.
Proactive Budgeting and Reserve Planning
The best way to avoid last-minute financial stress is through careful planning and strong budgeting. HOAs should regularly conduct reserve studies, ideally every 3–5 years, to assess future needs for common areas and set savings goals. While Colorado law encourages building enough reserves, it doesn’t specify exact amounts, making these studies essential.
Budgeting Tips:
- Review Annually: Keep budgets up-to-date with rising costs like insurance, utilities, and labor.
- Build Buffers: Include contingencies for unexpected expenses.
- Be Transparent: Clearly share budget goals and challenges with homeowners.
Choosing the Best Approach
There’s no one-size-fits-all answer. For urgent issues like a sewer main break, a special assessment or emergency loan might be necessary. For long-term projects like roof replacements, using reserves is usually best. Boards should consider community makeup, legal rules, and how much homeowners are comfortable with when making decisions.
Recommendations:
- Stay Prepared: Regular reserve studies and planning help you get ready for big expenses.
- Communicate Clearly: Keep homeowners informed about dues, assessments, or borrowing.
- Seek Expert Advice: Financial advisors, legal experts, and management companies can provide valuable guidance.
In the end, how an HOA handles surprises can build or break trust, stability, and community health. By understanding options like special assessments, loans, and good budgeting, Colorado HOAs can face unexpected costs with confidence and integrity.
Jason Stephenson is the CEO and Founder of Indygo Community Association Management, a forward-thinking company dedicated to modernizing HOA operations across Colorado. With a passion for innovation and community, Jason leads Indygo with a commitment to transparency, efficiency, and exceptional service.
