Different organizations can be used to manage an apartment building . Some residents prefer to trust this process of the Criminal Code, but it is often advisable to create an HOA. This organization consists of the tenants of one or more houses themselves. It solves various important issues for buildings and apartment owners, but in order to form an HOA, sequential actions must be taken correctly.
The concept of HOA
HOA is a partnership of homeowners. It is a non-profit organization, which has the right and ability to determine the procedure for managing the house. It is the people who make up this partnership that manage one or several houses at once.
Special cases of the creation of HOAs show that with proper management the tenants really maintain the buildings in perfect order, and also accumulate significant amounts for major repairs or other significant work. At the same time, unauthorized persons are not involved in the process of building management.
Types of HOAs
The creation of an HOA suggests that it is initially decided which type of partnership will be formed. Several options can be used for this:
- Creating HOA in an apartment building. In this case, the organization solves numerous issues that are important for residents of a particular building. The management of such a building is considered a simple process, and quality regulation of this process by all residents of the house is also ensured.
- The creation of multi-homeowners associations. Such organizations are engaged in the management of several houses at once, which are located next to each other, and also next to them are various garages or other buildings designed for a comfortable life for people.
The formation of any such partnership should be guided by numerous laws. It is not allowed that people in the managerial staff pursue their interests, since initially they should take care of the general issues of maintaining the house itself, as well as represent the interests of all residents.
The basic information on the rules for creating such an HOA is contained in the Federal Law No. 196 and the Federal Law No. 31.
Partnership Benefits
Creating an HOA has certain benefits for apartment owners. But this issue is additionally considered troublesome, since only experienced residents who have the time and the necessary knowledge for the rational use of money should manage the building.
The main advantages of making such a decision include the following:
- the opportunity is provided to effectively regulate the costs of owners' funds, which are aimed at using the house and property, as well as the adjoining territory;
- within the framework of the Charter, activities are aimed at making a profit, for example, common premises are leased, for which it is necessary to pre-survey, and due to these cash receipts, the property of residents can be improved;
- guaranteed the absence of theft and high costs of paying for the work of the invited organization.
Due to the above-mentioned positive parameters, many residents of the houses decide to form an HOA, but for this it is necessary to find really such apartment owners who can manage the building.
Partnership formation procedure
How to create your own HOA? This process must be carried out in successive stages, and certain conditions must be met:
- a greater number of residents of one or more houses must agree with the choice of this method of managing high-rise buildings;
- it is necessary to create a special Charter, which is approved at a meeting of residents;
- HOA is correctly executed, and this partnership must be registered with state bodies as the subject of emerging legal relations.
During the registration of the HOA, a partnership form is selected, as a result of which the organization is vested with all the rights and obligations that are inherent in this institution.
Formation of an initiative group of apartment owners in the house
In the formation of HOAs, the procedure and rules for creating such an organization involve the implementation of several successive stages. Initially, an initiative group should be formed, which includes the owners of apartments in the house.
Most often this group includes residents who have authority and knowledge in various fields, which include accounting, entrepreneurship or jurisprudence, since only in this case they can understand all the intricacies of forming a partnership.
Holding a meeting
The order of creation of the HOA suggests that the next step is to conduct a meeting of residents. It raises the question as to whether it is advisable to form such an organization. The conditions for the creation of an HOA in an apartment building are as follows:
- the possibility of organizing a partnership is decided by voting, and the decision is made by a majority of votes;
- at the meeting there must be at least two residents, and more than half of the owners of apartments in the house must be sure that the decision is honest and fair;
- Prior to the immediate meeting, all tenants are notified in advance of the date of this event, for which notifications are made in writing;
- notifications must be delivered 10 days before the appointed date of the event;
- Only residents who have reached the age of majority can vote;
- all people coming to the meeting must have a passport and a document with which they confirm their ownership of the apartment;
- it is allowed to draw up a power of attorney for another citizen if the homeowner himself cannot attend this event.
You can find out the exact number of apartment owners directly in the passport office. The procedure for holding a general meeting is regulated by Art. 146 LCD For this, the initiative group forms a plan for the meeting, for which the most important points and questions are highlighted, and then residents are notified about the event.
All people who come to the meeting receive ballots based on which they can vote. Based on the results of this process, a debriefing is being implemented. The conditions for the creation of an HOA in an apartment building take into account that voting results should be announced to residents. If more than 50% of the total number of apartment owners in the house vote “for”, then it is allowed to form a partnership.
If less than 50% of the residents are recruited, then the vote is considered void, so you can repeat it after 30 days. Based on the conducted process, a protocol for creating an HOA is formed. This document will be required later in the registration of the organization. It is notarized.
Formation of the Charter
The creation of the Homeowners Association Charter is a mandatory stage in the organization of this partnership. In this case, the following steps are performed:
- the chairman and members of the board are elected, who together are the executive body of the created partnership;
- The Charter is drawn up, for which it is advisable to use samples and invite an experienced lawyer, since this document should contain numerous important information;
- The Charter is approved, and it is on the basis of the data from this document that the new HOA will carry out economic or other activities.
Errors in this document are not allowed, since if they are identified, this may become the basis for contesting the decision of the residents adopted at the meeting.
Partnership registration
How to create a HOA correctly? For this, it is important not only to make a decision to the residents and form the Charter, but also competently register the organization. To do this, the following actions are performed:
- the chairman prepares the necessary documents, which are then transferred to the department of the Federal Tax Service;
- this requires a citizen’s passport, a copy of the Charter, certified by a notary, as well as a receipt that confirms the payment of state duty required by art. 333 tax codes;
- a bank account is opened in a pre-selected bank, which is necessary for the work of the created partnership;
- the transfer of the house to the balance is carried out by the created commission, which includes representatives of local municipal authorities.
A notice containing information that a current account has been opened for the house is sent to the administration of the region.
Final stage
Creating HOA is considered not too complicated process, if you understand at all stages. As soon as a settlement account is opened, the house is transferred to the partnership, for which a special acceptance-transfer certificate is formed.
In addition, the partnership receives all the necessary technical documentation for the building. Further, this organization may enter into various contracts, on the basis of which there is a supply of utilities. It is allowed to perform many other operations, which may be financial or business.
What requirements are taken into account?
The conditions for the creation of an HOA are as follows:
- in each such a multi-storey building only one partnership can operate;
- it is allowed to form an HOA to manage several houses at once, but they must have a common technical and engineering infrastructure;
- all rights and nuances of management are prescribed in the Charter, and it is recommended that you draw an experienced lawyer to draw up this document so as not to miss important points.
When these requirements and rules are taken into account, the creation of an optimal partnership is guaranteed, which has the necessary powers and capabilities to effectively manage the house in order to improve its condition and fulfill the instructions of the residents.
Is it possible to hold a meeting in absentia?
Often, many residents of the house simply do not want to attend meetings. In this case, an absentee meeting is permitted. For this, the requirements are taken into account:
- ballots are drawn up for voting;
- these documents are distributed to the apartments of residents;
- ballots will be filled in by the owners of the premises;
- summarizing;
- the results are posted on a special information board located on the wall of the house.
This method of voting is applied only on the condition that it is not possible to collect the majority of residents, so there is no necessary quorum.
Who is elected by the chairman?
It is important to correctly choose a chairman who is an experienced, adult and responsible person. This takes into account some features:
- a person should be able to make informed, competent and effective decisions;
- he must listen to the advice that other participants in the partnership will give him;
- it is desirable that he has experience in conducting business activities;
- an agreement is signed with the chosen citizen, and it indicates what rights and obligations are vested in him, as well as his salary;
- he can choose assistants for himself;
- may enter into contracts with various utilities;
- selects tenants for the provision of common areas of the house for rent, and this does not require a vote.
The chairman solves many different tasks:
- decisions made by residents by voting are implemented;
- coordinated work implemented by utilities;
- repairs in the house;
- tenants of the building are accepted.
The indisputable advantage of creating an HOA is the fact that the residents of the house decide on their own what communal services the contracts will be concluded with.
Cons HOA
The opening of such a partnership has some disadvantages:
- operating costs increase, as members of the HOA usually decide to create a high-quality children's or sports ground, improve the entrances, improve lighting or perform other significant processes;
- prices for utilities will not decrease, since they are set not by the UK, but by different utilities and are regulated by the state;
- between the members of the HOA, significant conflicts may arise regarding the adoption of a decision, which will lead to the need for outreach;
- if tenants do not pay timely utility bills, then the partnership must repay the debts;
- owners will have to be called to order if they violate the law or confuse one another;
- the mechanism of interaction of HOAs with different government agencies is considered imperfect.
Due to these many disadvantages, it is not always advisable to open an HOA.
pros
The organization of this partnership has many positive aspects. These include the following:
- a company can influence the UK, for example, at inflated prices for utilities, and you can also conclude an agreement with another company;
- the residents of the house must contribute funds for the improvement of the territory or other purposes, therefore the partnership has a mechanism for influencing the owners of apartments;
- optimal resource companies are selected;
- residents' expenses are reduced if the financial policy is competent;
- the opportunity is given to well landscaping or to perform other similar actions;
- Partnership participants can choose the right construction company to perform various processes necessary for the home.
Due to these many advantages, often the residents of the houses decide to create an HOA. At the same time, it is important to correctly choose a chairman, as well as be prepared for the fundamental changes that will affect the management process of a high-rise building.
Thus, often the tenants of one house make a decision on the basis of which the creation of an HOA is carried out. The step-by-step instruction of this process is considered understandable, therefore, without any problem, any house can perform this procedure. The formation of such a partnership has many advantages, and is also considered beneficial for residents. At the same time, it is important to correctly register the organization and open a current account for it so that its activities are legal and transparent. It is also required to correctly select a chairman who performs many significant tasks for the residents of the house.