Top 5 Mistakes Self-Managed HOA Boards Make
Introduction
Self-managing your homeowners association (HOA) or condominium association (COA) can save your community thousands of dollars each year. But without the right knowledge, tools, and guidance, boards often face serious challenges — from compliance violations to homeowner disputes.
At JAM Consults, we’ve seen boards thrive with self-management, but only when they avoid these common pitfalls. Here are the five biggest mistakes Florida self-managed boards make — and how your community can avoid them.
Mistake #1: Overlooking Legal & Compliance Requirements
Florida law places strict requirements on HOA and COA boards, including annual reports, financial disclosures, and open meeting rules. Many self-managed boards unknowingly violate statutes simply because they don’t know what’s required.
How to Avoid It:
Review Florida Statute Chapters 718 (Condominiums) and 720 (HOAs).
Create a compliance calendar for annual filings, reports, and meetings.
Partner with a licensed Community Association Manager (CAM) for ongoing guidance.
Mistake #2: Poor Financial Tracking & Lack of Software
Relying on spreadsheets or volunteer bookkeeping often leads to errors, late payments, or lost transparency. Homeowners lose trust quickly if finances aren’t clear.
How to Avoid It:
Invest in HOA management software (e.g., PayHOA, AppFolio, or CINC).
Require online payment options for homeowners.
Conduct regular, independent financial reviews.
Mistake #3: Weak Communication With Homeowners
Boards that fail to communicate leave homeowners in the dark, which leads to confusion, frustration, and even legal challenges.
How to Avoid It:
Use a software platform with built-in communication tools.
Send monthly newsletters or email updates.
Post notices digitally (website, email) and physically (bulletin boards).
Mistake #4: Ignoring Insurance & Risk Management
Many boards assume their community’s insurance covers all risks — until a disaster strikes. Without proper coverage, boards may face lawsuits or financial collapse.
How to Avoid It:
Review your association’s master policy annually.
Confirm coverage includes property, liability, and directors & officers (D&O) protection.
Consult an insurance broker familiar with HOAs/COAs in Florida.
Mistake #5: Not Seeking Expert Help When Needed
Self-management doesn’t mean “going it alone.” Boards often wait until they’re in trouble to seek professional guidance — when prevention would have been far cheaper and easier.
How to Avoid It:
Establish a relationship with a consultant or CAM who can answer questions as they arise.
Budget for professional guidance as part of your operating expenses.
Treat consulting as insurance: small cost, big protection.
Conclusion
Self-managing isn’t about doing everything alone — it’s about doing it right. At JAM Consults, we provide boards with the tools to avoid costly mistakes. Providing expert guidance, compliance oversight, and readily available CAM support when you need it most. Don’t allow for a mistake to derail your community.
👉 Ready to strengthen your board?