What is a HOA
Reserve Study?
Think of a reserve study as a financial roadmap that gives you an understanding of when you will face anticipated future expenses long before you even encounter them. It provides Associations and Boards with the insight needed to plan for the future with confidence.
A HOA reserve study provides you with a clear picture of the major common areas of the community, how long each component is expected to last, and estimates the cost of each repair and replacement.
Who Needs a Reserve Study
Homeowner Associations
All community associations with shared assets orinfrastructure, including single family, Property Owners Associations (POA), CommonInterest Communities (CIC), Common Interest Developments (CID), PlannedCommunities, Planned Unit Developments (PUD) and Homeowner Associations (HOA).Condo Associations
Multi-unit buildings with a shared building system wishing to have a reserve planning system for unexpected expenses.Community Association Managers
Association management professionals overseeing multiple communities also depend on HOA reserve studies to keep the community board informed regarding future expenses and budgets.Board Members
Board members with financial expenses and budget management duties also rely on HOA reserve studies for long-term visibility and planning of future expenditures.Planned Communities
Newly developed communities also rely on the HOA reserve study to create a solid funding baseline before a major expense unexpectedly arises.Do you need a reserve study for your community?
Reach out to our team, and we are happy to help.
Is Your HOA Financially Prepared for Future Risks?
- Challenge 01'Unexpected' repair costsWhen a common component fails, a HOA can face an unexpected budget hit. The HOA reserve study helps you understand when to expect and adequately plan for expenses before they actually occur.
- Challenge 02Underfunded reservesMost associations discover too late that the reserves they set aside for repair, replacement and maintenance isn't enough. The HOA reserve study helps you compare your existing plan and reserves against industry standards and recommendations.
- Challenge 03Special assessmentsCommunity trust is lost instantly when an HOA is forced to pass a surprise special assessment. Proper reserve planning helps the HOA pass these emergency situations with confidence.
- Challenge 04Inaccurate budgetingAnnual budgets prepared without a proper assessment of future expenses are based solely on assumptions. A reserve study helps you use real numbers to calculate your budget and plan accordingly.
What is Included in Our HOA Reserve Study Plan
- RESERVE COMPONENTSComponent inventoryThe component inventory is the engine of a reserve study. It identifies and lists every major common element the association is responsible for maintaining, repairing, or replacing over time. The inventory tells associations what they are saving for.
- Physical AnalysisCondition assessmentOur team assesses your common areas and documents wear patterns, deferred maintenance, prior repairs, or premature deterioration. We assess current condition in an effort to set estimated lifespan to support better financial planning.
- Financial Analysis30-year funding planModel your anticipated expenses and reserve fund management strategy. Get a clear view of how your annual contribution will prepare you for the future and whether it will be enough to offset costs over the coming years.
Choose Your HOA Reserve Study Service program now
- Most popularFull Reserve Study
Complete physical and financial analysis withon-site inspection.
- On-site inspection by a designated Reserve Specialist
- Full component inventory and condition assessment
- 30-year funding forecast with contribution recommendations
- Complete written reserve study report
- UpdateWith Site Visit
For an association already connected to the reserve study:
- Return on-site inspection
- Updated component inventory and condition ratings
- Revised 30-year funding forecast
- Complete updated written report
- UpdateWithout Visit
If the recent inspection has been conducted and recorded, an updated financial plan without the inspection will be provided.
- Review using already available data
- Updated financial plan
- Revised 30-year financial funding program
- Updated written record.
- Package3-Year Plan
For associations that want consistent, ongoing reserve oversight without the hassle of rebidding every year.
- On-site inspection
- Component inventory
- 30-year forecast
- Full written report
Sample Reserve Study Report
Benefits of a Professional HOA Reserve Study
Better financial planning
Less guesswork and more information to help with planning.Avoid special assessments for residents
Fewer surprises for residents and improved transparancy for Boards.Maintain property values in the market
Better values for properties with fully funded financial reserve planning.Accurate annual financial budgeting
Set contributions and budget with confidence.Long-term cost control
30-year projections, giving full financial control and strategic insight over the short to long term.
Don't just take it from us
We focus on the
detail and the big
picture.
- Experience
Thousands of clients
We have over 20 years of experience in working with communities of all sizes and situations. - Quality
Accuracy is all the matters
Our process helps us provide recommendations that enable you to take the right step forward. - Clarity
Clear guidance
Our reports provide clear and actionable steps to help move your association in the right direction.
Frequently Asked Questions
How often should we update our reserve study?
The recommended and most accepted approach to updating the reserve study is through on-site inspections every 3 years, with annual financial updates in between. It helps the reports stay up to date with cost fluctuations and component conditions.
What does an HOA reserve study cost to associations?
The HOA reserve study cost depends on the community's size and condition. There are several plans a reserve study group offers, depending on the community's size, condition, population, and location.
Is a reserve study legally required for an HOA?
A full reserve study typically takes 3–6 weeks from the initial site visit to report delivery, depending on community size anIt completely depends on your state. However, in most states, HOAs are now required to conduct regular inspections as a financial reporting obligation.
How can I prepare for a reserve study?
Although it is not mandatory, hiring a qualified reserve study specialist can easily help you make a reserve study.
How long does the reserve study process take?
It mostly depends on the community's size and condition. However, on average, HOA reserve companies take 3-6 weeks for the process.
How much should an HOA have in reserves for repairs and maintenance?
It is exactly where the reserve study does its magic to find the exact estimation your HOA needs for reserves.
If you have any questions, our team of reserve study professionals will contact you immediately.
