Whether your HOA community needs additional income to cover special expenses or simply to increase reserve funding, one of the last things it probably wants to do is increase assessment fees. Most homeowners in a community that is overseen by HOA management are happy to pay assessment fees, as the money helps the neighborhood retain the qualities that they enjoy.

However, the same residents typically feel that assessment fees are high enough as they are, and often respond negatively to suggested increases. If your community is looking for ways to increase annual income, it has several options in addition to raising assessment fees. By taking the following measures, your neighborhood could significantly boost its annual income.

 

Cell Tower Site Marketing

Wireless carriers are always looking for new cell tower sites to expand their service area. Would a location in your community be of interest to a carrier? The best way to find out is to use the site marketing services of a cellular lease consultancy firm. In addition to marketing your community as a potential site for cellular installations, the service provider can help you negotiate a lucrative lease agreement with a carrier and manage tenant requests after the contract is finalized.

The lease rate for a cell tower sites is based on several factors, including: the importance of the site to the business interests of the carrier, conditions in the cell tower market, and the ease of accessing the site to perform maintenance. With that said, it is common for owners of moderately valuable to highly valuable cell tower sites to earn over $1,000 a month in lease revenue. The most valuable sites often generate several times this amount each month.  

 

Renting Out Common Buildings

If your community has well-maintained common buildings with rooms that can be used for large gatherings, it could rent out the space for weddings, business conferences, fundraisers, and other types of occasions. Doing so could earn the community several thousands of dollars a year in extra income that could be earmarked for building upgrades and similar expenditures. An HOA management provider can help you schedule rentals and execute rental agreements.

 

Selling Old Equipment to Refurbishers

The operating budget for many HOA communities includes an equipment budget that can be used to purchase and repair various types of equipment, from IT equipment such as desktops to lawn equipment such as mowers. When it is time to retire equipment, the community can sell it to an equipment refurbisher that buys pre-owned equipment and reconditions it. Money earned from selling equipment can be reinvested in the equipment budget or used for other purposes. 

 

Performing Pledge Drives

Performing a pledge drive is similar to implementing an increased assessment fee, with some key exceptions. For one, residents can see the end of the financial tunnel; they know that they will be making one-time payment to support the financial goal of the drive. For another, residents are not forced to pay a certain amount; the amount of generosity they display is up to them. The more the drive stands to benefit the community, the more money residents are likely to donate.    

 

Summary

If your community could use some extra income, there are ways to acquire it besides raising assessment fees, including: cell tower site marketing, renting out common buildings, selling old equipment to refurbishers, and performing ledge drives, just to name a few. For additional suggestions about how your HOA community can earn extra income in clever ways, contact a provider of HOA management services today to schedule a free consultation.