CAI-NJ May 2018 (w)

MANAGEMENT TRENDS

How to Leverage Your Community’s Assets in a Highly Competitive Housing Market By Kristina Munson, CMCA, AMS, PCAM, CPM, Chief Operating Officer, RCP Management Company, AAMC

C onventional wisdom used to be that community associations would determine their standing in the local housing market by comparing their monthly fees to neighboring communities. Low monthly mainte- nance fees were thought to be more attractive to potential buyers than communities with higher fees. There are obvious flaws in this methodology, not the least of which being that it does not take into consideration variations in maintenance responsibilities and amenities from community to community. Nonetheless, every time a community con- siders raising their monthly fees, the first thing they want to know is what their neighbors are paying! That simply doesn’t cut it in today’s housing market. What makes your community competitive in your local market? Is it your curb appeal? Your ame- nities? Your school system? The fact is that today’s buyer is much more educated than their predecessors. With online tools such as Zillow, RedFin and Realtor.com (just to name a few) potential buyers probably know more about your community than you do. Market your community. According to Forbes, the national housing market is extremely competitive with lack of inventory driving increases in home values, month-over- month for the past two years. Many community associations are choosing to market themselves to potential buyers and working with local real estate agents to drive “ideal” buyers into their community. If you don’t do so already, consider developing a public website directed toward potential buyers or have brochures made and distribute them to real estate agencies in your area. Put your best face forward. Highlight all of the features that make your community a great place to live

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“Your best assets are your residents! Happy residents love to talk about how great their community is...”

such as amenities and social events that can make a potential house feel like a home. Near mass transit – a commuters dream! Lovely parks and playgrounds – ideal place to raise a family! Be sure to educate buyers on the infrastructure that makes your community “work” from sound governance and financial transparency to capital projects and communications. The educated home buyer wants to know everything about the community before they ever set foot inside a home, often requesting financial information and governing documents during their initial search rather than waiting for the mortgage company to request the information for closing. Never underestimate the value of happy residents. Your best assets are your residents! Happy residents love to talk about how great their community is

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