5 Simple Ways To Save Money On Your HOA Construction Project

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When running a homeowner association, you have to be efficient on how you spend your resident’s money. It is imperative that you do not overspend on a renovations, repairs, or maintenance to the property. As a result, you are probably looking for ways to save money on your construction projects.

Therefore, it is important for you to target the root causes of making a construction project more expensive and reckless in spending.

Here are 5 simple ways you can help save money on your construction expenses:

Pick The Right Construction Company
Work With Your Contractor
Set Your Budget
Have Good Communication
Do Not Make Changes

1) Pick The Right Construction Company

The construction company you will hire will play a huge role in the outcome of the overall price of your construction project. As a result, you should request multiple bids from contractors in order to obtain a fair market value cost for your project.

Ultimately, you want to hire a company that will work with you and has the same values as you. For example, if you are looking to present yourself as a professional property manager to your HOA community, then you should hire a professional contractor.

However, it is important to mention that price is not everything in a contractor’s initial estimate. Contractors can miss things in the bid, over charge, or add unwarranted things to them. As a result, you should always be skeptical of collected bids and evaluate them.

If you are not careful on hiring the right contractor, then it can be costly. Contractors can initially be cheaper in the bids but may costly later on. Therefore, it is important for you to use your best judgement on selecting the right contractor for your HOA.

2) Work With Your Contractor

One simple way to avoid unnecessary expenses is to work with the contractor and get them to like you. The more favorable, easier, and helpful you are to the contractor, then the more efficient they can work. Ultimately, cutting down their overhead and their expenses that are then pushed onto you.

In addition, by working with the contractor you can accelerate a project’s’ completion. Eventually, you can develop a relationship with the construction company into a long-lasting partnership. It will enable you to hire a reliable contractor on demand and have more time allocated in planning and preparing the project, which can also help reduce your expenses.

3) Set Your Budget

By determining your budget, you will be setting the limit to how much you’re willing to pay for a project. It will dictate what project features and services that are included in your project. However, anyone can set a budget, its whether you stick to it is what matters.

To develop a good and reasonable budget you need to take time to plan and prepare for your construction project. Additionally, you made need to seek bids from contractors to get a rough estimate of the overall project. Furthermore, you should allocate some funds towards obstacles and challenges that may occur on the project.

4) Have Good Communication

Construction projects can be quite complex and large. There are a lot of things going on behind the scenes such as the materials used, the designing, subcontractors, and your homeowner association. By effectively communicating with your contractor, you can help avoid costly hurdles and save money.

Good communication will minimize miscommunication which is a key factor for most change orders placed on a project. Change orders are marked up at a higher rate and could have easily been avoided with proper planning and communication.

5) Do Not Make Changes

For a construction project to be cost effective you need plan and prepare the project. One of the ways to save on a construction project is to know what you want and sticking to it.

By knowing what you want and communicating that effectively to your contractor will eliminate any potential errors on the job. Additionally, by sticking to what you want, will eliminate change orders and frustrations on the job.

Summary: Saving Money On HOA Projects

Ultimately, for your construction projects to be cost effective it will require you to effectively plan and prepare for your construction project and stick to it. Furthermore, it will require you to hire the right construction company and for you to work with them.

Budget for your construction project and thoroughly communicate with your project manager so there are no costly mistakes made on the job.

If you are interested in hiring an experience construction company that is experienced in working with residents and property management, then partner with JMF Commercial Construction today to get started.

Partner With JMF Commercial Construction

JMF Commercial Construction is an experienced licensed contractor serving commercial and light industrial businesses, and HOA Property Management. We provide convenient and quality services to the Los Angeles & Orange County businesses.

To start your next commercial construction project today! Contact JMF Commercial Construction for an Estimate.

Email us at info@jmfcommercialconstruction.com or call us at (562)572-8354.

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HOA board members and property managers have the task of preserving a safe and community-oriented environment for all HOA Members. One of their obligations is choosing the right construction contractor to perform services on their communities. However, many HOA officials find it appealing to seek out cheap contractors, failing to recognize their poor quality craftmanship and service. However, this blog post will inform you the why you should hire a quality contractor to protect your HOAs property, bottom line, and your employment. The Importance Of Selecting A Quality Contractor For Your Homeowner Association If you are a board member or a property manager of an HOA, then you know how often you must seek construction services. Whether its general maintenance, repairs, ADA Compliance, renovations for your clubhouse, or any other structural upgrades. Community officials are responsible for selecting contractors for the jobs. As well as, coordinating the project to construction company. In addition, they must oversee those construction projects in the community and hold the general contractor accountable for their results. Typically, HOA board members or property managers fail to gather a selection of contractors. Often, they opt for the first general contractor that comes their way or select the least expensive one. However, failing to select a quality contractor can lead to both short- and long-term liability for the HOA. How To Find A Good Contractor For My HOA? Many board members and property managers just do not know how to find the right contractor. However, it is quite simple. Here are a few tips on how to find the right contractor for your HOA. • Google search for multiple local construction companies • Check local directories and review sites • Ask friends, coworkers, and family members if they know of a good contractor • Mention it on your HOA’s website that you are interested in partnering with licensed contractors Selecting A Good Contractor For Your HOA Many contractors will claim they are the “best” or “top” construction company in the industry. However, all this time this is a lie. To find out if a contractor reliable, skilled, knowledge, and overall good you must do some research. Here are a few steps you can take in finding the right contractor. • See what past customers say about their experience with the construction company o Read reviews and testimonials (if any) • Go to their website and review their portfolio or gallery of past projects. • Talk/interview multiple contractors • Receive multiple bids from contractors • Select the contractor you fill most confident and comfortable with What Kind Of Liability Do I Risk With A Bad Contractor? Construction is a very dynamic and high risked industry. Many things can go wrong if you hire a bad contractor. HOAs can face a variety of liabilities and consequences such as: • Safety – for example, if the construction company fails to clean up after a workday, and an HOA member comes by and steps on a nail or sharp glass. • Legal Issues – for example, if a contractor is not licensed and gets injured on your HOA, then you could be sued damages. • Delayed Projects – for example, if your HOA needs the pool area remodeled before spring, but the contractor is not even close to meeting that deadline. • Further Construction Work – typically a bad contractor will not get the job done the first time and may require another contractor to come in a fix or finish the project. • Upset Tenants – Often, construction can be inconvenient for many. For example, delayed projects can affect tenants plans to visit pool area if its still be remodeled in the spring. • Bad Reputation – Board members and property managers will face scrutiny by homeowners for hiring a bad contractor. • Financial Loss – the liabilities or consequences above can negatively impact the HOA’s bottom line. • Loss of Employment – Board members and property managers are responsible for driving successful results for the community. However, if this is not accomplished, then they get fired and replaced. How Quality Contractors Will Mitigate Risk There are many ways a quality contractor can help alleviate any potential risk as stated earlier in this blog. Quality contractors have the proper credentials to perform construction services. They deliver HOAs a professional and safety community environment. In addition, they provide quality results. Quality Contractors Are Licensed, Insured, and Bonded HOA officials need to work to find a licensed, insured, and bonded contractor to avoid any hiccups in the construction process. In California, general contractors a required to be licensed, insured, and bonded by the California State License Board. It is required for someone to be unlicensed and the perform a construction project with a value over $500 dollars. In addition, contractors must have current insurance both: workers compensation and legal liability. Workers compensation protects workers financial if they are injured from work. Legal liability protects the contractor if there is any property damage, accident, or injury on the job. Bonds are designed to fund a project to completion if the contractor is unable to fulfil the project. Anyone can verify this information on CSLB Website, as well as review any reported fines, penalties, or complaints against the contractor. Quality Construction Experience Quality contractors are well established with the resources, knowledge, and training to fulfil project needs. Good contractors hire skilled employees and seek the best materials for the project. They know what the best practices are to meet the project demands. For example, if they are unable to complete a specialty portion of a project, they know to subcontract out. Good contractors are safe contractors. Safe contractors provide proper signage and fence or caution of the construction area or site. They communicate with residents, board members, and property managers on the construction work, potential hazards, and inconveniences. Quality Results For Your Homeowner Association Homeowner associations are filled with tenants and visitors daily. It is important for HOAs to showcase the appearance of their community with the best quality craftsmanship possible. Good contractors deliver on quality results for your HOA which include the presentation and safety of your HOA during and after the construction process. Quality craftmanship provides proper support for structures built by the contractor. The longevity of these structures will save your community money on maintenance and repairs. For example, a good contractor provides fencing services, and installs a fence or wall on the exterior of the HOA. The quality of the fence and they way it was construction has made it durable. Structures such as walls and roofs will meet California seismic standards and sustain itself during seismic activities. The Homeowner Association And The Quality Contractor Despite the benefits of hiring a good contractor, tenants may challenge the decision of board members and property managers on spending more for a quality contractor. HOA officials need to be prepared to inform tenants on the short- and long-term benefits of selecting a great construction company, versus a cheap one. Eventually, HOAs will establish a long-lasting partnership with a reliable, convenient, and quality contractor. However, it is important to continuously evaluate and hold contractors accountable for their results. Summary Ultimately, board members and property managers are always striving to put the interest of the community first. However, they often get caught up in hiring a cheap contractor, who will cost the HOA more in the long run. It is important for them to hire quality contractors that will limit the amount of risk and cost of a construction project. Which will provide a safe and respectable environment for your community. Share your decisions with homeowners, with homeowners so they understand the merits of a hiring quality contractors and their impact on the HOA. Construction Blogs

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