home Sample Documents What are its pluses and minuses. What is an HOA: its pros and cons in an apartment building

What are its pluses and minuses. What is an HOA: its pros and cons in an apartment building

An apartment building is a complex subject in which various everyday and organizational problems often arise.

They may be associated with conducting, establishing communications and providing residents with quality utilities.

To solve all these problems, apartment owners choose one of the available home management options. Next, such a method as the creation of an HOA will be considered, as well as its advantages and disadvantages.

The management of an apartment building includes a number of activities and actions that are aimed at maintaining its normal condition and providing residents with all the necessary resources and services.

The specific method is chosen by the owners of the apartment by making an appropriate decision at the general meeting.

Moreover, in the future, this decision may be changed to another, also adopted general meeting.

Permissible methods of managing an apartment building are determined by housing legislation, namely Part 2 of Art. 161 ZhK RF. In particular, they include:

Direct management of homeowners

This method is allowed only for those houses, the number of apartments in which is not exceeds thirty. The right to act on behalf of the owners has one of the tenants or a third party whose authority is certified by a power of attorney.

This method is minimally costly and differs in that each tenant can bear responsibility for payments to resource supply companies individually. However, it is effective only for small houses, since the control is carried out at a too low level.

Contacting the management company (UK)

This organization is commercial and provides home management services on the basis of a special permit document - a license. In the case of choosing this method, apartment owners also need to choose a specific management company, since several different management companies can operate in one city.

After that, an agreement is concluded between all owners, according to which the management company undertakes to certain period and for a specified fee, provide the residents of the house with appropriate services (for repairing the house and providing utilities).

This method is the most expensive of all, since the main goal of any management company is to maximize profits.

At the same time, the quality of the services provided is rarely high enough.

Establishment of a homeowners association (HOA)

This organization is non-profit and can be created by the owners of apartments in one or several houses. To do this, it is necessary that at least 50% of all owners be present at the meeting when making a decision. The goal of the HOA is the same as in other cases - providing homes necessary services and carrying out certain types of work aimed at restoring and maintaining the common property of the owners.

In practice, the last two methods are the most popular - they are often compared with each other, highlighting the characteristic differences, as well as the advantages and disadvantages inherent in each method. The pros and cons of creating an HOA will be given below.

Advantages of HOA

While creating HOA owners apartments can expect to receive the following benefits from their solution:

A large degree of influence on the policy and activities of the HOA. Since all important decisions are made at a meeting of owners, each of them has the right to express his opinion or express disagreement with the actions of the chairman or other employees.
The right to choose service providers. Representatives of the partnership, within their capabilities, may themselves perform certain works around the house (for example, technical or operational nature). For more complex activities, outside companies can be involved. At the same time, the owners can participate in their choice, and then control the activity.
Opportunity to earn additional income entrepreneurial activity. In particular, some common non-residential areas of the house (eg cellars) may be rented to third parties. Due to the funds received from this, the payments of tenants are reduced.
More high quality provided services. Since the members of the HOA are directly interested in carrying out all the work, they follow it more carefully. As a result - the presence of playgrounds, lawns in the yards and clean rooms inside the house.

These factors are significant, especially when compared with management company.

However, they will take place only under the condition of effective organization of the work of the HOA and the presence of competent employees in it.

Cons of HOA

In addition to the advantages, the creation of an HOA may be accompanied by significant disadvantages, for example:

Higher payments. At the same time, the fee for this method is the same as in other cases. The premium increase is due to additional costs which the owners agree to bear voluntarily. Also, part of the contributions goes to the remuneration of employees of the HOA, if any (for example,).
The risk of choosing an illiterate leadership. Not every house has tenants who are able to take over its management and do it efficiently. When choosing such employees, the possible consequences of their activities will affect the residents themselves.
Imperfection of the legislation. In practice, a part of the HOA faces difficulties even at the stage of registration. During the activity, difficulties are also possible when interacting with city structures or filing lawsuits, since these procedures are not properly regulated by law.
Lack of initiative on the part of residents. Most often, many of the proposals that are put forward by the initiative group of the HOA are met by residents with misunderstanding and even resistance. Therefore, additional time should be spent on explanatory work with them.
appearance of debtors. Since the funding of activities comes from the total contributions of all residents, they must also cover the payments of those who do not. At the same time, it is very difficult to collect debts - for this you need to go to court.

Obviously, an HOA as a way to manage a house will be effective only if it is inhabited by competent and enterprising tenants who can not only initiate this process, but also lead efficient operation after. For other situations, it is better to contact the Criminal Code.

What should you pay attention to before creating an HOA?

Even before the stage of creating a partnership, it is necessary to analyze the following points:

The form of ownership of the majority of residents. The formation of a partnership will only be effective if most of apartments are their private property.
Potential sources of income. In particular, it can be non-residential common areas that can be rented out.
Tenant responsibility. If most of them are enterprising citizens who care about the improvement of their homes, choosing an HOA will be the most effective option.
UK rates. It is worth comparing the amounts that the company will have to pay or contribute as contributions to the HOA. In some cases, the first option will be more profitable, since the management company has established relationships with most of the resource supply companies in the city.

In other cases, a more profitable option would still be to choose a different way to manage the house, since the HOA will not bring the desired effect and will become too costly an option.

Rights and obligations

The decision to establish a partnership is made at a general meeting of tenants by voting. Moreover, at least 50% of all owners must vote for this option. The decision must be entered into the minutes of the meeting - on the basis of this document, its state registration takes place.

After registration, the HOA becomes a legal entity and receives certain rights and obligations. Basic rights include the ability to:

conclude various contracts for the performance of work and the provision of services or independently provide them;
draw up an estimate of income and expenses for the year and calculate payments for residents on its basis;
dispose of the common property of the partnership (sell it or).

The obligations of the partnership are:

ensuring the proper condition of the property of the house;
observance of the rights and interests of owners;
control over the fulfillment of their duties (for example, on making contributions);
taking measures to stop illegal access of third parties to the property of the HOA.

A wider list of rights and obligations of a particular partnership is established in a contractual manner and is fixed in such a document as the charter of the HOA.

Many property owners in 2020, as before, face the problem of choosing an organization to service the house. In these cases, it is worth paying attention to the question: HOA - what is it? The pros and cons of this form of management will help you make the right decision.

What it is?

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HOA is non-profit organization, therefore, in its activities it is guided by the relevant law "On non-profit organizations" (FZ No. 7 of 1996).

Purposes of creation

The specific responsibility of the HOA for the performance of work and punishment for the violations committed are not enshrined in either housing or civil legislation. As a rule, sanctions are prescribed in the Articles of Association of the partnership.

A sample of a typical HOA charter.

General civil liability is usually provided for the following offenses:

fraud (for example, forgery of documents with indications of common house meters);
negligence (for example, failure to announce a scheduled meeting of tenants);
misappropriation, waste (illegal expenses of the budget);
deceit, misleading property owners, members of the HOA;
abuse of authority (for example, entering an apartment without the consent of its owners).

All members of the partnership are financially responsible for their work. The representatives of the board are not an exception.

Pros and cons of an HOA in an apartment building

Most of the housing stock in Russia (about 80%) is managed by management companies. This situation is due to the lack of clear legislative regulation of the work of partnerships. What are the pros and cons of HOA? Is it reasonable to make a choice in his favor?

Positive sides

The advantages of this form of management include:

the possibility of doing business;
independence in resolving issues by homeowners at a meeting;
taking into account the opinion of each apartment owner in the house;
the possibility of self-selection by tenants of contracting firms;
the possibility of organizing work on their own;
transparency of work (any citizen, even without real estate in a serviced house, has the right to obtain the necessary information about the activities of the partnership).

The HOA in its activities focuses on providing benefits to apartment owners. If it is available, you should not worry about the order in the yard, the availability of parking lots, playgrounds, cleanliness in the entrances. An analysis of the practice of realtors shows that apartments in houses serviced by such organizations are more expensive.

Negative sides

The disadvantages of the partnership are not so many, but they are significant:

weak legislative regulation, which does not allow to establish an effective settlement system, sooner or later the service provider may recover unpaid amounts through the court, as a result, there is a high risk of double payment for services by respectable owners;
among the owners of apartments there are an abundance of beneficiaries;
high cost of services;
there is a risk of error in choosing the chairman of the partnership;
there are no harsh sanctions for unscrupulous homeowners, for example, those who evade payment, make illegal redevelopment of apartments, and do not show initiative.

Having studied legal structure HOA, can be determined with the decision of the expediency of its formation.

Apartment owners should understand that with this method of housekeeping, all responsibility for the condition of the house rests with them.

Providing a residential apartment building with all amenities requires the simultaneous management of a whole range of utilities provided by resource-providing organizations. Most often, residents of the house entrust these duties to specialized management companies(MC), which undertake the conclusion of all necessary contracts and agreements, recruitment of personnel and control over the services provided. This approach almost completely cuts off the ability of residents to participate in economic activity, complicates control and necessitates additional payments.

Apartment owners can unite in and take over from the management company its functions. Thus, the HOA is a voluntary association of residents of an apartment building, created in the form of a non-profit legal organization.

It is important to understand that the article describes the most basic situations and does not take into account a number of technical issues. To solve your particular problem, get legal advice on housing issues by calling the hotlines:

The activities, requirements and documentary base of the HOA are established directly by the Housing Code and the general provisions of the law on registration of legal entities (chapter three, four).

The creation of an organized association of tenants carries with it certain goals and functions:

Increasing the efficiency of communal services.
Direct participation of residents in economic activities.
Direct and transparent control.
Regulation of civil relations arising from the ownership of real estate.
Quick troubleshooting.

Pros and cons of HOA should be taken into account when carrying out activities.

Advantages of creating an HOA

Main HOA benefits are directly determined by the goals that are pursued during its creation, as well as the fact that the activities of the partnership are carried out with the direct participation of the residents themselves:

Independence from higher authorities, minimization of corruption.
Direct control over business activities.

The creation of an HOA brings with it some other advantages. So, the partnership is managed by the chairman, who is selected directly from among the residents of the house. Moreover, all the organizational work of the partnership can be carried out by them, without the need for additional notifications or permits. Therefore two facts:

Financial openness. The HOA is obliged to store payment orders, estimates, reports and receipts for the entire period of activity - every resident of an apartment building has the right to request these documents at any time.
Quick fix for any issues. The chairman of the partnership is in constant and direct accessibility, any member of the HOA can directly contact him if questions arise.

The partnership of owners pays utility bills of suppliers directly from their bank account - this minimizes costs, eliminates the possibility of debt for a long period. To this should be added the fact that the HOA has the right:

provide repair, cleaning and construction services;
be an intermediary in civil transactions. This is established by an article of the housing code, and allows not only to reduce costs, but also to become self-sufficient.

For these reasons, representatives of utility providers, as well as municipal authorities, are willing to cooperate with residents' associations: provide discounts and tax incentives, allocate Technical equipment help organize paperwork.

Cons of creating an HOA

Such an organization also has some disadvantages. Main minus HOA appear already at the stage of its creation. has a complex organizational structure, isolated in several separate steps. Legislation () strictly regulates the requirements for documents, which entails the need for careful control in their preparation and completion. A typical problem at this stage is the lack or incorrect form of notification of the residents of the house, which may serve as a basis for refusing to accept a set of documents.

Financial relationships also cause certain difficulties. Residents of the house must decide for themselves how much and how membership fees will be collected, who is responsible for bookkeeping and where records should be kept.

Another pitfall in the activities of the partnership is its non-commercial form. It prohibits the HOA from taking ownership of any separate premises. For this reason, all the work of the organization takes place directly in the apartments of the residents of the house, which causes certain inconveniences.

The most popular questions and answers to them on the pros and cons of creating an HOA

Question: Hello. Management Company, which serves the house, accumulated debts and went bankrupt, litigation is currently underway. We, in turn, have already prepared a complete set of documents for creating HOA, all residents of the house agree. We asked the management company for documentation in order to start working with utility providers. The representative of the company stated that all debts will be transferred to us. Tell me, is the HOA liable for the debts of the management company? Maxim.

Answer: Hello Maxim. In your case, you should know that the creation of an HOA entails the emergence new legal entity (non-profit organization). It has nothing to do with the management company, their activities do not intersect in any way. prescribes that the management company is obliged to transfer to the partnership all the necessary technical documentation, after which the HOA directly concludes contracts with utility providers. At the same time, no debts are inherited by the partnership, moreover, the management company is obliged to transfer all remaining funds collected for certain purposes (for repairs or improvement) to the bank account of the tenants' partnership.

Conclusion

HOA is the way joint management apartment building with the direct participation of its residents. In its form, it is a non-profit organization, which leads to certain Advantages and disadvantages his activities.

The advantages of creating an HOA include:

Independence from higher authorities.
Direct contact between residents and utilities.
Participation of residents in economic activities.
Prompt resolution of emerging issues.
Minimization of financial costs, obtaining.

The disadvantages of HOA are:

organizational complexity.
A lengthy registration procedure that requires a careful approach to documents.
Discomfort in carrying out activities.
Financial questions.

We have in apartment building organized by the HOA (partnership of homeowners).
And you know, everything suits me - general meetings are held, there are no interruptions in water and heat. Plumber, electrician, elevator operator - always at hand. The information board at the entrances is updated all the time, announcements are posted in a timely manner. I even personally know the chairman of our HOA.

However, in practice there were also cases when the minutes of general meetings on the creation of the HOA and the signatures of the owners in the ballots were simply forged. Maybe not everything is so simple? Let's find out!

Federal laws regulating the procedure for creating an HOA

First of all, I would like to point out that the federal law“On Associations of Homeowners” dated 06/15/1996 No. 72-FZ became invalid from March 1, 2005, i.e. from the date of entry into force Housing Code RF. However, there are still cases when it is referred to in the minutes of general meetings of owners on the creation of an HOA and in some other documents.

Homeowners' associations in the Housing Code of the Russian Federation are covered by the following articles: Art. - (holding general meetings of owners, voting at a general meeting, the competence of the meeting), chapters, (creation and operation of the HOA, legal status HOA members).

Of course, the LCD of the Russian Federation does not contain detailed instructions on how to create an HOA, but, nevertheless, everything is quite clearly stated in it.

The list of documents required for registration of an HOA as a legal entity, the terms and procedure for registration, is also regulated by the Federal Law "On state registration legal entities and individual entrepreneurs» dated 08.08.2001 No. 129-FZ.

Where can an HOA be created?

A homeowners association can be organized:

in any apartment building (hereinafter - MKD);
by combining several apartment buildings and even quarters, the premises of which belong to different (two or more) homeowners of these houses, located on a common land plot or several adjacent (bordering each other) land plots, with common engineering and technical support networks and other infrastructure elements;
when combining several closely spaced buildings, structures, structures, houses intended for the residence of one family, country houses with or without household plots, garages and others located on a common land plot or several neighboring (bordering) land plots with common facilities, engineering networks -technical support and other infrastructure elements.

Advantages of the HOA over the management company

Such a way of managing an MKD as managing a homeowners' association, in contrast, for example, from managing a management company, has enough advantages.

Firstly, since the chairman of the HOA and the members of the board themselves live in the same house, they act in the interests of the members of the HOA, i.e. take care of creating the best comfortable living conditions for all residents of an apartment building.

In addition, the governing body of the MKD, even in the presence of an HOA, is the general meeting of owners of residential and non-residential premises which itself has the right to decide all current issues.

Related to this is the fact that financial activities The HOA is absolutely transparent, because at any time, the owner of the premises has the right to familiarize himself with financial documents, estimates of income and expenses of the HOA, payment orders, invoices issued, i.e. find out why, for example, they take money from him.

Besides, audit committee must check regularly financial documents HOA and report on inspections to the owners at a general meeting about their work.

Secondly, in HOA, settlements with resource supply companies for supplied communal resources (electricity, water, heat) go directly from the HOA's current account, therefore, HOA, unlike the management company, always has less debt to resource workers, or it does not exist at all.

Thirdly, the HOA, according to the legislation of the Russian Federation, is a non-profit organization, but at the same time has the right to engage in commercial activities, if it does not contradict the goals and the Charter of the HOA.

maintenance, operation and repair of real estate in an apartment building;
construction of additional premises and common property in an apartment building;
leasing, leasing part of the common property in an apartment building.

For example, HOA personnel (electrician, plumber, elevator operator, janitor) can perform work under a contract with other HOAs that do not have such personnel. The HOA can also rent empty non-residential premises, basements, attics (based on the decision of the general meeting), which is also important.

Thus, the HOA can have its own income.

Fourth, organs state power, local governments very often make concessions to HOAs and encourage their creation.

So, for example, in some regions, the owners of premises in MKD, where the HOA was created, and who, in accordance with the tax legislation of the Russian Federation, are obliged to pay land tax, were exempted from paying it. In Moscow, for example, the Department of Housing and Communal Services and Improvement of the City of Moscow organizes training for HOA chairmen in accordance with the order of the Government of Moscow dated September 10, 2008 No. 2062-rp “On creating conditions for the development of self-government of citizens in the housing sector” .

At the same time, it is always possible to transfer control into the hands of the management company, even if an HOA has been created in the MKD. In this case, all contracts will be concluded by the management company, and not by the HOA represented by the chairman.

In addition, resource-supplying companies do not have a desire to apply to the arbitration court to declare the HOA bankrupt if there is an outstanding debt of more than 100 thousand rubles, since in the future it is not possible to receive any cash or other liquid property from the HOA.

Basically, resource workers apply to the courts with such requirements for management companies that are LLCs, because. they, as a rule, have liquid property on the right of ownership.

Not many people know that the HOA does not have the right to own the common premises in an apartment building, which can be levied on the debts of the HOA, they belong to the owners of apartments and non-residential premises on the right of common shared ownership, as well as land plot, on which the MKD is located, and the corresponding house territory.

Disadvantages of HOA as a way to manage an apartment building

In addition to the advantages, the HOA has a number of disadvantages: for example, only one HOA can be created in one MKD, there are some difficulties in determining the amount of mandatory payments when managing the common property of several apartment buildings that are part of one HOA.

HOAs can also set additional membership fees for the maintenance of common property and the legal entity itself, but, as a rule, this happens quite rarely and is not an unbearable burden for owners.

As I noted above, the HOA does not have any premises on the right of ownership, therefore, there are no such premises for the accommodation of service personnel (employees) of the HOA. In such cases, the chairman of the HOA most often hosts a reception at home and speaks at general meetings.

When creating an HOA, it must be taken into account that the Housing Code of the Russian Federation does not establish that a decision to create an HOA can only be made at a general meeting of owners, therefore, absentee voting is also allowed in such cases.

I agree with those who argue that the possibility of holding absentee voting when creating an HOA and choosing its board members gives greater freedom for forgery (falsification), since there is no opportunity to observe the voting and summarizing its results.

In this regard, there are often simply criminal ways to create an HOA and select members of the board (including the chairman) by forging the signatures of the owners of the premises, and then, after the HOA is registered, the MKD is transferred to the management of some "subsidiary" management company. Sometimes it also happened that a person unexpectedly found out that he was the chairman of the HOA.

However, even taking into account the above disadvantages, it should be recognized that, among others, direct management and the management company - HOA is the most acceptable way to manage MKD.

The main stages of creating an HOA

The main stages of creating an HOA are:

Creation of an initiative group, holding a general meeting of owners on the creation of an HOA, approval by the general meeting of the HOA Charter, selection of board members, chairman of the board, compilation of a register of HOA members, selection of a person who is entrusted with registering an HOA in tax authorities
Registration of an HOA as a legal entity with the tax authorities, obtaining a certificate of registration (OGRN) and registration (TIN). Assignment of statistics codes, registration in off-budget funds.
Opening a settlement account (accounts) of the HOA in credit institution for settlements with service providers and receiving Money from the population. Transfer of MKD to the balance of the HOA, transfer technical documentation.
Conclusion of contracts with resource-supplying organizations.

More details about everything related to the procedure for creating an HOA will be discussed in the following parts.

Most apartment buildings are transferred to management various organizations, as it is quite profitable and convenient for residents.

Dear readers! The article talks about typical ways to solve legal issues, but each case is individual. If you want to know how solve exactly your problem- contact a consultant:

APPLICATIONS AND CALLS ARE ACCEPTED 24/7 and 7 days a week.

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One of the types of such management is a partnership.

What it is

A homeowners' association or homeowners' association, by its legal nature, refers to non-profit organizations.

This means that one of the main goals of the organization is not to make a profit in the form of money, but to satisfy the interests and non-material needs of the persons who are part of it.

The HOA acts as one of the forms of management of apartment buildings, the residential premises in which are located in private ownership.

When transferring apartments to citizens, in the order of privatization, the state relieves itself of part of the responsibilities for their maintenance, thereby shifting them to new owners.

Since citizens do not have practical experience in the operation of housing facilities, they are invited to choose one of the forms of organization management process- Establishment of a partnership.

Thus, HOA is a form of self-government of residents in relation to their own property, that is, a residential building and the territory adjacent to it.

The concept of management includes such processes as maintenance, operation, repair and provision utilities residential property owners.

It is worth noting that most apartment buildings will include not only residential, but also non-residential premises, the owners of which have an interest in managing the house.

In this regard, not only HOA, but also a partnership of property owners (TSN) will soon be created.

This form of management will allow to exercise the rights and interests of a wider range of subjects.

For what purposes

Before defining the goals of the HOA, it is worth revealing its tasks, which include:

Based on the main tasks main goal partnership is to ensure high-quality public services at home, maintain general cleanliness and order, control over the payment of fees and the fulfillment of direct duties assigned to it by the legislation of the Russian Federation.

Video: creating an HOA

Occupation

The main goal of the partnership can be combined into one concept - management. This concept is quite broad and includes different kinds activities.

Housing legislation, in, just singles out the management of an apartment building as the main area of activity.

If we consider this concept broadly, then we can distinguish as management functions - maintenance and repair, including the provision of various kinds of public services.

The list of the main activities of the HOA includes:

Provision of water and sewerage, gas	(if the house has such specifics), heating during the cold season
Maintaining common communications fit for regular use	planning and performing ongoing maintenance work on the house and its surroundings
Signing contracts for Maintenance and performance of work with specialized contractors	maintenance of technical documentation
Planning and conducting repair work	both current and capital
Consideration of incoming requests from residents	elimination of existing shortcomings and resolution of emerging disputes

The economic activities specified in and include:

operation;
service;
carrying out repair work of common property;
construction of new facilities;
transactions;
receipt and transfer of funds to service providers and contracting companies.

Despite the fact that according to the rules, the HOA is created in non-commercial purposes, it has the right to receive, from conducting its own activities, profits.

It can use income only to achieve the goals for which it was created.

For example, to direct the received funds for repair work or improvement of common property and territory.

All income received is subject to taxation, so the funds must be documented, as well as any other actions of the board of the organization.

The management activity of the partnership is to resolve a large number organizational issues which are under the control of the authorities. This may include a meeting of homeowners.

Organization Responsibilities

The obligations of the partnership are disclosed in housing legislation,.

According to the specified norm, the HOA is obliged:

The legislative framework

The HOA is dedicated to the Housing Code of the Russian Federation. After the collapse Soviet Union, the first types of partnerships began to form.

In this regard, it became necessary to create a legal act regulating the activities of partnerships. The Federal Law "On HOA" became such a legal act.

It was adopted in 1996 and lost its force in March 2005, when the current version of the Housing Code of the Russian Federation was put into effect.

All for and against HOA

As mentioned earlier, the partnership is a non-profit organization, the main purpose of which is not to generate income, but to meet the needs of the members of the partnership, in terms of managing their common property located in an apartment building.

For all tenants of an apartment building, the creation of an organization is a benefit procedure. Homeowners associations for or against - we will find out what needs to be taken into account.

Benefits received

The benefits of a partnership include:

Thus, by creating an HOA, citizens receive a considerable number of advantages.

As many realtors note, based on their sales practice, square meters in residential buildings where this organization exists have a higher price category.

Negative points

A significant disadvantage of the partnership is the imperfection of the legislation in terms of regulating the settlement system.

If one of the members of the organization refuses to make payments, then the service provider has the right to recover the funds in court.

The court will not care where the payments come from and it is possible that conscientious tenants will have to pay their bills twice.

In addition, the disadvantages may be slightly inflated prices for operation, increased risk when choosing a subject for the role of chairman.

From the side of the legislation, serious measures are not provided for unscrupulous payers.

Comparison table with other forms of government

Which method is chosen depends on many factors, including the characteristics of the apartment building, residents, certain situations, and so on.

When choosing, you should clearly represent all the main points, advantages and disadvantages of each of the methods:

type of government and general provisions	Advantages and disadvantages
Under direct management, the owners of residential premises themselves perform the functions of governing bodies, including repair work and maintenance of common property. They have the opportunity to enter into contracts with other persons providing home maintenance services. Each owner, in his own interests, independently concludes contracts with service providers	all payment for consumed services is made directly to their providers. In the event of debts, each homeowner will be responsible for them individually, thus there is no collective responsibility. The service fee does not include markups, as there is no intermediary involved in the relationship. There may be problems associated with the execution of contracts with service providers. Since no legal entity is being created, it will not be possible to open accounts for the purpose of accumulating funds for repairs
All arising relations between the management company and the tenants of the apartments are regulated on the basis of the contract. The management company collects money to pay for utilities and other services, acting as an intermediary	a single contract is drawn up by the management company, including the conditions for maintenance and the provision of services, as well as maintenance. The management company concludes agreements with service providers independently. Between the owner of the premises and the service provider, there is an intermediary whose services are not cheap. Missing regulations regulating the activities of the management company. The risk of fraudulent activity by the organization is increasing
In a partnership, all relations are regulated on the basis and by an agreement for those persons who are not members of the HOA. The Partnership on its own behalf concludes contracts with service providers	the organization has the opportunity to earn money by renting non-residential premises in and adjacent territories to the house. The proceeds are always directed to the needs of the residents of the apartment building. Members of the HOA have the right to re-elect the board. There is a collective responsibility among the members of the association. There is a need for bookkeeping. Works with non-payers on his own