William Douglas Management has always recommended reserve studies to our clients as a long term financial planning for our clients. A reserve study is a process performed by engineering firms or companies that specifically perform reserve studies as their core business. A reserve study is a report that projects when numerous major components such as roofs, parking lots or tennis courts will need to be replaced within the HOA. Most importantly a reserve study will project how much this will cost and how much will need to be set aside each year to pay for the various components at the necessary time. The preparation of a reserve study requires a combination of specialized engineering knowledge and a keen understanding of financial projecting and homeowner associations.
Professional reserve study providers are extensively trained before they are considered qualified to perform competent reserve studies tailored for each community. These professionals have met stringent requirements and are held to high standards. These firms have a thorough knowledge of homeowner associations and condominium associations, and can provide the board of directors with needed guidance.