POA vs HOA is a common comparison many homeowners and buyers come across. These acronyms may seem interchangeable, but each represents a distinct type of association.
POA vs HOA: What’s the Difference?
Before diving into legal distinctions or management differences, it’s important to understand what a POA and an HOA are first.
What is an HOA?
An HOA, or homeowners association, is an organization responsible for maintaining and managing a community. It is usually formed by a developer when they create a community or subdivision. After selling enough homes, the developer turns over control of the HOA to the homeowners.
Sometimes, existing communities can form their HOAs after the fact. This would require the agreement of all homeowners involved.
An HOA is responsible for enforcing the rules, usually found in the governing documents. These rules can range from architectural design and landscaping to noise levels and rentals.
The HOA is also responsible for collecting dues and assessments from homeowners. The association uses these fees to fund services and amenities. These can include cleaning, maintenance, repairs, insurance, professional fees, and other similar expenses.
Generally, when a person buys a home in an HOA, they automatically become a member of the association. Some associations offer voluntary membership, allowing homeowners to choose whether to become members or not. That said, mandatory membership is more common.
An HOA is governed by a board of directors, commonly referred to as the HOA board. Board members are volunteer homeowners who their fellow members elect. The board is responsible for overseeing the operations, management, and maintenance of the association. Board members make decisions that benefit the community.
What is a POA? 
A POA, or property owners association, functions much like an HOA but often includes a broader range of properties. A POA can cover single-family homes, commercial properties, and even vacant lots. Membership in a POA is also mandatory once someone purchases a unit in the development.
Like HOAs, POAs also have governing documents, such as bylaws, CC&Rs, and articles of incorporation. These associations often provide services and amenities similar to HOAs, but they may oversee a larger geographic area or a more diverse mix of property types. POAs might manage lakes, parks, stables, or golf courses that are shared by several smaller residential communities.
The POA board operates similarly to an HOA board, with members making decisions on behalf of all property owners.
What is the Difference Between an HOA and a POA? 
The property owners association vs homeowners association comparison mainly comes down to scope. An HOA typically manages a single residential neighborhood. It regulates how homes appear and how common areas function. The focus is on preserving property values and quality of life in a residential setting.
In contrast, a POA may oversee multiple neighborhoods or a master-planned development that includes homes, businesses, and recreational land. The POA might consist of multiple HOAs under its umbrella as opposed to a single one.
A POA generally serves as a top-level entity with a broader focus. This type of association is often involved in long-term planning and management of shared resources across different zones.
While both collect dues and enforce rules, a POA might set general policies that local HOAs must follow. In this way, POAs often tend to be more comprehensive and have more authority over mixed-use or large-scale developments.
COA vs HOA: What’s the Difference?
The primary difference between HOA and COA is the type of property. A COA is a condominium owners’ association, also known as a condo association. It functions similarly to an HOA but is specific to condo communities or complexes.
In a COA, residents own only the inside of their individual units. Everything else, including walls, roofs, hallways, and grounds, falls under the category of common elements. The COA owns these common elements.
The COA is responsible for maintaining all shared areas and structural components. Unit owners pay regular dues, which the association uses to cover the maintenance, operational, and management costs.
In an HOA, homeowners own both the home and the lot on which it sits. The HOA typically maintains shared spaces but not individual structures. For individual properties, homeowners are responsible for maintenance.
It is worth noting that COA fees are generally higher than HOA fees in single-family communities. This is because condo associations typically incur higher expenses. Building and infrastructure maintenance tend to cost more money.
Additionally, while both associations enforce rules and collect dues, a COA has greater responsibilities because it manages more physical assets. There are more walls, hallways, elevators, and stairwells to look after.
Condo associations also tend to have stricter regulations. This is primarily due to the proximity of units and the requirement for consistent building maintenance. With common walls, shared plumbing systems, and limited private outdoor space, it is necessary to enforce more stringent standards.
POA vs HOA Under Virginia Law
In Virginia, state statutes regulate both POAs and HOAs. The Virginia Property Owners’ Association Act applies to POAs, but the same law also usually applies to HOAs. If the community is a condominium, the Virginia Condominium Act applies.
In addition to state laws, all association types must comply with their governing documents. These include the articles of incorporation, the CC&Rs, and the bylaws. Failure to comply with these documents could result in a breach of fiduciary duty for board members.
Property Manager vs HOA Manager: What’s the Difference?
Many associations hire professional help to run day-to-day operations. While a POA and an HOA might be more similar than not, a property manager and an HOA manager are entirely distinct.
A property manager is not a person who manages POAs. Instead, a property manager is responsible for managing rental properties. They screen tenants, collect rent, and enforce lease terms.
On the other hand, an HOA manager, also known as a community association manager, is a person who manages planned communities. This can include POAs, HOAs, and COAs.
An HOA manager has many responsibilities. They assist the board in planning budgets, collecting dues, preparing financial reports, enforcing rules, maintaining common areas, reviewing insurance policies, communicating with residents, and ensuring compliance with legal standards.
Associations can hire an independent HOA manager, but most managers work for a larger management company. Many communities partner with an HOA management company, which then assigns a dedicated manager to each development or client they handle.
POA vs HOA vs COA: Explained!
The POA vs HOA comparison highlights how associations can vary depending on the property type. Adding COA to the mix can make things confusing, but there are clear distinctions between the three. Each one plays a critical role in preserving property values.
Keymont Community Management offers expert management services to associations in Virginia, Maryland, and Washington, DC. Call us today at 703.752.8300 or contact us online to get started!
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