Georgia HOA Reserve Fund Requirements (2025 Guide)

Georgia HOA and Condo Reserve Study Requirements: Overview

In Georgia, reserve studies are not legally mandated but are considered an essential tool for effective financial planning and community asset management. Here’s why reserve studies matter:

• Best Practices: Reserve studies help Georgia associations anticipate future maintenance costs and avoid financial surprises.
• Financial Stability: A clear funding strategy reduces the need for sudden fee hikes or special assessments.
• Transparency: Sharing reserve study results builds trust and fosters accountability among homeowners.
• Property Value Protection: Proper maintenance of community assets helps preserve and enhance property values.

Benefits of Conducting Reserve Studies

Even without a legal requirement, reserve studies provide significant advantages for Georgia communities:

1. Proactive Maintenance: Plan for major repairs and replacements, reducing the risk of unexpected financial burdens.
2. Increased Community Trust: Transparent financial planning reassures homeowners and strengthens community relationships.
3. Preserved Property Values: Maintaining community assets ensures neighborhoods remain attractive to potential buyers.

Step-by-Step Guide to Conducting a Reserve Study

Conducting a reserve study can be simplified into actionable steps to ensure thoroughness and accuracy. Here’s how:

Hire a Certified Reserve Study Professional

Use PropFusion’s Network to connect with experienced reserve study specialists familiar with Georgia’s unique community needs.

Compile an Asset Inventory

List all shared assets, such as roofs, plumbing, and recreational facilities, requiring maintenance or replacement.

Assess Asset Conditions and Lifespans

Evaluate the current state and projected lifespan of each asset to develop accurate repair and replacement plans.

Develop a Funding Plan

Create a financial strategy to maintain reserve fund levels covering 70-100% of anticipated costs, minimizing reliance on special assessments.

Communicate Findings to Homeowners

Share reserve study results with homeowners, explaining financial plans to build transparency and trust within the community.

Update Regularly

While Georgia has no legal requirement, it’s recommended to revisit reserve studies every 3–5 years to account for changes in maintenance and financial needs.