HOA VS POA

we are starting a Property Owners Association in our neighborhood of 103 homes. The major developer of the subdivision 8 years ago is very supported but is calling our Asso an HOA. My fellow officer and board members want to know what the difference is between an HOA and a POA. Can someone please enlighten us.

JosephW is correct. It will matter what state you live in. I live in Georgia. Our community is in the process of going POA. I’m still learning much of it myself. I’m not familiar with the entire “lingo” but I do know that, when a homeowner is delinquent with their assessment (dues) and or fines, that the association can places a lien of these properties and if they proceed to foreclose on this home, the associations is then put on a list with other debts owed to other creditors. Instead of your name being on the list, in the order that it had been filed. Your name will go to the top of such list. Essentially your debt will be paid first before all others. I have been told it also reduces the percentage required to meet quorum.
Our community was encouraged to go this route, by our property manager (PM).

I’m still educating myself about the differences. I will continue to look. I’ll post any information for you and others to read once I have found anything further. I have read numerous posts and responses on this same topic.

If you have the time, continue reading on this discussion forum as well as the internet. Both are loaded with information to enlighten you in the difference between the two.

Here is site that may help you to understand a little bit more. It was posted earlier this year, by JulieS (who is also in Georgia).
http://swagman.typepad.com/poa_governance/2006/07/service_provide.html

Best of luck
Chuck W.