A Reserve Study is a critical financial planning tool for community associations and property managers. It evaluates the physical condition of common property elements—such as roofs, roads, and mechanical systems—and forecasts the timing and cost of future repairs or replacements.
The study then outlines a funding plan to ensure adequate reserves are set aside annually, helping communities avoid sudden special assessments or deferred maintenance.
Not only does a Reserve Study promote responsible fiscal management and property preservation, but in many states—like Delaware—it’s also a legal requirement. By conducting a professional Reserve Study, associations can ensure financial stability, meet legal obligations, and protect property values over the long term.
