The purpose of inspection is to provide an independent external assessment of the effectiveness of housing service delivery, and make recommendations to help improvement.
ACHA owns just over 5,000 houses and 3 gypsy/traveller sites located across the Argyll and Bute Council area.
Lesley Kerr, Acting Head of Inspection at the Scottish Housing Regulator, said: "Our inspectors found that ACHA has some strengths but also some areas where improvement is needed.
"ACHA is a relatively young organisation that was formed to receive houses transferred from Argyll and Bute Council. It faces a range of challenges and has worked well to improve most of its services over a relatively short period of time.
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"The Association has made good progress on most of the commitments it made to its tenants and has strengths including estate management, access to its housing list, financial reporting and it is building good quality new houses. However, a number of its service improvements are at an early stage and it has been slow to progress the delivery of some promised stock investment works. ACHA is improving its business planning, performance management framework and SHQS plans but currently these have several weaknesses and risks."
Mrs Kerr admitted the Association also has gaps in its understanding of how satisfied its tenants are with its services as its first survey is not due to be completed until 2010.
Norman Beaton, Chairman of ACHA, added: "As a young organisation we are pleased with the progress we have made to date and look forward to building on the achievements we have already made."
Alastair MacGregor, Chief Executive of ACHA, spoke of the recognition of the considerable progress the association has made in delivering their stock transfer commitments to tenants in our first three years.
"We look forward to delivering on the challenges that lie ahead," he concluded.
(GK/BMcC)
