Category Archives: HOA

Another Bad Side of Homeowners Association

But I like my HOA

Most people who move into private Homeowners Associations do so because they like the apparent order, the neatness, the seeming peacefulness of the community. It’s only later that they learn how arbitrarily enforced rules and regulations can control almost every aspect of their lives. Not all Homeowners Associations are petty and dictatorial, but absolutely ANY neighborhood can take such a turn with just one local election. Voter apathy is a sad fact of American life. National elections generally attract 40% of the vote in off-year elections and 55% in Presidential elections. State elections see even less involvement by voters. By the time municipal and school levy elections roll around, voter fatigue reaches its zenith with some major funding and electoral decisions made by a tiny handful of voters.

Power is sexy

But imagine the electoral process in a typical Homeowners Association. People generally move into quiet neighborhoods to get away from controversy. They don’t want to be bothered to attend monthly or annual neighborhood meetings. Turnout is generally so low that quorums are extremely difficult to come by. A prospective board member with even a small amount of motivation can circulate through the neighborhood gathering proxy ballots to be used in an upcoming election of board members. Homeowners who sign proxy ballots often have no interest in the direction of neighborhood affairs, or in who gets elected, or what the current neighborhood controversies are. Proxies are signed on the doorstep just to make a visitor go away. It’s not hard to understand how a prospective board member with the most nefarious motivations can gain a position of power. Power is a pretty addictive aphrodisiac for some people, especially those who’ve never before held any positions of responsibility.

The loss of Constitutional Rights

In American jurisprudence abuse of power is generally stifled by the U.S. Constitution and to a lesser degree State Constitutions and city and county charters. Homeowners Associations all have what appear to be charters or governing documents but with a huge difference. Traditional government regulations must generally abide by what most Americans understand are their Constitutional Rights. Not so, the typical Homeowners Association. Restrictive covenants which all HOA members agree to sign essentially force the homeowner to give up an amazing number of traditional rights. The right to free speech? In case after case, courts have ruled that HOA members have given up their right to speak, to campaign, to express an opinion. The right of free association? There are cases around the country where homeowners cannot hold home Bible studies or have unapproved gatherings in their homes. The right to bear arms? Many HOAs have passed restrictions against gun ownership by residents. The right to unwarranted search and seizure? This gets even more bizarre, but in certain neighborhoods inspection committees are going into private homes to try to seek out hoarders. What’s the legal definition of hoarding? It doesn’t matter. My collection of books might be someone else’s definition of hoarding. A Mormon’s five-year supply of emergency food supplies might be construed as hoarding.

But you can begin to see the bottom line in this conversation. In a typical Homeowners Association, the law is whatever the HOA says it is. It’s not governed by Constitutional principles, but only the will of the majority. And in an apathetic neighborhood that majority can in fact be a majority of one. Remember that prospective board member who knocked on your door to ask for your proxy? That single person can tip the balance of power in a single board election and change a formerly peaceful neighborhood into a fascist regime.

If you’re naive enough to believe it doesn’t happen, try some creative searches on the World Wide Web. You’ll begin to understand what’s becoming a national scandal.

Ward Lucas
Author of
Neighbors At War: The Creepy Case Against Your Homeowners Association

Is Having A Homeowners Association Worth It?

One of the main purposes of a homeowners association is to maintain the common areas in a neighborhood like the parks and roads. The homeowners in turn are obliged to pay their dues to sustain these amenities. Often, these can be from $100 to $10,000 per year, based on the kind of neighborhood and their amenities. Moreover, not only do the residents have to pay their HOA dues, but they also are required to follow the rule book of the association.

The different regulations implemented by the association differ in each neighborhood but will most likely include your house color, trees you plant, your parking area and if you will have your house rented. Once these regulations are not followed, these homeowners have to pay a fine that is based on the broken rule.

To top it off, these associations even implement foreclosure if residents fail to pay their dues and fines. A study by the Sentinel Fair House reported that about 18 percent foreclosure activities in the five counties studied were caused by homeowners associations. About 70 houses in these five counties where foreclosed for less than $2,500 including legal fees.

Many homeowners are actually satisfied with their associations said Frank Rathbun, spokesperson of the Community Association Institute. These homeowners associations provide good amenities to the residents and even protect property values.

Critics however present an alternative opinion concerning these associations. They say that neighborhoods with homeowners association must offer more disclosure on the different restrictions and laws. One resident even said that it is essentially giving up your property rights when you.

Usually, home buyers do not have a copy of the rules and regulations of the association until after they move in. If they do not ask for the rules of the neighborhood, they will not have a clear idea of what consequences they might be facing and it will be too late to back out.

Ward Lucas
Author
Neighbors At War: The Creepy Case Against Your Homeowners Association

Are HOAs Good Or Bad For Homeowners?

Government? Or not government?

Most new communities these days are governed by homeowners associations or property owners associations. These are made up of homeowners who have collectively signed restrictive covenants as a condition of home ownership. Those covenants require certain behavior on the part of each member. Monthly or annual dues are collected to maintain common areas or provide for services such as trash collection or cable tv delivery. Each HOA or POA calls for the election of board members and officers who are given the power to take actions to make sure rules and covenants are followed. The board also has the ability to assess fines or other penalties, up to and including the confiscation of an entire property without reimbursement. For all intents and purposes, Homeowners Associations are mini-governments or quasi-governments which exist outside of most prevailing law. The magic that lets this happen is that the typical HOA is a corporation, a non-profit PRIVATE corporation. In other words, it’s equivalent to a private members-only country club. Homeowners are not considered to be homeowners or taxpayers or citizens, but rather MEMBERS. As willing MEMBERS they have agreed to be governed by the elected board as it administers the restrictive covenants that were WILLINGLY signed by all members.

But just like private non-profit corporations, rules are subject to interpretation. Rules can be changed. And many HOA members in many states have made amazing discoveries about the rights they thought they once had. For example:

Restrictions in selling or renting the house

You may think you’re that as the owner of your home you can sell it whenever you wish. Well, you may discover that your neighbors are partners in your home ownership and they will have a say in who you select as the buyer. In some communities, you may only sell it to a family consisting of two natural married adults. Blatant code for no gays, lesbians or singles.

You may only sell it to people over a certain age, as in age-restricted retirement communities.

You may not be able to sell it to a family with grandchildren (no overnight stays lasting longer than two consecutive nights)

You may also be stunned to discover restrictive covenants outlawing blacks, orientals, jews and other minorities. Federal law prohibits such discrimination, but the ongoing existence of such covenants leaves a powerful and not-too-subtle message. (I’ll have a whole lot more on this subject in my upcoming book Neighbors At War: The Creepy Case Against Your Homeowners Association.

Landscaping Restrictions

Every person is an individual with different tastes, desires, likes and dislikes. Life might be easier if you could only buy one color of carpet, one style of lampshade or one kind of flower. But we ARE our differences. Human nature rebels against regimentalism. Still, your neighbors are your partners and they want you to abide by certain rules. Properly grown grass, no brown spots, no weeds, no grass longer than 1 and 1/2 inches tall. No pansies, no more than a prescribed number of rose bushes, one neatly trimmed tree planted only on the left side of the sidewalk. All landscaping plans submitted to the architectural control committee. Believe it or not, there are thousands of lawsuits against homeowners who’ve violated one of the above restrictions (Again, lots more in Neighbors At War: the Creepy Case Against Your Homeowners Association)

No parking on the street

This one leads to more arguments, lawsuits and fisticuffs than almost any other. Land developers were given the right to jam more dwelling units into smaller spaces in exchange for creating severe parking restrictions. So, that overnight guest of yours? Forbidden! The birthday party for your youngster? Give it up, unless guests park in some nearby supermarket lot. But even worse? Dictatorial board members hire towing companies to snatch cars the second a delivery is being made to your house, or the moment an innocent guest drops by to say “hi.” Ambitious towing companies have been known to slip an occasional ‘C note’ to the first board member who calls them. Even worse, some communities hire two truck drivers to constantly patrol the streets snatching cars. It can cost a couple hundred bucks to get your car back.

No parking on your own driveway

Seriously! Some Homeowners Associations prohibit the accumulation of junk in your garage. There’s a good reason for that. They don’t want any passenger car visible from the street, so all cars must be parked in garages at all times.

No over-sized vehicles in the neighborhood

This sounds like a reasonable restriction to keep semi-trucks out of narrow neighborhood streets. But this is actually a way of keep out riff-raff. There’s a case in Texas where the local millionaires could have Hummers and Cadillac Escalades. But the owner of a brand new Ford 150 was fined and sued because it was a pickup truck. It cost him 150,000 bucks to fight the case.

No home-based business

This is very common. Obviously, the intent is to keep out homeowners who have a stream of customers coming to visit. But this rule is often used arbitrarily to get rid of ‘undesirables’. Any kind of home-based business can be deemed illegal, even one owned by a writer who rants against Homeowners Associations…

No Green Energy

No kidding! No laundry lines (lots of fines and lawsuits on record). No solar panels (lots of fines and lawsuits on record) No xeriscaping (lots of fines and lawsuits)

In summary, if you’re going to live in an HOA plan for trouble. Even though you may like the kinds of rules you’ll have to follow, set aside a sum of money each month in a permanent savings account. Regular saving is always a wise idea, but especially in the HOA environment. Sooner or later you may need to use that money for fines or legal fees.

Ward Lucas
Author
Neighbors At War: The Creepy Case Against Your Homeowners Association

Craziest Homeowners Association Laws

Get to know your neighbors

That used to be such wise advice handed out by law enforcement organizations. But times have changed, times have changed. These days it’s far more important to your safety and your financial health to get to know your neighborhood rules. (I continue to collect examples of such rules, so please feel free to contact me with new ones!)

The rules

Some New York co-ops don’t want just any itinerant artist in the building, only art projects officially approved by the board.

In some HOAs….no high heels. (understandable)

In an HOA in Iowa…no visits by a mother-in-law! (Actually, that’s a marvelous excuse. One could get to like that rule)

No smoking in your own home or any place on your property. (Increasingly common, and backed up by court after court)

No outdoor laundry drying. (Very common. Lady in ‘enviro-friendly’ Oregon fined a thousand bucks.)

No cross or other Christian symbol near or on your from door or visible from the street. (gotta erase any remnant of Jesus)

No Mezuza or any other Jewish symbol visible from the street. (court cases up the wazoo)

Absolute restriction on the number of rose bushes (famous case which cost one poor sucker his house)

No lemonade stands (remember the rule against home-based businesses? Besides, who wants snotty nosed kids visible from the street?)

Kids may not play outside. (Unbelievable, but this is a current case involving some Florida Homeowners Associations!)

Please, please, I’m a glutton for punishment. If you’re all steamed up about some stupid HOA rule, please drop me a line. I’ve heard most of them, but am always looking for more. You’ll see a ton of them in my upcoming book, Neighbors At War: the Creepy Case Against Your Homeowners Association, but I need volunteers in my anti-HOA army!

Talk to me at wardlucas@gmail.com

Ward Lucas

Author
Neighbors At War: The Creepy Case Against Your Homeowners Association

What Homeowners Associations Can Do For You, or To You

For you

A staggering number of communities across the nation have Homeowner $B!G (Bs Associations. Twenty percent of all American homes are in HOAs. But that belies the read figure. Almost 100% of all NEW homes are in Homeowners Associations. That’s because developers cannot get permits to build unless they agree to create restrictive covenants that subsume some of the traditional duties of government. It’s a form of tax-shifting. Instead of additional taxes, you pay neighborhood ‘dues’. It doesn’t feel like taxes, and it doesn’t create some of the legal complications involved in raising taxes.

Some people enjoy HOA life. They feel it gives them more security and provides certain community services unavailable in traditional neighborhoods. A nice front entrance. A gated community. Preservation of property values (that last one is a myth that I’ll destroy in some future blog).

The local government jurisdiction has other reasons for liking HOAs. Snow removal isn’t as important. Let those rich folks plow their own snow. Contracts for trash collection. Let ’em find their own garbage companies. Christmas lights at the entrance (Oops! Gotta take Christ out of Christmas or risk an ACLU suit!)

But for every yin there’s a yang, for every pro there’s a con. And what the HOA can to TO YOU is dizzying.

To you

The typical Homeowners Association is a police power that isn’t tied down by Constitutional restrictions on police powers. It’s a private non-profit corporation, you see? Even though it’s next to impossible to buy a new home outside of an HOA, they’re not yet considered de facto governments. Therefore the HOA can do some incredibly stinking things. Like keep out blacks. Or Jews. Or Mexicans. Or it can make life so rotten for blacks and Jews and Mexicans that they decid to create their own HOAs. If you don’t believe me, then think Shoal Creek and the quick scrambling they had to do when Tiger Woods started winning tournaments. Incidentally, we owe Tiger Woods a huge debt of gratitude for inadvertantly focusing attention on certain country club practices.

But HOAs have other stinky things they can do. They can keep out the disabled. (Don’t believe it? You’ve gotta read my upcoming book!

They can intentionally poison pets! (An actual case in Arizona where a board president ordered members to set out poison for housecats)

They can keep out the young. Keep out the old. Keep out the singles. Keep out the gays. You name the population you don’t want, and I’ll show you the caselaw where it’s happened.

They can siphon millions of dollars from construction defect litigation and sneak it into the pockets of favored contractors and law firms! (Pay attention to the burgeoning scandal in Las Vegas!)

But in thousands and thousands of cases around America, HOAs file lawsuits. Lawsuits over weeds in the lawn, grass a half inch longer than the two inch maximum, the installation of a Christian cross or a Jewish Mezuzah on a door. These are neighbors suing neighbors. These are tiny little disputes provoked by tiny little minds who get themselves elected by tiny vote margins on tiny minded HOA boards. What’s not tiny is the massive legal fees that are generated. This isn’t just lawsuit abuse, it’s the American tort system on steroids. Billions and billions of dollars are vanishing down the maw of the American lawsuit machine.

Next time you attend the neighborhood Christmas party, take a look around. Then ponder for a moment why there are so few attendees.

Ah! And follow me on Twitter. I hope I tick you off! @ward_lucas

Ward Lucas
Author
Neighbors At War: The Creepy Case Against Your Homeowners Association