What Happens if You Break HOA Rules?

When you buy a house, you need to consider whether the home is in a community with a neighborhood association. If you're purchasing in an HOA neighborhood, you will likely have to pay HOA fees along with your monthly mortgage costs. You also have to deal with the association's rules which, in some areas, can be quite extensive.

If your homeowners association has regulations to follow, there's a good chance you may be wondering exactly what happens if you don't listen to the guidelines and do your own thing instead. Here's what you need to know about breaking HOA rules.

You may be given a warning before the HOA takes action

In many cases, the first step the HOA will take is to warn you that you are in violation of its regulations. For example, you may get a notification in the mail that your grass is too long or your house needs to be painted because it is out of compliance due to chipping paint. Or maybe you have a camper parked in your driveway when it's not allowed.

Depending on your association, you'll usually be told what fixes are necessary and may be given a deadline to make the corrections. If this happens, your best course of action is either to make the changes if they are reasonable and required, or to reach out to the HOA board ASAP to find out what the process is for appealing the alleged violation.

You could face fines and fees

A violation of HOA rules can result in fees and fines. Some associations jump right to this remedy, while in others you are fined only after you have been given a warning. The fees should be spelled out in your HOA documents so you know what to expect.

In some cases, you could be charged a flat fee for a particular violation. In others, you may be charged a per-day fee for each day that a problem goes uncorrected. These fees can add up quickly.

The HOA might also take action, like bringing someone out to mow your unmowed lawn, and then charge you for it. Usually, you will pay an inflated price if the HOA has to correct the problem themselves rather than you resolving it.

If you do not pay these costs, you could also get hit with additional penalties such as interest and late fees. If you are notified you have been fined, you should reach out to the HOA immediately to either pay the money or see what options you have to try to avoid the penalty.

A lien could be placed on your property

If you end up owing the HOA money for violations, it could actually get a lien placed on your property. This would be an ownership claim. When you have a lien on your property, it shows up on a title search. You may not be able to sell or refinance your home until you have taken care of the issue.

You don't want to let things get to this point if you can help it, so try to be proactive in dealing with the HOA before legal action against you becomes necessary.

The HOA could foreclose

If you become delinquent on your HOA account, your HOA could potentially move forward with foreclosing on your home in order to recover the funds you owe. That's right -- the HOA could actually take your house and force its sale.

While this isn't very common, it does happen and it is generally within the law for the association to take this action.

Because of these dire potential consequences, you should try to avoid breaking HOA rules whenever possible. If you think you'll have a hard time following them, don't move into an association neighborhood in the first place.

And if you're already in one, try to talk to the board members and figure out a solution if there's a problem. They won't always be reasonable but, remember, these are your neighbors so ideally they'll be willing to work something out before drastic solutions become necessary.