H1: Can an HOA Change Rules After Purchase?
Yes, a Homeowners Association (HOA) can change rules after you purchase a property within its jurisdiction. However, there are several important points to consider regarding this process.
Governing Documents
HOAs operate under a set of governing documents, which typically include the declaration of covenants, conditions, and restrictions (CCRs), bylaws, and rules and regulations. Changes to these documents usually require a specific process, often including a vote by the HOA board or membership. It is crucial to be aware of these documents to understand the rules and processes in place.
Notice Requirements
Many states require HOAs to provide notice to homeowners before implementing significant rule changes. This notice period allows homeowners to express concerns or objections. It's important to ensure you get these notifications and understand any changes that may affect you.
State Laws
The ability of an HOA to change rules may also be influenced by state laws, which can vary widely. Some states have specific regulations governing how HOAs can amend their rules. It is advisable to review your state regulations to understand any additional requirements or constraints.
Reasonableness
Changes must be reasonable and not arbitrary. Homeowners may have grounds to challenge rules that seem excessively restrictive or discriminatory. It's essential to stay informed and engaged with the HOA board to ensure that any proposed changes comply with legal standards and are fair to all members.
Review Period
After a rule change, homeowners may have a period during which they can voice objections or seek clarification. This opportunity to provide feedback is crucial to ensure that the changes are processed fairly and transparently. It's important to take advantage of this time if you have concerns or questions.
Factors to Consider After Purchase
If you are concerned about potential rule changes after your purchase, it's a good idea to familiarize yourself with the HOA's governing documents and to stay engaged with the HOA board and community. This will help you stay informed and ready to address any issues promptly.
Rental Caps and Other Major Changes
Generally, changes to house rules can be made by the HOA. However, rental caps and other major changes will require a formal process with a super majority vote by the owners. It's advisable to communicate with your HOA to understand the specific rules and processes involved in these changes.
The Governing Documents and Developer Control
Some aspects of the governing documents can be subject to control by the developer. For instance, when the developer is still in charge, they may have three votes for every lot they control, whereas homeowners have one vote per homeowner. This can give developers a significant advantage during the early stages of a community. As an example:
In the original Happy Acres Community, the documents state: "Fences no more than three feet tall and made of natural wood are permitted to be installed." However, with a change in the development plan, the developer could be approved to build townhomes on the remaining property. In this scenario, the original rule might need to be amended to allow for a six-foot tall privacy fence, which is typical for townhomes.
Seek Legal Advice
If you're concerned about potential rule changes, it is always a good idea to consult with an HOA attorney. They can provide guidance on the legal aspects of the process and ensure that any changes are made in compliance with both state laws and the governing documents.
Staying informed, familiar with the governing documents, and engaging with the HOA board are key to navigating any rule changes that arise after your purchase. By doing so, you can help ensure that the changes are made fairly and transparently, protecting the community and all its members.