Oh, it’s a brave new world when homeowner associations and condos are allowed, by law, to assess fines for alleged rules infractions and covenant violations. They are also permitted to add junk fees, file a lien and then foreclose to collect those charges which often include hefty attorney fees. In many states associations have been granted priority over mortgages and other liens. What exactly does that mean? And how do associations find all these minor problems? The stories of covenant enforcement highlight the sheer pettiness and nastiness that seems to be quite rampant in association governed neighborhoods.
Bill Davis joins us On The Commons. Bill is an attorney in Texas who knows firsthand what it is like to be targeted by a homeowner association. He regularly represents other homeowners, often in the battle of their lives against their HOAs. We talk to Bill about super priority liens, find out what they are and what they do. We also talk about something that is on the horizon that would allow associations to watch an owner’s every move and inspect every nook and cranny on private property.We are, of course, talking about drones. As I mentioned, it is a brave new world. Private property? A home? What will American homes and property rights look like in the future.
Reporters are finally getting bold enough to start reporting the horror stories that keep cropping up in homeowner associations across the country. Sometimes they even get the facts straight. The stories are frequently as ridiculous as reporting crying babies to the HOA, to fining owners for having unapproved garden hoses in their yards or having the wrong shade of white blinds in their widows. These stories will make you scratch your head and wonder if absolutely everyone is so ridiculous and out of touch with reality to believe that these are important issues. Occasionally the headlines will promise a meatier story, one that we should be aware of that could affect us all. The many embezzlement stories that result in special assessments that we read about would fall into that category. But if you really want to know what is happening “behind the HOA closed doors”, where do you go?
Nila Ridings joins us On The Commons. Nila is an HOA homeowner in Kansas where life is nowhere near as rosy as she expected it to be when she bought her house. She has since done her homework, been active in the legislative arena, lobbied to get homeowner rights codified in Kansas and has shared her knowledge and insights with owners caught in the crosshairs of their associations. She is a frequent blogger on Ward Lucas’ Neighbors at war. And if one wants to find the unreported stories, one asks Nila. I did just that. We all hear the silly stories, the “too many rose bushes”, the costly ones about driveways having to be torn out because they are 2 inches wider than the approved plans, but which stories does she hear too often for comfort? Which stories tug at her heartstrings the most? Her number one story is not one the media reports on often but should.
I have never much liked the idea of mandatory membership homeowner associations. The concept of binding private real property to a hodgepodge of real estate owned by a third party, maintained and controlled by a motley crew of individuals with no expertise in the art of management has always seemed counterintuitive to me. That the model is not working is no real surprise. What galls me the most though is the idea that a handful of owners and hired managers are allowed to fine the owners. This is a power that is often used as a bully tool and abused. The fines can lead to the loss of a home and their financial security.
Frank Short joins us On The Commons. Frank, an attorney and a popular repeat guest of the show, discusses fines in HOAs and Condominiums. He explains why we have fines and who benefits from the fines. Over the years there have been a number of court cases about fines. He discuses those cases, explains what the courts considered and tells us how they ruled. He also explains the constitutional connections. This is an excellent show from the archives. For those being fined by their HOAs for whatever reason, this show is a must for the owner and their attorneys.
