Can an HOA limit rentals retroactively in a retirement community?

Full question:

My homeowners' association sent a notice saying they were sending ballots to owners (I own this house but rent it out--it's in a retirement community) to get a 60% 'yes' response to limiting the number of rentals allowed in the community. In the homeowners' associations rules book, nothing is stated about limiting rentals and I have rented this house out for three years. Can they actually put this cap on and enforce it retroactively? Is that legal? And, what is my recourse if they say it is legal? (I do suspect them of fixing elections etc.)

  • Category: Real Property
  • Subcategory: Homeowner's Association
  • Date:
  • State: California

Answer:

In California, homeowners' associations (HOAs) can enforce rental restrictions retroactively, even if those restrictions were not in place when you purchased your property. A bill introduced in 2008 aimed to limit HOAs' ability to impose such restrictions, but it was vetoed. Therefore, current laws allow HOAs to enforce new rules regarding rentals.

According to California Civil Code Section 1368.1, any rule that unreasonably restricts an owner's ability to market their property is void. However, if the HOA follows proper procedures for rule changes, they may implement the rental cap. This includes providing at least thirty days' notice of the proposed change and allowing members to comment before making a decision (Cal. Civ. Code § 1357.130).

If you disagree with the new rule, you have options. Members owning five percent or more of the association can call a special meeting to discuss and potentially reverse the rule change (Cal. Civ. Code § 1357.140). You can also gather support from other homeowners to challenge the HOA's decision or ensure that the voting process is fair.

For further guidance, review the governing documents of your HOA and consider seeking legal assistance to understand your rights and options.

This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.

FAQs

Yes, an HOA can change rental rules, but they must follow specific procedures. Typically, they need to provide notice of the proposed changes and allow members to comment. If the rules are changed properly, they can be enforced, even if they were not in place when you bought your property.