HOA dispute over rental limits

This is a discussion on HOA dispute over rental limits within the Landlord vs Tenant Issues forum, part of the REAL ESTATE & PROPERTY LAW category; My complex of homes has a rental limit in the CC&Rs. The CC&Rs state that no more than three homes ...

Consult Your Own Personal Lawyer Now!


Thread Tools Search this Thread Rate Thread Display Modes
Old May 17th, 2010, 01:42 AM   #1

Unregistered's Avatar
Posts: n/a

Default HOA dispute over rental limits

My complex of homes has a rental limit in the CC&Rs. The CC&Rs state that no more than three homes may be rented out at any time. This limit was grandfathered in. Right now, there are 3 rentals (all from the very beginning of the complex 15+ years ago).

I have to move out of the country for 2-3 years, so I requested an exemption to rent out my home. The board denied the request and referred me to the CC&Rs.

What are my options? I’d lose hundreds of thousands of dollars if I tried to sell. I also can’t afford to leave the home vacant. Not moving is not an option.

I can think of some possibilities:

(1) Ignore the board and rent out the home anyway. What’s the worst that can happen? I’m wondering if the board has made the decision it did because it has to follow the CC&Rs to the letter, not because it is going to penalize me if I rent out
(2) Take or threaten legal action against HOA to force approval. Does this have any chance?

Anything else? Any ideas on what all my options are, and any recommendations on what to do?
  Reply With Quote
Old May 17th, 2010, 07:31 AM   #2

Unregistered's Avatar
Posts: n/a

Default Re: HOA dispute over rental limits

1) The worst that can happen is that the HOA fines you for failure to follow the CCRs that you agreed to when you purchased your house. If you don't pay, they can go to court for a lien on the house to pay these. (That will screw up your credit and you would owe fines and court costs.) They can issue you a desist order to obey the covenants. They can sue you for failure to follow them, and get an injunction to force you to stop renting the house. Owners really need to read the CCRs closely when they buy a house in a HOA. Even if the CCRs seem reasonable when you purchase, you need to attend HOA meetings and vote on new rules. I have seen too many ridiculous rules set forth by HOA boards including rules on the color of your curtains, feeding birds, the height of your yard (and number of flowers), restrictions on childrens play equipment, prohibitions on flag poles, prohibition of pets walking in a lobby (even though the building allowed pets), prohibition of displaying any signs (even for sale), banning smoking in any public area (even your yard), and so on. I wouldn't own a home in an HOA!

2) This would at least give you a fighting chance. Make sure this is public - public opinion can sometimes make a HOA change its mind. Emphasize the ridiculous, tiny amount of permitted rentals (as a percentage of all units in the complex.) Compare this to statistics that show what percentage of homes in other nearby neighborhoods are rentals. Show that the same units have been rentals for the entire time and that no new rentals have been permitted for 15 years. State that if rentals are going to be permitted, these permitted rentals should rotate so others can use the 3 rental exception and that it is not always the same people who receive this benefit. Show that the tenants will be well screened and detail the exacting qualifications that you require in a tenant.

Another thought, do you have any relatives who currently rent? (I don't normally recommend renting to relatives but ...) Could they live in your house and rent from you (without HOA's knowledge)? You could simply show the HOA that these are your relatives who will be watching your home while you are away on business, so that your home can be maintained and keep to the standards expected in the community.
  Reply With Quote

Did you find this post helpful? Yes | No
Old May 17th, 2010, 07:37 AM   #3
Top Level Member
AFFA's Avatar
Join Date: Dec 2009
Posts: 21,441

Default Re: HOA dispute over rental limits

I wish to inform you that CC&Rs put various restriction on the use of house. In this regard they may make a provision that the house will be given on rent or will not be given on rent. Further you are therefore to abide by the guidelines but you may request the management board to consider your request to give on rent and allow you to give your premises on rent. Further if majority of house owners intends then this rule may be amended and you may benefit.

AFFA is offline   Reply With Quote

Did you find this post helpful? Yes | No

Bookmark & Share


This thread has 2 replies and has been viewed 1983 times

Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes Rate This Thread
Rate This Thread:

Posting Rules
You may not post new threads
You may post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Format Your Messages
Add Forum to Google Toolbar
Forum Jump

Similar Threads

Thread Thread Starter Forum Replies Last Post
Home was foreclosed in 2010. HOA is trying to sue me for the HOA fees until resold. kenck777 Other Real Estate Law Matters 2 Nov 20th, 2012 06:06 PM
HOA trying to squeeze me for landlords HOA fees. Unregistered Landlord vs Tenant Issues 3 Dec 9th, 2010 10:14 AM
Rental lease dispute regarding renewal - Wisconsin Unregistered Landlord vs Tenant Issues 5 May 18th, 2010 07:23 AM
Rental Agreement: California Residential Landlord Tenant Rental Lease Forms forum_admin Miscellaneous Topics 1 Nov 5th, 2009 10:17 AM
HOA Problems (townhouse in Kansas with HOA fees) Lisa Condos & Co-Ops 1 Jan 29th, 2008 05:57 PM

All times are GMT -5. The time now is 06:36 AM.