Countless families in Arizona own homes in communities with HOA associations. Planned residential living offers many benefits, including deluxe amenities, landscaping, and communal areas for homeowners. These amenities come at a cost, however, and HOA dues are mandatory for all HOA communities. If you are considering moving to an HOA community, you may be wondering, ‘What happens if you don’t pay HOA dues in Arizona?’
HOA Laws in Arizona
In Arizona, 2,249,000 residents live in planned communities with HOAs. When a home is purchased in an HOA community, the owner agrees to the terms and conditions set forth in the homeowner’s association Covenants, Conditions & Restrictions (CC&Rs). HOA fees and dues are assessed to maintain common property and address routine repairs. In Arizona, the average cost of monthly fees is $98. These fees cover services like landscaping, pool maintenance, and other associated costs of communal living.
If a homeowner is delinquent on dues or HOA fees, this can result in legal action being taken against them. While there is legal recourse available to homeowners facing HOA penalties, it’s important to understand the rules and provisions of the HOA before you become a resident of a homeowner’s association. If you are facing legal action from your HOA for fines, liens, or foreclosure, it’s crucial to speak to an HOA lawyer to know your rights.
Process of Service for Non-Payment of HOA Fees and Dues
The Arizona courts require HOA associations to follow state guidelines for initiating claims against homeowners with delinquent payments. The process is as follows:
- The HOA must send notice to the homeowner indicating that the account is overdue and that the HOA can assign late fees. Late fees cannot be more than 10% of the assessment. If proper notices are sent and ignored, the HOA may ultimately choose to file a lawsuit.
- A process server may serve paperwork to the homeowner, informing them of legal action. The complaint should explain the fees owed and may include the accounting ledger, showing how the fees were calculated.
- Depending on the amount owed, the case can be filed at the justice court or superior court in the county where the resident lives.
- The homeowner has 20 days to file an answer to the applicable court and send a copy to the HOA association.
Defense Strategies for HOA Cases
When you hire an HOA law attorney from Harper Hall PLC to represent you, we can assess the details of your case and develop a sound legal strategy to help increase the chances of a favorable outcome. Some of the defense strategies we use that can apply to an HOA law case are listed below:
- Lack of notice defense. If the HOA association did not give adequate notice for the delinquent assessment, this constitutes a breach in legal protocol.
- Erroneous accounting. Mistakes in accounting can contribute to inaccurate assessments when homeowners do pay their HOA fees on time, but the accounting does not reflect their payment. Your attorney can conduct a thorough investigation, comparing the HOA’s and homeowners’ financial records to determine if any discrepancies in accounting may have occurred.
- Invalid assessment. The homeowner may contest the validity of the assessment on several grounds.
If you are facing legal action from your HOA, it is crucial to seek legal guidance as soon as possible. HOA associations can aggressively pursue repayment. Ignoring notices and refusing to accept court documents when they are served does not reduce your obligation. Whether you live in a community with extremely high HOA fees, like Desert Mountain, DC Ranch, or Silverleaf, or a community with lower fees like Sun City Grand or Sun City Festival, options are available.
Why Choose Us?
Harper Hall PLC can help you understand the legal responsibilities and consequences of HOA membership in any of the many planned residential communities throughout Arizona, including Wickenburg Ranch, Camp Creek, or any of the other areas we serve. We can review your HOA agreement and the provisions of your CC&R so that you can avoid costly mistakes and mitigate any potential actions the HOA may take against you for unpaid dues.
FAQs
Can an HOA Put a Lien on Your House in Arizona?
Yes, an HOA can put a lien on your house in Arizona. If you, as an HOA member, default on dues and fees, your HOA association may assign fines and assessments against you, which can eventually result in a lien being put on your home if the debt becomes significant. If these assessments aren’t paid within the time set forth in the notice, your home may become subject to HOA foreclosure if the debt exceeds $10,000, according to SB 1494.
Can You Lose Your Home for Not Paying HOA Dues?
Yes, you can lose your home for not paying HOA dues, but only under certain circumstances. HOA associations cannot begin foreclosure proceedings until a certain amount of time has elapsed, and the debts exceed a certain amount, under SB 1494. You should be notified in advance of any foreclosure proceedings. Speak with an HOA lawyer to stop the forced sale of your home.
How Serious Are HOA Fines?
HOA fines can be serious. The amount of fines can become substantial, which is why it’s important to know the CC&Rs of your association’s resident agreement. Informing yourself with the specifics of your HOA can reveal what you can expect from non-payment. To know exactly what you are up against, hire an HOA law attorney to review your case. It could prevent you from losing your home to an HOA fine foreclosure.
How Much Is an HOA Law Attorney?
The cost of an HOA law attorney for an HOA case is typically assessed on an individual basis. Fees are normally discussed after the details of your case have been evaluated during your initial consultation with an HOA law attorney. It’s difficult to provide an estimated quote for legal representation without understanding the scope of the case. Legal fees vary according to the complexity of the case and the nature of the legal action you require.
Hire an HOA Law Attorney You Can Trust
At Harper Hall PLC, we’ve been serving the residents of Tucson, Phoenix, and the surrounding areas since 2003. With our dedicated, client-first approach, we can help you understand your rights around HOA membership and advocate for you when you wish to dispute an HOA assessment. Contact us to learn more about the legal options you have if you owe HOA dues.
