How HOAs Are Seizing Homes Over Fines: The Rising Threat for Homeowners

JB Quinnon
May 30
2 min read

How HOAs Are Seizing Homes Over Fines: The Rising Threat for Homeowners—With a Racial Breakdown

Homeowners Associations (HOAs) have become a fixture in residential life, overseeing everything from lawn appearance to home colors. But with this control comes power—specifically, the legal authority to fine residents and foreclose on homes.

HOAs Are Seizing Homes

This issue is particularly pressing in places like Atlanta, where homeowners, especially those from minority backgrounds, are facing extreme consequences over relatively small unpaid dues or fines.

HOA Authority and Foreclosure Processes

HOAs can:

Fine homeowners for minor infractions (e.g., mailbox style, late dues)
Place a lien on the property if the fines go unpaid
Foreclose on the home if the debt isn't resolved

In states like Texas and Florida, this process can occur without court involvement. In California, foreclosures are blocked unless the debt exceeds $1,800 or has remained unpaid for 12+ months.

Who’s Leading HOAs? Racial and Gender Stats

Most HOAs are managed by boards or property management companies. Based on available employment and nonprofit data:

61% of HOA staff are White
16% Hispanic or Latino
13% Black or African American
6% Asian
4% Other

In terms of gender:

71% of HOA employees are women
Estimated 43–46% are White women, making them the largest demographic in HOA leadership

Who’s Losing Homes? Foreclosure Impact by Race

Although few states break down HOA-specific foreclosures by race, national foreclosure data provides insight:

Black and Latino homeowners face foreclosure at nearly double the rate of White homeowners:
- ~8% of Black and Latino borrowers have lost homes
- ~4.5% of White borrowers have experienced foreclosure(mvfairhousing.com)
A 2019 study found Black homeowners more likely to face foreclosure, even in majority-White neighborhoods.(phys.org)

These stats suggest that Black and Latino families are disproportionately impacted by HOA enforcement actions, including liens and home seizures.

Atlanta’s Crisis: Foreclosures Over Fines

Channing Cove (Conyers, GA)

Michelle Bernard was fined $878 to $2,755.
She sued the HOA, alleging fraud. HOA paid her $40,000 in a settlement.

Greighfield Community

One resident was fined $137,768 with no clear explanation.
Another was fined $10,150 after an argument with the HOA president.

Cherokee County

Tricia Quigley missed two $400 payments.
Despite paying over $10,000, her home was foreclosed and sold for $3.25.

Georgia Law on HOA Foreclosures

Liens can be placed if unpaid fines exceed $2,000
Homeowner must receive a 30-day foreclosure notice
There is no statewide regulatory agency overseeing HOA practices

Legislative Response: House Bill 1032

The Property Owner Rights and Accountability Act aims to:

Eliminate HOA foreclosure authority for unpaid dues
Strengthen homeowner protections
Force financial transparency in HOA actions

Conclusion

HOAs were designed to keep neighborhoods tidy and functional, but in practice, they’ve become a serious threat to homeownership—especially in Black and Latino communities. With white women making up the largest share of HOA leadership and people of color disproportionately facing foreclosure, the power imbalance is clear.

Until legislation like HB 1032 is passed, homeowners must remain vigilant: