California Caps HOA Fines at $100 to Protect Homeowners
California Caps HOA Fines at $100 to Protect Homeowners

California Caps HOA Fines at $100 to Protect Homeowners

News summary

A new California law, effective July 1, caps homeowners association (HOA) fines at $100 per violation, significantly reducing previous fines that ranged from hundreds to thousands of dollars. The legislation, quietly inserted into a major housing reform bill, aims to protect middle- and low-income residents amid the state's affordability crisis by preventing excessively punitive fees and foreclosures. While supporters, including homeowner advocates, praise the cap for curbing unfair and retaliatory fines, HOA boards express concern that the restriction will weaken their ability to enforce community rules effectively. This law also bans late fees and interest, further limiting HOA financial penalties. The reform reflects ongoing tensions between protecting homeowners’ finances and maintaining HOA authority in California, where over half of homeowners pay HOA fees averaging $278 monthly. The bill's passage involved negotiations with lawmakers but drew little public attention until after the governor signed it into law.

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Last Updated
38 min ago
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