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Is there any legal action other than a lean on my property for HOA due delinquency? Is there any audit of HOAs operating as non-profits but maintaining a surplus balance year over year?
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HOA's can run a surplus. The only limit is the reasonableness of the surpluse, if it is too excessive, a court might order the HOA to either lower its dues or refund back the overage it is keeping. Hard to prove but not impossible, the reasonableness will be seen in light of historical expenditures and the amount of cash being held.
If your lien gets large enough and, after warnings, the HOA can foreclose on the property.
You can still redeem after the foreclosure but all you will be doing is paying the HOA's lawyers a lot of money to collect from you.
Answered on Jul 19th, 2023 at 9:08 AM