The Hidden Risks of Buying a Home with an HOA in Florida

Buying a home is one of the most significant investments many Floridians will ever make. Increasingly, that home may be located in a community governed by a Homeowners’ Association (HOA). While HOAs can offer benefits such as well-maintained common areas and a sense of neighborhood uniformity, it’s crucial for prospective buyers to understand the potential downsides—especially in Florida, where HOA powers are broad and enforcement can be aggressive.

Here’s what you need to know before signing on the dotted line.

1. HOAs Have the Power to Place a Lien—and Even Foreclose—on Your Home

Perhaps the most concerning power Florida HOAs hold is the ability to place a lien on your home for unpaid assessments. These are the regular (and sometimes special) fees the HOA charges homeowners for maintaining the community. If these assessments go unpaid, the HOA can—and often does—initiate foreclosure proceedings, much like a mortgage lender would.

2. Fines Can Add Up Quickly—And Reach Extreme Amounts

HOAs in Florida can also fine homeowners for violating community rules—sometimes for infractions that may seem trivial or subjective. These fines can reach up to $1,000 per violation (under Florida law, HOAs can enforce fines up to $100 per day per violation, up to a total of $1,000). Some communities may interpret “violation” broadly, leading to cumulative and costly penalties. Horror stories abound of vindictive board members abusing their power to fine to inflict financial and legal hardship on members.

Examples of potential violations include:

• Lawn grass that is just fractions of an inch too long

• Decorative choices the HOA deems “inappropriate”

• Unauthorized home improvements, even if they enhance the property

• Seasonal decorations that don't meet community standards

In some cases, these fines can also lead to foreclosure if unpaid, adding another layer of financial risk.

3. You May Have Little Say in How Assessments Are Decided

Another often-overlooked issue is the HOA board’s authority to approve new assessments or increase existing fees without direct consent from homeowners. While some communities require a vote on certain changes, many Florida HOAs are governed by rules that allow the board significant discretion over financial decisions.

This means you could face unexpected bills for:

• New clubhouse construction

• Major landscaping projects

• Infrastructure improvements

• Legal fees incurred by the HOA—even if you disagree with the litigation or if the Board caused the lawsuit themselves through neglect, breach of duty, or breach of contract.

  
  

And once assessments are approved, nonpayment can again lead to liens or foreclosure actions.

4. Rules Are Binding—and Enforcement Can Be Aggressive

HOA rules, (frequently known as Covenants, Conditions & Restrictions, or Declarations), are legally binding. When you buy into an HOA community, you agree to follow these rules—even if you disagree with them, didn’t read them thoroughly, or weren’t fully informed about their scope. The obligation transfers with the property you bought, and there is no way out of it.

The enforcement of these rules is typically handled by the HOA board or a management company, and enforcement can vary widely. However, in many Florida communities, enforcement is strict and penalties are swift. Once a violation is cited, you may have limited time to correct the issue before fines begin accruing.

Final Thoughts: Do Your Homework Before Buying

Florida law gives HOAs considerable authority, and while many are professionally managed and responsive to homeowners, others can become sources of frustration, unexpected expense, and even legal trouble. Before purchasing a home in an HOA-governed community, we recommend:

• Reading the full HOA bylaws and rules (Declarations, Covenants, etc.)

• Reviewing the HOA’s financial health

• Researching current lawsuits the HOA is involved in and inquiring if the HOA is anticipating future litigation (as you and your neighbors may end up paying the bill)

• Asking about recent assessments and fines

• Talking to current residents about their experience

• Consulting with a real estate attorney to understand your rights and risks

Buying a home with an HOA isn't necessarily a bad choice—but it is a choice that requires careful consideration. Know what you’re agreeing to, and make sure your dream home doesn't come with nightmares hidden in the fine print.

Need Help Reviewing an HOA Agreement Before You Buy? We can help you understand the legal obligations and risks involved in purchasing property in an HOA community. Contact us today for a consultation.