HOAs taking S.A. homes now getting lawmakers' attention
Boarded up. Deserted. A court notice to vacate. The signs of foreclosures permeate the Lago Vista neighborhood. Foreclosures are nothing new in this new economy. But when itâs your homeownerâs association doing it to a neighbor, Janet Ahmad with the Home Owners for Better Building says it gets personal. âThis is a money-maker for the industry. Itâs very lucrative,â said Ahmad. One bill being heard this week in committee, pushed by Houston lawmaker, Rep. Harold Dutton, asks that delinquent homeowners get a written notice of the amount of attorneyâs fees and costs they face BEFORE those costs are actually incurred. Ahmad added, âThat would stop attorneys from abusing their authority. And an investigation is key.â Groups like the Home Owners for Better Building want lawmakers to request the state attorney general look into the practices of HOAs.
HOAs taking S.A. homes now getting lawmakers' attention
View Report by Joe Conger / KENS 5
SAN ANTONO --Boarded up. Deserted. A court notice to vacate. The signs of foreclosures permeate the Lago Vista neighborhood. Foreclosures are nothing new in this new economy.
But when itâs your homeownerâs association doing it to a neighbor, Janet Ahmad with the Home Owners for Better Building says it gets personal.
âThis is a money-maker for the industry. Itâs very lucrative,â said Ahmad.
An annual homeowner assessment is designed to fund common landscaping, maybe a neighborhood pool. Miss a payment, and attorneys for the HOA can make it expensive.
We discovered one payment plan for a missed $240 assessment that included late fees and attorneys fees totaling nearly $6,500.
Ahmad said âAnd once they get behind, they can never catch up. And this attorney will get them into a payment plan they canât afford.â
We found one subdivision in San Antonio with more than 20-foreclosures started by the HOA.
Now, thereâs a move in Austin to try and give property owners a little more protection. There are reportedly dozens of reform bills filed in this session before the Texas legislature.
One bill being heard this week in committee, pushed by Houston lawmaker, Rep. Harold Dutton, asks that delinquent homeowners get a written notice of the amount of attorneyâs fees and costs they face BEFORE those costs are actually incurred.
Ahmad added, âThat would stop attorneys from abusing their authority. And an investigation is key.â
Groups like the Home Owners for Better Building want lawmakers to request the state attorney general look into the practices of HOAs.
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