What Is an HOA and How Does It Work?

A homeowners’ association is a legal entity that manages and maintains a community, often created by the original developer.  Membership typically includes all homeowners in the neighborhood.  The governing documents—called Covenants, Conditions, and Restrictions (CC&Rs)—outline the community’s rules and the HOA’s authority.

Core HOA responsibilities include:

• Collecting dues and assessments
• Enforcing community rules

HOA communities can include single-family homes, townhomes, or condominiums.  Condominium associations (COAs) often operate under separate laws from subdivision HOAs, so it’s essential to know which applies to your property.

How HOA Fees and Assessments Work

Homeowners pay regular fees to cover shared expenses such as:

• Landscaping and security
• Snow removal and road maintenance
• Repairs and upkeep of shared facilities (pools, gyms, clubhouses)
• Salaries for HOA staff

The HOA typically sets a budget and divides costs among homeowners, billed monthly or quarterly.  In addition, special assessments may be imposed for significant repairs or improvements when reserve funds fall short, for example, replacing a clubhouse roof or repaving roads.

If you fail to pay assessments, the HOA can place a lien on your property.  Recognizing how these laws work helps you feel more confident in protecting your rights.

If you fall behind on assessments, the HOA can record a lien that clouds your property title, affecting your ability to sell or refinance.  Being aware of this empowers you to take action.

An HOA lien may include:

• Unpaid assessments
• Late fees and interest
• Collection costs (including attorney’s fees)
• Fines (where allowed)

A recorded lien is serious—it can lead to foreclosure.

HOA Foreclosure: Judicial vs. Nonjudicial.  Knowing your state’s procedures can help you feel more secure and prepared for potential outcomes.

Once a lien exists, the HOA may foreclose to recover unpaid amounts.  The process depends on state Law and CC&Rs:

• Judicial foreclosure: The HOA files a lawsuit and obtains a court judgment authorizing the sale.
• Nonjudicial foreclosure: The HOA follows statutory procedures without going to court.

Either way, the property can be sold at auction, like a mortgage foreclosure.

What Happens to Your Mortgage?

Most CC&Rs and state laws give HOA liens priority over later-recorded liens—except for a first mortgage or deed of trust recorded before the delinquency.  This means:

• The first mortgage usually survives HOA foreclosure.
• The Borrower remains personally liable for the mortgage debt, even if the HOA takes title.

Super liens: Some states grant HOAs “super lien” status for a portion of unpaid assessments, which can even take priority over first mortgages.  Know your state’s rules.

California does not have a super lien statute for HOAs like some other states (e.g., Nevada, Colorado, Florida).  Under California Law:

• HOA liens are junior to first mortgages and deeds of trust.  The priority of liens generally follows the “first in time, first in right” rule under Civil Code §2897, meaning earlier-recorded liens take precedence.
• California’s HOA lien priority is governed by Civil Code §5680, which states that an HOA lien for delinquent assessments is before all other liens recorded after the notice of delinquent assessment, except where the CC&Rs allow subordination. However, this does not override a first mortgage or deed of trust recorded before the HOA lien. 
• The Davis-Stirling Act sets foreclosure rules: an HOA can foreclose only if the homeowner owes $1,800 or more in assessments or is 12 months delinquent, but the HOA foreclosure does not extinguish a senior mortgage lien. 

Key Difference

Unlike super lien states, California does not grant HOAs priority over first mortgages for any portion of unpaid assessments.  If an HOA forecloses, the buyer takes title subject to the first mortgage, and the Borrower remains personally liable for that mortgage debt. 

State-by-state HOA super lien chart based on current statutes and industry sources.  Most states grant priority for 6–9 months of unpaid regular assessments (not fines or special assessments), but details vary:

HOA Super Lien States and Priority Amounts

After Foreclosure: HOA Options

If the HOA acquires the property, it can:

• Pay the first mortgage to prevent foreclosure (rare)
• Allow the lender to foreclose, transferring ownership to a new buyer
• Rent the property temporarily until the lender acts (though rent-skimming laws may apply)

Key Takeaways

• HOA liens can lead to foreclosure—even for small unpaid amounts.
• Recording a lien affects the title and limits your ability to sell or refinance.
• First mortgages usually survive HOA foreclosure, but you remain liable for the debt.
• Understand your CC&Rs and state laws to avoid costly surprises.

HOA super lien laws based on current legal frameworks and state variations:

What Is a Super Lien?

A super lien is a legal provision that can give HOAs or COAs priority over other liens, including first mortgages, for a limited portion of unpaid assessments, significantly affecting mortgage priority and homeowner obligations.

Why Do Super Liens Exist?

Super lien statutes were enacted to protect the financial stability of common-interest communities.  HOAs rely on assessments to maintain shared amenities and infrastructure.  Without a mechanism to collect delinquent dues, communities could deteriorate, harming property values for all residents. 

How Super Liens Work

• Scope of Priority: Super lien status typically applies only to 6–9 months of regular assessments (not fines, late fees, or special assessments).  State statutes define the exact amount and what charges qualify. 
• Effect on Foreclosure: In a super lien state, if the HOA forecloses, the super-priority portion of its lien must be paid before the mortgage lender receives any proceeds.  In some states, this can even extinguish the first mortgage lien entirely. 
• Impact on Lenders: Because super liens can leapfrog mortgages, lenders often cure HOA arrears to protect their interest, paying the HOA before foreclosure completes.

Foreclosure Process Under Super Lien

• Judicial or Nonjudicial: HOAs can foreclose using state-approved methods.  The process mirrors mortgage foreclosure, but with shorter timelines in some jurisdictions.
• Mortgage Consequences:
• In non-super lien states, the mortgage survives HOA foreclosure, and the buyer takes title “subject to” the mortgage.
• In super lien states, the HOA foreclosure can wipe out the first mortgage, leaving the lender unsecured. 

Key Risks for Homeowners

• Even if you’re current on your mortgage, unpaid HOA dues in a super lien state can still lead to foreclosure and loss of your home.
• Super liens complicate refinancing and title transfers because the HOA claim must be cleared first. 

Practical Tips

• Know Your State Law: Super lien rules vary widely; some states protect only assessments, others include fees and costs.
• Stay Current on HOA Dues: Even small arrears can trigger liens and increase foreclosure risk.
• Check the CC&Rs and Statutes: Understand which portion of the HOA lien has super-priority and how foreclosure works.