How to Get Out of Paying HOA Dues (or Reduce Them Legally)
You can reduce HOA dues by reviewing budgets, joining the board, and renegotiating vendor contracts. If financial hardship prevents payment, communicate with your board about deferrals or payment plans. When your HOA sues for unpaid dues, respond within your state's deadline to avoid default judgment and wage garnishment.
Answer HOA LawsuitAre your HOA dues draining your bank account each month? You have options to reduce or avoid these fees.
HOA dues add hundreds to your monthly housing costs. The difference between $400 and $800 per month changes everything. High fees make it harder to afford your home and harder to sell later.
HOA Suing You for Unpaid Dues?
Don't let your HOA win by default. Respond to the lawsuit within your state's deadline and avoid wage garnishment or property liens.
Respond to HOA LawsuitMany HOA boards consist of busy volunteers who don’t have time to review expenses. Someone needs to take the initiative. You can be that person.
Ways to Reduce or Avoid HOA Fees
Request the HOA Budget
You have a legal right to review your HOA’s budget. Request a copy and examine where your money goes. Ask the HOA president or board members to clarify any unclear items.
Join the HOA Board
Board membership gives you direct access to financial decisions. You can review contracts with property managers, landscapers, and other vendors. Direct involvement shows you exactly where your dues go.
Review All Vendor Contracts
HOAs typically maintain contracts with multiple vendors. Property management companies, landscapers, and pool maintenance firms often work under outdated agreements. Renegotiating these contracts can significantly reduce the budget.
Cut Landscaping Expenses
Long-term vendors sometimes overcharge loyal clients. Negotiate new terms with your current landscaper or reduce service frequency. Shopping for competitive bids from new providers often yields better rates.
Evaluate Property Management Fees
Large condo developments usually employ property management companies. These firms rarely suggest reducing their own fees. Work directly with the HOA board to determine if the fees match the services provided.
Shop for Better Insurance Rates
Insurance represents a major budget expense for HOAs. Switching carriers or negotiating with your current provider is straightforward. An insurance broker on the board might help secure better rates.
Defer Non-Essential Projects
HOA budgets often include projects like roof repairs or hallway painting. These expenses aren’t always urgent. Ask the board to defer non-essential work or schedule it every few years instead of annually.
Audit Reserve Funds
Most HOAs maintain reserves for unexpected expenses. Excessive reserves sitting unused serve no purpose. Review reserve balances and consider reducing contributions if funds have accumulated beyond reasonable needs.
Claim Financial Hardship
Facing debt or financial struggles? Explain your situation to the HOA board. Many associations offer payment deferrals or temporary relief for members experiencing financial distress.
Example: Gary bought a condo and was shocked by the HOA fees. He joined the board and reviewed property management fees and insurance policies. Simple changes reduced overall costs without affecting community quality. Gary’s involvement helped him and other residents afford their HOA dues.
What Happens If You Don’t Pay HOA Dues?
Unpaid HOA fees trigger serious consequences:
- Your community suffers from reduced maintenance and deferred repairs
- Your HOA may file a lawsuit against you
- The association can place a lien on your home
- You risk foreclosure in extreme cases
Always try to pay your dues on time. During financial hardship, communicate with your board. Most associations offer payment plans or temporary relief options.
What to Do If Your HOA Sues You
Your HOA can sue you for unpaid dues. You must respond within your state’s deadline to avoid a default judgment. Default judgments allow wage garnishment and property seizure.
Protect yourself by filing an Answer to the lawsuit. Our partner Solo can help you respond to debt collection lawsuits quickly.
Follow these three steps:
- Answer each claim made against you
- Assert your affirmative defenses
- File your Answer with the court and serve the opposing attorney
Missing the deadline gives the HOA an automatic win. Act quickly when you receive a summons.
Get Help Responding to HOA Lawsuits
Our partner Solo guides you through responding to debt lawsuits. The step-by-step platform helps you complete your Answer correctly. An attorney reviews your document before filing.
You can also negotiate and settle your HOA debt for less. The settlement platform streamlines communication with your HOA’s attorney.
Don’t let an HOA lawsuit result in wage garnishment or liens. Take action within your state’s deadline.