County of Los Angeles Department of Consumer Affairs New Consumer Laws 2006

Homeowners Associations - Foreclosures:

Must meet stricter requirements to foreclose on a member’s home (Civil Code 1365.1,1367.1, 1363.001, 1367.4, 1367.5; Code of Civil Procedure 729.035)

Homeowners associations used to be able to foreclose on a member’s home for any delinquent amount.

This law prohibits homeowners associations from foreclosing on a member’s home, unless he owes more than $1,800 and is delinquent at least 12 months. For amounts less than $1,800, homeowners associations can place a lien on the property.

This law also requires the association to make accounting records and minutes of meetings available to members.

Action: DCA’s Real Estate Fraud Unit takes complaints against homeowners associations that violate this law.

For more information:
County of Los Angeles Department of Consumer Affairs
B-96 Kenneth Hahn Hall of Administration
500 W. Temple Street * Los Angeles, CA 90012-2706
Telephone (800) 593-8222 (within the County) * (213) 974-1452
web site: dca.lacounty.gov