HOA rental rules: what a condo or townhome landlord must check
If your rental sits in a homeowners association, the association's documents can limit or shape renting: caps on the number of rentals, a minimum lease term, tenant approval, move-in fees and rules the tenant must follow. Read the declaration before you buy or list, give the tenant the rules in writing, and decide in the lease who pays a fine.
Where the rules live
An association is governed by a stack of documents, and each can say something about rentals.
- The declaration (often called CC&Rs): the main rules, including any restriction on renting.
- The bylaws and the rules and regulations: day-to-day rules about parking, pets, noise and common areas.
- Board resolutions and meeting minutes: changes that may not yet be in the documents.
- A resale or status certificate, if your state has one: a summary the association can provide.
Ask the association (or its manager) for the current set in writing. Do not rely on the seller or an old copy.
Limits associations commonly set
| Limit | What it means for you |
|---|---|
| Rental cap | Only a set number or percent of units may be rented; you may need to join a waiting list |
| Minimum lease term | Shorter than a set term (often months) may be banned, which rules out short-term rental |
| Owner occupancy period | You may need to live in the unit for a time before renting it |
| Tenant approval or registration | The association may require an application, an interview or a copy of the lease |
| Fees and deposits | Move-in, move-out or registration fees, sometimes charged to the owner |
Some of these limits are limited by state law. California, for example, restricts how an association may apply rental restrictions adopted after an owner bought; see Civil Code 4740. Other states have their own rules, and many have none. Check yours, and ask a local attorney if the document is unclear.
Give the tenant the rules in writing
A tenant is usually bound by the association's rules only if the lease says so. Attach the rules and regulations to the lease as an addendum, have the tenant sign it, and say that the rules can change with notice. Pay attention to parking, pets, trash, noise, use of the pool or gym, and move-in hours and elevator reservations.
Also tell the tenant who to call for a repair: the association usually maintains the exterior and common areas, and you handle the inside of the unit. Write that split down.
Who pays a fine
The association usually bills the owner, not the tenant. Your lease can pass the cost of a fine to the tenant if the tenant caused the violation, but say so clearly, and keep the notice and photos that show what happened. Do not pass on a fine caused by your own failure to give the tenant the rules.
Example a made-up association charges the owner $150 when a tenant parks in a guest space. The lease has a clause making the tenant responsible for fines caused by breaking the attached rules. The landlord sends the tenant the notice and the lease clause, and bills the $150 as a separate charge, not as unpaid rent.
Dues and special assessments
The owner pays the monthly dues, not the tenant, unless the lease says otherwise. Dues and assessments are rental expenses for tax purposes in most cases; ask your tax preparer, and keep each on its own line in your books for the unit. A special assessment for a capital project may need to be treated differently from a normal expense.
How DoorKeeping handles it
The declaration, the rules, the signed addendum and the association's notices are kept as documents on the unit. Dues paid from the owner's bank feed are matched to the property and coded to the right expense line for Schedule E. You can ask Claude or ChatGPT, "What did I pay in HOA dues on unit 7C this year?"
DoorKeeping does not read or interpret an association's documents for you and gives no legal advice.
Sources
Questions
- Can an HOA stop me from renting my condo?
- It can limit it, through caps, minimum terms or waiting lists, depending on its documents and your state. Some states restrict how new rules apply to existing owners.
- Does the tenant have to follow HOA rules?
- Usually if the lease requires it. Attach the rules to the lease and have the tenant sign.
- Who pays an HOA fine caused by a tenant?
- The association bills the owner. The lease can pass the cost to the tenant if the tenant caused the violation and the lease says so.