HOA Glossary

A director's choice to formally decline to vote on a motion, often due to a conflict of interest.

Non-litigation methods — mediation or arbitration — for resolving HOA disputes.

A formal change to the HOA's governing documents, requiring a member vote to ratify.

The HOA's year-ahead financial plan detailing expected income and expenses for both operations and reserves.

The bundle of financial and governance documents the HOA is required to distribute to all members each year.

The yearly membership meeting at which the HOA holds elections and presents community updates.

A private dispute resolution process in which a neutral arbitrator issues a decision, which may be binding.

Abbreviation for Architectural Review Committee (or Architectural Control Committee).

The application form submitted by a homeowner to get HOA approval for a proposed exterior modification.

The HOA committee that reviews and approves homeowner requests for exterior modifications and improvements.

Any mandatory charge the HOA levies against owners — includes regular dues and special assessments.

A board member elected by the full membership who does not hold a specific officer title.

An independent review of the HOA's financial records to verify accuracy and compliance.

The written or electronic form used by homeowners to cast votes in HOA elections or on specific issues.

The process by which homeowners vote to select members of the HOA board of directors.

An elected or appointed homeowner serving on the HOA board of directors.

The elected governing body responsible for managing the HOA on behalf of all homeowners.

The formal board process of approving the HOA's annual operating and reserve budget.

The document governing the HOA's internal operations — meetings, elections, officer duties, and board procedures.

Covenants, Conditions, and Restrictions — the primary deed-recorded document governing what owners can and cannot do.

A formal letter notifying an owner that their account is being referred to collections for unpaid assessments.

The written policy governing how the HOA pursues unpaid dues, assessments, and fines.

Property owned and maintained by the HOA for the shared use of all residents.

In condominium law, all parts of the project owned collectively by unit owners, excluding individual units.

A budget line item or separate account for unexpected expenses not covered by reserves or the operating budget.

A binding promise or restriction in the CC&Rs that runs with the land and governs property use.

The time given to a homeowner to correct a violation before fines are imposed.

Directors and Officers liability insurance protecting board members from personal liability for governance decisions.

The original developer or builder who created the HOA and recorded the CC&Rs.

A limitation on property use written into the deed or CC&Rs and binding on all future owners.

The status of an owner account when dues or assessments are past their due date and unpaid.

The percentage of homeowners who are behind on dues at a given point in time.

The unpaid balance or number of days past due that triggers escalated collection action.

The period during which the developer (declarant) controls the HOA board before homeowner turnover.

A right for a third party or the HOA to use a portion of a property for a specific purpose.

A document from the HOA certifying the current balance owed by a seller at the time of a real estate transaction.

A closed, non-public portion of a board meeting used for sensitive or confidential matters.

Insurance protecting the HOA against financial loss from employee or officer theft or fraud.

Mandatory financial documents the HOA must provide to members, often annually.

The board-adopted schedule specifying the monetary amounts charged for each type of rule violation.

The board's legal power to impose monetary fines on owners for rule violations.

The 12-month accounting period the HOA uses for budgeting and financial reporting.

The legal process by which the HOA forces the sale of a property to satisfy an unpaid lien.

The complete set of legal documents that establish and regulate the HOA — CC&Rs, bylaws, rules, and the plat.

An owner's right to appear before the board before a fine or disciplinary action is imposed.

Regular fees paid by homeowners to fund the HOA's operating and reserve budgets.

A legal claim against a property securing payment of an unpaid HOA debt.

The HOA's legal authority to place a lien on a property for unpaid assessments.

Common elements assigned for the exclusive use of one or more specific unit owners.

A vote in which more than half of those voting (or present) support a motion for it to pass.

The contract between the HOA and a professional management company defining services, fees, and responsibilities.

The HOA's primary insurance policy covering the building structure and common areas.

A voluntary process in which a neutral third party helps two parties reach a mutually acceptable resolution.

The official written record of decisions made and actions taken at an HOA board or membership meeting.

The advance written notification to members announcing an upcoming HOA meeting and its agenda.

The minimum time between sending a formal notice and taking an enforcement or legal action.

A board member holding a named executive role: president, vice president, treasurer, or secretary.

A board meeting at which all homeowners have the right to attend and observe.

The HOA's general checking account used to pay recurring, day-to-day expenses.

A metric showing how close the HOA's actual reserve balance is to the ideal 'fully funded' amount.

The board officer who chairs meetings, signs official documents, and leads the board.

A written authorization allowing one person to vote on behalf of another at an HOA meeting.

The written document an owner uses to authorize another person to vote or act on their behalf.

A vote cast by a proxy holder on behalf of an absent member at an HOA meeting.

The minimum number of members or directors that must be present for a meeting to conduct valid business.

Money set aside by an HOA for future major repairs and replacements of common elements.

A professional analysis of an HOA's physical assets and reserves, used to set annual reserve contributions.

An annual or biennial refresh of the reserve study that recalculates funding needs without a full inspection.

A comprehensive redraft of the governing documents that consolidates all prior amendments into a single updated document.

Request for Proposal — a competitive bidding process through which the HOA solicits bids for services or projects.

The board officer responsible for maintaining official records and meeting minutes.

A one-time charge levied on homeowners to cover a large, unplanned, or underfunded expense.

A membership or board meeting called outside the normal schedule to address a specific urgent matter.

Board-adopted policies governing day-to-day community conduct that can be changed without a member vote.

A document in which the HOA agrees to subordinate its lien rights to a mortgage lender's claim.

A vote threshold higher than simple majority — often two-thirds or three-fourths — required for major decisions.

Rules restricting how many consecutive terms a board member may serve.

The board officer responsible for overseeing the HOA's financial accounts and reporting.

The transition of HOA control from the developer (declarant) to elected homeowner directors.

An unfilled seat on the board of directors due to resignation, removal, death, or failure to elect.

An ARC or board approval allowing an exception to a standard rule or architectural guideline.

A formal written agreement between the HOA and a service provider or contractor.

A breach of the HOA's governing documents, rules, or architectural standards by an owner or resident.

A formal written letter informing an owner that a specific rule has been violated and action is required.

The informational package provided to new homeowners when they move into an HOA community.