The Texas Homeowner Protection Act is designed to safeguard homeowners’ rights in HOA communities. Both homeowners and board members should understand the contents of this Act. For homeowners, familiarization will aid the preservation of their rights, while board members can avoid potential liability.

 

What is the Texas Homeowner Protection Act?

Found under Chapter 209 of the Texas Property Code, the Texas Homeowner Protection Act establishes a framework to protect homeowner rights and responsibilities in Texas. It is also known as the Texas Residential Property Owners Protection Act (TRPOPA). This legislation ensures transparency, accountability, and fairness in HOA governance.

 

Key Points of the Texas Residential Property Owners Protection Act

Here are the homeowner rights in Texas, according to TRPOPA.

 

1. Right to Access Association Records

According to Section 209.005, homeowners have a right to obtain and examine copies of association records, including financial documents and meeting minutes. This transparency lets members stay informed about the association’s operations and financial health.

 

2. Open Board Meetings

The Act mandates that board meetings be open to all association members, ensuring transparency in decision-making processes. Members must receive notice of these meetings, including the date, time, location, and agenda. This is found under Section 209.0051.

 

3. Notice of Elections and Association Votes

According to Section 209.0056, associations must provide written notice of elections or votes to each owner, specifying the subject matter and procedures. This ensures that all members have the opportunity to participate in the governance of their community.

 

4. Voting Rights and Procedures

Voting Rights and Procedures

Section 209.00592 outlines owners’ rights to vote in association matters and specifies procedures for casting ballots. This includes provisions for absentee and electronic voting.

 

5. Alternative Payment Schedules for Assessments

Homeowners facing financial difficulties can request alternative payment schedules for dues and assessments, also known as payment plans. According to Section 209.0062, associations of more than 14 lots must adopt reasonable guidelines for such payment plans, with certain exceptions.

 

6. Restrictions on Foreclosure

Section 209.009 of the Act imposes strict conditions under which an association can foreclose on a property for unpaid dues and assessments. An HOA can’t foreclose if the lien solely consists of fines or attorney’s fees, among other things.

 

7. Right of Redemption After Foreclosure

As per Section 209.011, homeowners can redeem their property within 180 days after a foreclosure sale. They can do this by paying the amount due plus costs. This provision offers a critical opportunity for owners to reclaim their homes.

 

8. Management Certificates

Section 209.004 states that associations must file a management certificate in the county property records. This includes essential information such as the association’s name, mailing address, and contact details. This ensures that homeowners and potential buyers have access to current association information.

 

9. Adoption or Amendment of Governing Documents

Section 209.0041 of the Act sets forth procedures for adopting or amending governing documents. This includes the requirements for owner approval and filing with the county clerk.

 

10. Regulation of Land Use: Residential Purpose

According to Section 209.015, associations are prohibited from adopting or enforcing restrictive covenants that prevent the use of property for residential purposes. This protects homeowners’ rights to use their property as a residence.

 

11. Regulation of Residential Leases or Rental Agreements

As per Section 209.016, the Act limits the association’s authority to regulate leasing. It ensures that any restrictions are reasonable and do not infringe upon owners’ property lease rights.

 

12. Association Contracts

According to Section 209.005, associations must make contracts available for owner inspection. Associations must also retain them for a specified period.

 

13. Priority of Payments

When an owner makes a payment, the association must apply it in a specific order: first to delinquent assessments, then to current assessments, and finally to other charges. This is according to Section 209.0063 of the Texas Homeowner Protection Act.

 

14. Third-Party Collections

Section 209.0064 of the Act regulates associations’ use of third-party collection agents. It requires specific disclosures and limits fees. This section also outlines the notice requirements for third-party collections.

 

15. Credit Reporting Services

According to Section 209.0065, associations may report delinquent assessments to credit reporting agencies. However, they must provide notice to the owner before doing so. This allows owners to settle their unpaid balance before it affects their credit score.

 

16. Hearing Before Board and Alternative Dispute Resolution

Section 209.007 states that associations must provide the owner with an opportunity for a hearing before the board or a committee before taking certain enforcement actions. Parties may also enter alternative dispute resolution (ADR) to resolve the conflict.

 

17. Attorney’s Fees

Section 209.008 of the Act allows associations to collect reasonable attorney’s fees for enforcement actions. However, it also requires notifying owners of their obligation and opportunity to cure the violation. This prevents unexpected legal expenses for homeowners.

 

18. Notice After Foreclosure Sale

After a foreclosure sale, the association must notify the former owner and any lienholders of the sale and their right of redemption, according to Section 209.010 of the Texas Property Code.

 

19. Mandatory Election After Failure to Call a Regular Meeting

According to Section 209.014, owners can petition for a mandatory election if the board fails to call an annual meeting. This ensures that new board members are elected and current ones don’t remain in a position of power indefinitely.

 

20. Notice Required Before Enforcement Action

According to Section 209.006, associations must give homeowners written notice of their violations and give them the chance to remedy the violation before imposing penalties.

 

Prohibited Restrictions Under the Texas Homeowner Protection Act

There are certain restrictions that an association may not enforce. According to the Texas Residential Property Owners Protection Act, associations may not outright prohibit members from the following:

  • Implementing composting methods for solid waste disposal (Section 202.007)
  • Installing rain barrels or other water-efficient irrigation solutions (Section 202.007)
  • Using drought-tolerant plants or water-conserving turf for landscaping (Section 202.007)
  • Adding solar energy systems to properties (Section 202.010)
  • Installing or replacing roof shingles (Section 202.011)
  • Displaying the American, Texas state, or military flags in compliance with federal flag laws (Section 202.012)
  • Placing religious items on entry doors, provided they meet constitutional guidelines (Section 202.018)
  • Installing a standby electric generator (Section 202.019)
  • Transporting, storing, or using firearms legally, if authorized to own them (Section 202.021)

 

For Expert Legal Assistance

The Texas Homeowner Protection Act balances the rights of homeowners and associations. When in doubt, board members should consult HOA lawyers for clarification and advice. An HOA management company can also provide legal guidance.

Graham Management offers exceptional HOA management services, including legal guidance, to Houston communities. Call us today at (713) 334-8000, request a proposal, or contact us online to learn more.