House committee advances HOA foreclosure bill after hours of debate over estimates, local control and homeowner protections

A House committee on Feb. 17, 2025, advanced House Bill 10 43 after extensive floor and committee debate. The bill, sponsored by Representative Ricks, would add new protections for unit owners facing enforcement actions by homeowners associations, including a potential stay of up to nine months to allow an owner to sell on the open market and additional disclosure and counseling requirements.

Why it matters: Sponsors said the bill addresses what they described as cases in which investors buy homes lost to HOA foreclosures for a few thousand dollars, leaving homeowners without the equity they had built. Opponents warned that extended stays, mandatory reports and new notice requirements could increase administrative costs for small HOAs and reduce local control.

Representative Ricks, the bill sponsor, described committee amendments designed to protect homeowners. “We were able to add that the homeowners would get the right to sell their homes and ask for a stay…