A WOMAN is warning other homeowners after her house was sold by her HOA over a late payment.

Taylor Sanders admitted she knew she missed a payment to her Homeowners Association but she didn’t expect to lose her house over one late bill.

In 2020, Sanders lived in the Weddington Hills community in North Carolina and she owed her HOA $400 in dues.

Her HOA said they sent her multiple letters about the issue – but Sanders claims she never got them, ABC local affiliate WSOC reported.

By February 2021, the HOA placed a lien on her property.

A month later, she received a letter warning her that her home would be foreclosed on over $1,200 in unpaid fees.

It included the $400 missed payment, late fees, collection costs, and legal fees.

“I thought it was a joke,” she said.

But the HOA followed through on their promise and sold her 3,300-square-foot home was sold for just $49,000 in 2022.

And to make matters worse, the person who bought her home flipped it for an eye-watering sum.

They sold it for $850,000 five months later, WSOC reported.

“It’s devastating for my children,” Sanders said.

“I don’t wish this on anyone.”

Sanders is now on a mission to warn other homeowners about the dangers of ignoring HOA letters.

“This is just the beginning. I want to make sure I educate other people,” Sanders said.

“I want to make sure they know about it. I want them to know their rights.”

Currently, under North Carolina law, HOAs have the right to place a lien on a property if a homeowner fails to pay dues and fees.

If the dues remain unpaid, the HOA can initiate foreclosure proceedings.

The law allows them to act in this way to enforce community rules, though many homeowners, like Sanders, may not fully understand the scope of their rights and responsibilities.

If fines are unpaid, the HOA can foreclose, but their goal is usually to resolve the issue, not evict the homeowner.

Homeowners who disagree with an HOA decision can appeal to the board or push for a vote to change the rules.

North Carolina lawmakers are considering a bill to prevent such extreme outcomes.

The new law would require HOAs to meet specific criteria before placing a lien on a property and initiating foreclosure proceedings.

For example, the bill would mandate homeowners receive proper notice, including clear details about the debt and the consequences of non-payment, to ensure they have ample opportunity to address any issues.

However, the proposal has stalled in the state legislature since May.

The HOA’s attorney didn’t respond to WSOC before publishing time and didn’t immediately answer The U.S. Sun’s request for comment.

What is an HOA?

One in five Americans live in an area with a Homeowners’ Association – or HOA. But what exactly is it that they do?

• An HOA is a homeowner’s association – an organization that aims to maintain a clean and cohesive place to live for its residents.
• Entire neighborhoods, subdivisions, condominiums, family homes, or townhouses within “a planned development” will often make up an HOA.
• They also act as a governing body for tenants, who run and fund the HOA through monthly fees.
• Their principal aims are to keep the community functioning and visually appealing and to maintain property values.
• They primarily focus on common areas of a neighborhood, such as roads, parks, and pools – but may also stipulate what residents can do with their properties, such as yards and driveways.
• Often these restrictions enforce uniformity on properties, for example, ensuring most houses look the same and all driveways are clear of weeds.
• An HOA rulebook of covenants, conditions, and restrictions (CC&R) is distributed to all residents, and an elected volunteer board of directors enforces these regulations.
• Breaking these rules can result in penalties such as fines and even litigation – as most HOAs are incorporated and subject to state law.
• HOAs are often the subject of controversy, with some members feeling that the rules are too punitive and restricting, or that the leadership has too much power.
• But others like that HOAs give communities the power of self-governance, and can ensure a degree of harmony between residents.