HOA Glossary

CC&Rs (Covenants, Conditions & Restrictions)

The recorded governing document that binds every owner in the community. It defines what owners can and can't do and gives the board its authority to set rules and levy assessments. CC&Rs generally outrank rules and can only be changed by a member vote.

Bylaws

The rules for how the association itself operates — board size, elections, meetings, quorums, and officer duties. Where CC&Rs govern the property, bylaws govern the organization.

Regular Assessment (Dues)

The recurring fee every owner pays to fund the association's operating budget and reserves. Usually billed monthly, quarterly, or annually. Dues reminder template →

Special Assessment

A one-time charge on top of regular dues to cover a large or unexpected expense — a roof, a road, an insurance shortfall. Often subject to a cap or a member vote depending on the governing documents. Special assessment template →

Reserve Fund

Money the association sets aside for the future replacement of major components (roofs, pavement, pools). A healthy reserve is what prevents surprise special assessments.

Reserve Study

A professional analysis of the community's major components, their remaining life, and how much the association should be saving to replace them. Many states require one periodically.

Quorum

The minimum number of members (or their proxies) that must participate for a meeting's business or vote to be valid. Falling short of quorum is the most common reason annual meetings have to be rescheduled. Annual meeting checklist →

Proxy

A written authorization letting one member vote on another's behalf. Proxies help associations reach quorum when members can't attend in person.

Executive Session

The closed portion of a board meeting, reserved for a few sensitive topics — legal matters, personnel, contracts, delinquencies, and member discipline. Everything else belongs in the open meeting. Executive session vs. open meeting →

Fine

A monetary penalty the board levies for a rule violation, typically only after notice, a chance to cure, and (often) a hearing. Inconsistent fining is the fastest way to have a fine overturned. Fine escalation done right →

Lien

A legal claim the association can record against an owner's property for unpaid assessments. Lien and foreclosure procedures are strictly regulated and vary heavily by state. When an HOA can place a lien →

Architectural Review (ARC)

The process by which owners get approval before making exterior changes (fences, paint, additions). Decisions must follow published criteria and deadlines, or a request may be deemed approved. Architectural violation template →

Common Area

Property owned or maintained by the association for the shared use of all members — roads, pools, clubhouses, landscaping. The association is responsible for its upkeep and insurance.

Fiduciary Duty

The legal obligation of board members to act in the association's best interest — with care, loyalty, and good faith — rather than for personal benefit.

Budget Ratification

The process where a board's proposed budget takes effect unless a set percentage of members formally rejects it at a meeting. Common in many states in place of a positive approval vote. Budget ratification notice →

OTARD Rule

The FCC's Over-the-Air Reception Devices rule, which limits how much an HOA can restrict satellite dishes and antennas. Boards can generally regulate placement but cannot prohibit reception. Satellite dish notice (OTARD-aware) →

Estoppel / Resale Certificate

A document the association provides at a home sale stating the account balance, pending violations, and fees. Buyers and title companies rely on it to know what they're inheriting.

D&O Insurance

Directors & Officers liability insurance, which protects volunteer board members from personal liability for decisions made in their board role. Considered essential for any board.

Definitions are general explanations, not legal advice. Your governing documents and state law control the specifics for your association.