Georgia Homeowners Challenge HOA Over Mounting Fines and Lack of Transparency

In a quiet neighborhood in Conyers, Georgia, a growing number of homeowners are taking a stand against their homeowners association (HOA), demanding accountability for fees, fines, and foreclosures they say have gone too far. Residents of the Channing Cove subdivision claim they’re being financially cornered some even facing the risk of losing their homes without a clear explanation of where their money is going.

‘It Doesn’t Make Sense’: Residents Demand Answers

Michelle Bernard has lived in Channing Cove for nearly 20 years. A business owner, wife, and mother, Bernard is now among at least five homeowners facing liens from the HOA, with fine totals ranging from $878 to nearly $3,000. But what’s especially troubling, she says, is that the HOA hasn’t provided any receipts or financial breakdowns to justify the costs.

“It doesn’t make any sense for any hardworking individual to go through what I’ve gone through,” Bernard told Atlanta News First. “And I’m not the only one. My neighbors are in the same position.”

Despite multiple requests, residents say they’ve been denied access to itemized statements or HOA bank records documents that could explain where their dues and penalties are being spent.

A Small Community, Big Financial Headaches

Channing Cove is a modest neighborhood of about 40 homes, but the financial burden on its residents has been significant. Bernard recalls paying a $100 annual HOA fee in the past a cost she says was reasonable and manageable. That fee has since doubled to $200, but it’s not the increase itself that has residents concerned. It’s the unexplained fines and mounting penalties on top of it.

“They’ve been hitting us with thousands of dollars in fines without any proof,” Bernard said.

Homeowners say the fines have been tied to issues like landscaping around retention ponds or making minor home repairs like garage door replacements without formal HOA approval. And while the fees climb, residents argue the neighborhood isn’t being maintained to match the expense. The common areas and retention ponds remain largely untouched, despite being the primary reason for the fees.

HOA Facing Legal and Legislative Scrutiny

The controversy surrounding Channing Cove’s HOA is gaining attention beyond the neighborhood. Georgia state lawmakers have taken note, with several representatives pushing to reintroduce House Bill 1032 known as the “Property Owner Rights and Accountability Act.” The bill aims to limit HOAs’ ability to foreclose on properties due to unpaid dues or assessments.

“The bill is about protecting property owners from unjust losses,” said a spokesperson for one of the bill’s sponsors. “Homeowners shouldn’t be at risk of foreclosure over unclear or unjustified HOA fees.”

Currently, Georgia law allows HOAs to place liens on properties and initiate foreclosure proceedings if the amount owed exceeds $2,000. For homeowners like Bernard, that legal authority feels like a weapon being used against them.

A Lawsuit and a $40,000 Settlement Offer

Bernard has taken her fight a step further filing a lawsuit against the Channing Cove HOA. In her claim, she accuses the association of charging fraudulent fees, failing to provide proper financial documentation, and making changes to the community’s rules without a legally required vote or meeting. She says the HOA hasn’t held a formal vote or public meeting since 2011.

After filing suit, Bernard says the HOA offered her a settlement of $40,000 if she would drop the case an offer she rejected.

“They told me to drop it, but I’m not backing down,” she said. “I told them: bring the lien. I’m bringing a lawsuit.”

Understanding HOA Rights and Homeowner Protections in Georgia

While Georgia homeowners are subject to the authority of HOAs and COAs (condominium owners associations), there are rules in place to protect them. Associations are required by law to maintain financial transparency, including providing access to receipts and account summaries. Any fines must be “reasonable,” and additional fees, like late penalties, are capped at 10% of the original amount due.

HOAs also cannot unilaterally amend community bylaws or covenants. These changes require a formal vote and must be recorded in court. Failure to follow these procedures could open an HOA to legal liability, as Bernard’s case is now exploring.

In 2021 alone, more than 2.3 million Georgians lived under the governance of an HOA, collectively contributing over $3 billion in fees. Yet oversight remains limited, and stories like Channing Cove’s illustrate the growing concern over unchecked HOA power.

The Bigger Picture: Trust and Transparency

The situation in Channing Cove highlights a larger national issue: the need for clearer accountability and regulatory standards for homeowners associations. As housing costs continue to rise and communities rely more on shared infrastructure, the pressure on both homeowners and HOAs is intensifying.

For residents like Michelle Bernard, the fight is about more than money it’s about fairness, transparency, and the right to protect one’s home.

“I’m not just doing this for me,” Bernard said. “I’m doing it for every homeowner who’s been told to pay up without knowing why.” For more information about finance, visit Nadlan Capital Group.