The number of Americans behind on homeowners association (HOA) payments has increased considerably over the past three years. As fees climb steadily, the risk of losing properties rises. According to a study by property data platform Cotality, HOA liens—legal notices indicating homeowners owe money to their HOA—rose 41.7% from 2022 to 2025. Three years ago, there were 177,260 HOA liens nationwide. Last year, that number reached 250,951.
Dr. Selma Hepp, Cotality’s Chief Economist, noted that HOA dues, often amounting to hundreds of dollars monthly, can strain household budgets, especially when paired with rising insurance and taxes. However, homeowners often prioritize mortgages and utilities over HOA dues, undermining their importance and leaving them unpaid when budgets tighten.
Understanding HOAs
HOA fees are payments made to a homeowners association—a private, legally-incorporated entity managing residential communities, subdivisions, or condominium buildings. Responsibilities include collecting dues, arranging repairs, maintaining amenities, enforcing upkeep rules, and more. Buying property within a HOA community legally obligates homeowners to pay HOA fees, typically ranging from $200 to $400 monthly.
Availability of Non-HOA or HOA-Free Homes
Condos and townhomes are more likely to have HOA fees compared to single-family homes. New constructions are more likely to include HOAs than older homes. Recently, homes with HOA fees have become more prevalent in the U.S. According to a January report from Realtor.com, nearly 44% of homes for sale had monthly HOA fees in 2026, compared to 34.3% in 2019. During the same period, the median HOA fee increased from $108 in 2019 to $135 in 2026. The share of homes without HOA fees—known as non-HOA or HOA-free homes—was 43.6% this year, up from 41.9% last year and 34.3% in 2019.
Consequences of Unpaid HOA Fees
If homeowners neglect HOA dues, the association can file a lien against their property. Though this does not immediately lead to loss of their home, it poses issues since debts must typically be cleared before selling or refinancing. Interest, late fees, and legal costs can exacerbate the financial burden. In certain states, HOAs may pursue foreclosure for unpaid debts. In Minnesota, 47.5% of liens result in foreclosure due to an aggressive process, followed by Nevada at 40%.
Research identified an increase in foreclosure filings related to unpaid HOA fees between 2022 and 2025 nationally, with certain states leading the trend.
Where Homeowners Struggle Most with HOAs
HOA-led foreclosure filings increased 46.1% over a three-year period, with five states (Florida, Texas, Nevada, California, and Arizona) constituting 85.2% of these filings last year. In Florida, homeowners faced the highest HOA fees relative to home prices. Urban areas such as Miami, Panama City, Naples-Marco Island, Cape Coral-Fort Myers, and Port Lucie reported high costs.
Florida’s HOA fees are notably high due to abundant condos and construction since the pandemic alongside new safety rules post-Surfside collapse. Climate change and increased risk of severe natural disasters have also raised HOA fees in Florida, Texas, and California.
Insurance premiums shot up in Florida by 60% between 2019 and 2023, Cotality reported. Texas premiums rose 60% in 2024 from 2019, while Arizona premiums climbed nearly 70% over six years.