Local Issues
Georgia Enacts First Major Statewide HOA Reform
June 1, 2026
In addition to tax legislation, Governor Brian Kemp has also signed landmark legislation often referred to as the Georgia Property Owners’ Bill of Rights Act (SB 406), marking the state’s first comprehensive statewide framework regulating homeowners’ associations (HOAs).
The law was designed in response to growing concerns from homeowners about excessive fines, lack of transparency, and inconsistent enforcement practices within HOAs across Georgia.
Key Protections for Homeowners
The new law establishes several major safeguards, including:
Stronger limits on HOA fines, fees, and penalties
Enhanced notice requirements before associations can impose charges
New rules restricting when HOAs can pursue liens and foreclosure actions
A higher threshold for foreclosure based on unpaid dues (not fines or penalties)
Expanded transparency requirements for HOA financial records and governing documents
These changes are intended to reduce situations where homeowners face escalating legal costs or risk of foreclosure over relatively minor violations.
🏛️ New State Oversight of HOAs
For the first time in Georgia, HOAs will operate under a more structured regulatory framework.
The legislation:
Requires most HOAs to register with the Georgia Secretary of State
Creates statewide oversight mechanisms for compliance
Allows homeowners to access association records more easily
Establishes clearer dispute and accountability processes
If an HOA fails to comply with registration requirements, it may lose the ability to enforce fines or initiate collection actions.
⚖️ Impact on Georgia Homeowners
Supporters of the legislation say it restores balance between homeowners and associations by:
Increasing due process protections
Improving financial transparency
Reducing the risk of unexpected fees or aggressive enforcement
Creating a clearer path for dispute resolution outside of court
Critics and industry groups have raised concerns about added administrative requirements for associations, but the bill passed with strong bipartisan support.
About the 400N Market Brief
The 400 North Association of REALTORS® (400N) Market Brief is compiled by Georgia Multiple Listing Service (GAMLS). For more information on details of this month's report, please contact the Association at 770.845.4008.
*Each month, the numbers reported for the previous month are updated to reflect additional recordings.
About the 400 North Association of REALTORS®
The 400 North Association serves as a central source of information for our members and our main focus are real estate education, the promotion of professionalism in our industry and representing our REALTOR® members with legislative initiatives to create positive change for the real estate community. Throughout its history, the 400 North Association has exerted its influence in civic affairs in its capacity of representing a substantial segment of the business community across the Forsyth, Dawson and Lumpkin area. The Association has contributed to various charities over the years by hosting fundraisers.
About First Multiple Listing Service
First Multiple Listing Service (FMLS) is the premier data services provider for real estate professionals in Georgia. FMLS was founded in 1957 by a group of Brokers who wanted to share their listings and connect buyers and sellers. Today FMLS is the largest MLS in Georgia & the 4th largest MLS in the United States, serving nearly 54,000 real estate Agents & Brokers. For additional information or to start a discussion about how to partner with FMLS please contact join@fmls.com.