HOAs are no-good because they supersede local government and place effectively government powers into the hands of unregulated, unchecked individuals (i.e., idiots). There is no oversight and no way to check their power if they overreach.
There is extreme potential for abuse, severe consequences from their actions (people can lose their homes), and no way to appeal a decision.
Even worse, they are in almost all cases unlimited in scope and responsible for their own scope. One of the most common scenarios of abuse is:
- Simple HOA that does routine maintenance of shared spaces.
- An idiot works to elect their friends to the HOA and gains control
- Massive scope expansion
- Everyone else has a job and can’t waste their time trying to take over the HOA
- Someone loses their house because their grass is the wrong color
The biggest danger are people who live at home, don’t have jobs (yet still have money), and want a power trip. There’s a reason nightmare HOAs are run almost entirely by retirees and homemakers.