The Georgia House of Representatives has signed off on a sweeping homeowners-association oversight bill, voting 155-10 on Tuesday to approve Senate Bill 406 and send the reworked measure back to the Senate. Supporters are calling it the most comprehensive HOA oversight package in state history, promising new registration rules, stricter recordkeeping and formal complaint tools. The vote follows weeks of lobbying at the Capitol and signals a major shift in how HOA disputes could be handled across Georgia.
As reported by Atlanta News First, the measure, branded the Georgia Property Owners’ Bill of Rights Act, was sponsored in the Senate by Sen. Matt Brass (R-Newnan) with Sen. Donzella James (D-Atlanta) as a co-sponsor and was presented on the House floor by Rep. Rey Martinez. The outlet notes that the House passed a substitute version that made several changes before sending the bill back to the Senate for a final vote, and ties much of the political momentum behind the reform to its long-running “HOA Nightmares” investigation.
Registration, records and state oversight
Under the bill text, property-owners associations that collect dues, issue liens or initiate foreclosures would be required to register annually with the Secretary of State and file a current financial statement, a process funded by a $100 filing fee, according to Senate Bill 406. Associations would have to keep financial and enforcement records for at least 10 years, and the Secretary of State would have the authority to deny, suspend or revoke registrations and to limit an association’s ability to collect fines, place liens or foreclose. The bill text also spells out payment priority, with regular dues applied first, then fees, then fines, and it forbids associations from refusing partial payments.
How foreclosures would be narrowed
The House substitute tightens the circumstances under which an association can move toward foreclosure. It generally limits foreclosure eligibility to arrears equal to the lesser of $4,000 or 12 months of regular assessments, with a floor of $2,000, and it excludes fines from the amount that triggers foreclosure, per reporting from WRDW. Supporters say that change, combined with a longer pre-foreclosure notice window and a narrow stay while appeals are pending, is intended to make foreclosure a last resort instead of a routine collection tool.
Homeowners drove the push
Dozens of homeowners who turned out for an “HOA Advocacy Day” at the Capitol pressed lawmakers to act, and a mix of local reporting and survey data supplied additional pressure. Atlanta News First's reporting and a survey of nearly 200 homeowners found that roughly 63% owed fines or fees averaging more than $8,000, and nearly 40% said they were in lawsuits with their HOA. Advocates argue that the combination of high fees, aggressive collections and the lack of a central state complaints office has left many residents with few realistic options.
Next steps and timing
The House amended the original Senate text and sent a substitute back for concurrence. If the Senate signs off, the measure will head to the governor’s desk. As shown on the official legislative page for SB 406 (House substitute), the bill includes staggered implementation dates. Attorney-fee limits are scheduled to take effect in mid-2026 for qualifying actions, while most other provisions are set to begin on Jan. 1, 2027. Lawmakers say the timing is designed to protect homeowners from abusive practices while still preserving associations’ ability to collect legitimate dues.
