Homeowners Association Law relates to the creation and enforcement of organizations and their rules that manage and community associations and help to maintain their appearance and value. Most homeowners associations and condominiums are made up of a common residential asset managed through a chosen Board of Directors. Membership is mandatory upon the purchase of real estate situated in the association. State laws, local bylaws, and organizational rules all relate to the management of the community.
Most homeowners associations and condos are corporations formed by a real estate developer for the purpose of marketing, managing, and selling homes and lots in a residential subdivision. After reaching a certain threshold of sales, the developer relinquishes its control of the association to its members. Usually, the association is formed by filing certain documents in the public records of the state and county in which the association is situated. State oversight of homeowner associations is usually fairly minimal, but this trend is changing and associations are becoming increasingly regulated by the government.