Denver lawmakers tackle predatory HOA foreclosure practices

Householders associations in Denver may face a brand new batch of rules in an try to restrict predatory practices.

Why it issues: There are at present no guidelines in Denver requiring HOAs to inform house owners about property foreclosures, leaving owners in peril of doubtless shedding their properties.

Why now: Reviews from March detailed the Inexperienced Valley Ranch Grasp HOA was threatening house owners with foreclosures and fines over issues like a automotive parked on a concrete pad and oil stains on a driveway.

What they’re saying: One metropolis official referred to the Inexperienced Valley Ranch HOA as “predatory.”

• In the meantime, Denver Metropolis Council president Stacie Gilmore wrote to Gov. Jared Polis and Lawyer Common Phil Weiser in March requesting a probe into the HOA’s practices.

Driving the information: The Denver Metropolis Council will this week contemplate a invoice that will make it a requirement for HOAs to offer owners a 30-day discover earlier than initiating a foreclosures, Gilmore informed Axios Denver.

• The invoice additionally requires HOAs to offer sources to assist owners keep away from shedding their property.
• Gilmore mentioned Denver’s proposal enhances a invoice handed by the state Legislature this session permitting extra oversight of HOAs.

What’s subsequent: The proposal will probably be introduced Wednesday on the security and housing committee.

• The invoice may very well be adopted as quickly as June 20.
• If handed, it could go into impact beginning Aug. 30.