What is the Alabama Homeowners Association Act?

The Alabama Homeowners Association Act (Ala. Code §§ 35-6A-1 et seq.) is the state's statutory framework for homeowners associations in planned communities. Enacted in 2015, the Act provides definitions, governance procedures, owner rights, and basic financial management rules for qualifying HOAs. Unlike Florida's Chapter 720, which applies automatically to Florida HOAs by default, Alabama's Act is opt-in: it only governs a community if the recorded governing documents affirmatively elect coverage.

How does an Alabama HOA elect coverage under the Act?

Under Ala. Code § 35-6A-2, the Alabama Homeowners Association Act applies to a homeowners association if the association's governing documents state that the development is subject to the Act. This election can be made in the original recorded declaration or by amending the declaration to add the election with the required owner vote. HOAs whose recorded documents contain no such election are not subject to the Act and must operate under their recorded covenants and Alabama common law. Before relying on the Act's statutory remedies, boards must confirm that the election appears in the recorded instruments.

What does the Alabama HOA Act require that non-Act HOAs lack?

For HOAs that elect coverage, the Act provides several statutory rights and duties that are unavailable to non-Act HOAs: a statutory lien on lots for unpaid assessments (§ 35-6A-9), the right to bring judicial or non-judicial foreclosure of that lien (where the governing documents permit), prescribed meeting and recordkeeping procedures, and owner access rights to association financial records and meeting minutes. Non-Act HOAs rely entirely on their recorded covenants for assessment collection - they have no statutory lien unless the declaration creates one.

Does the Alabama HOA Act apply to condo associations?

No. The Alabama Homeowners Association Act applies only to planned communities where unit owners hold fee-simple title to their lots or homes. Condominium associations - where owners hold unit interests in a shared structure - are governed by the Alabama Uniform Condominium Act (Ala. Code §§ 35-8A-101 et seq.). If a community has both an HOA and a condominium association as separate legal entities, each is governed by its respective statute.

What financial management duties does the Act impose on Alabama HOAs?

The Alabama Homeowners Association Act requires covered HOAs to maintain books and records of financial transactions for at least five years (§ 35-6A-8), provide annual financial reporting to members, and give members reasonable access to financial records on written request. The Act also authorizes the board to adopt an annual budget and to levy assessments on members consistent with the governing documents. Detailed reserve-study or mandatory-reserve requirements are not specified in the Act; those decisions are governed by the recorded declaration and bylaws.

What are owner rights under the Alabama HOA Act?

Under the Alabama Homeowners Association Act, owners in covered communities have the right to attend and vote at association meetings, inspect and copy financial records and meeting minutes on reasonable notice, receive notice of board meetings, and petition for a special member meeting if the board fails to call one when required. Owners also cannot be denied the right to peacefully assemble or to express views on common-interest community issues, consistent with the governing documents and state law.

Alabama statute reference · Ala. Code § 35-6A-1

§ 35-6A-1 - Alabama Homeowners Association Act: General Provisions

The Alabama Homeowners Association Act (Ala. Code §§ 35-6A-1 et seq.) is Alabama's opt-in statutory framework for planned communities. Enacted in 2015, it provides definitions, governance procedures, and owner rights for HOAs whose recorded governing documents elect coverage - but it applies to no community that hasn't made that election. The first question for any Alabama HOA board is whether their declaration elected coverage.

Statute text reproduced from the Code of Alabama; editorial summaries by the Common Elements editorial team. Not legal advice; not a substitute for Alabama counsel.

What boards need to know

The Alabama Homeowners Association Act is opt-in. That single fact is more important than any other provision of the statute. Before relying on the Act's statutory remedies - especially the assessment lien under § 35-6A-9 - the board must confirm that the recorded declaration contains the election language required by § 35-6A-2. If the election isn't there, those statutory remedies are unavailable regardless of what the board believes.

For HOAs that do elect coverage, the Act provides a useful governance framework: owner access to records, meeting and notice procedures, a statutory assessment lien, and basic financial management requirements. These are the procedural rails that separate a properly functioning HOA from one running on improvised procedures and hoping they hold up in court.

Alabama has no HOA regulatory agency analogous to Florida's DBPR. There is no state oversight of Alabama HOA governance, no mandatory manager licensing for HOA management (unlike Florida's LCAM requirement), and no prescribed election procedures at the statutory level. Alabama HOA boards have more flexibility than Florida boards - and more exposure when that flexibility is misused.

Key provisions of the Act

Applicability: opt-in election required

Ala. Code § 35-6A-2

Act applies only if the recorded governing documents elect coverage
Election can be in the original declaration or added by amendment
Without the election, the community operates on recorded covenants and Alabama common law
The election language must be clear and affirmative in the recorded instrument

Association powers and duties

Ala. Code § 35-6A-5 & § 35-6A-8

Adopt and enforce rules for use of common areas
Levy and collect assessments from members
Maintain books and records for at least 5 years
Provide annual financial reporting to members
Give members reasonable access to financial records on request

Assessment lien (for Act-covered HOAs only)

Ala. Code § 35-6A-9

Statutory lien on the lot for unpaid assessments
Lien may be enforced by judicial or non-judicial foreclosure (per governing documents)
Priority over most other liens except first mortgage and tax liens
30-day notice required before initiating foreclosure

Owner rights

Ala. Code § 35-6A-7

Attend and vote at all association meetings
Inspect financial records and meeting minutes on reasonable notice
Receive advance notice of board and member meetings
Petition for a special meeting if the board fails to call one

Alabama vs. Florida: the critical difference

Florida's Chapter 720 applies to Florida HOAs by default - no election required. Alabama's HOA Act applies only where the recorded declaration affirmatively elects it. A Florida board can assume the statute applies. An Alabama board must verify the election before relying on any statutory remedy.

Alabama also has no mandatory manager licensing for HOA management (Florida requires LCAM), no prescribed statutory election timelines, and no reserve-study mandate. Alabama HOAs operate with less regulatory overhead - and less statutory protection - than their Florida counterparts.

Common questions about § 35-6A-1

What is the Alabama Homeowners Association Act?: The Alabama Homeowners Association Act (Ala. Code §§ 35-6A-1 et seq.) is the state's statutory framework for homeowners associations in planned communities. Enacted in 2015, the Act provides definitions, governance procedures, owner rights, and basic financial management rules for qualifying HOAs. Unlike Florida's Chapter 720, which applies automatically to Florida HOAs by default, Alabama's Act is opt-in: it only governs a community if the recorded governing documents affirmatively elect coverage.
How does an Alabama HOA elect coverage under the Act?: Under Ala. Code § 35-6A-2, the Alabama Homeowners Association Act applies to a homeowners association if the association's governing documents state that the development is subject to the Act. This election can be made in the original recorded declaration or by amending the declaration to add the election with the required owner vote. HOAs whose recorded documents contain no such election are not subject to the Act and must operate under their recorded covenants and Alabama common law. Before relying on the Act's statutory remedies, boards must confirm that the election appears in the recorded instruments.
What does the Alabama HOA Act require that non-Act HOAs lack?: For HOAs that elect coverage, the Act provides several statutory rights and duties that are unavailable to non-Act HOAs: a statutory lien on lots for unpaid assessments (§ 35-6A-9), the right to bring judicial or non-judicial foreclosure of that lien (where the governing documents permit), prescribed meeting and recordkeeping procedures, and owner access rights to association financial records and meeting minutes. Non-Act HOAs rely entirely on their recorded covenants for assessment collection - they have no statutory lien unless the declaration creates one.
Does the Alabama HOA Act apply to condo associations?: No. The Alabama Homeowners Association Act applies only to planned communities where unit owners hold fee-simple title to their lots or homes. Condominium associations - where owners hold unit interests in a shared structure - are governed by the Alabama Uniform Condominium Act (Ala. Code §§ 35-8A-101 et seq.). If a community has both an HOA and a condominium association as separate legal entities, each is governed by its respective statute.
What financial management duties does the Act impose on Alabama HOAs?: The Alabama Homeowners Association Act requires covered HOAs to maintain books and records of financial transactions for at least five years (§ 35-6A-8), provide annual financial reporting to members, and give members reasonable access to financial records on written request. The Act also authorizes the board to adopt an annual budget and to levy assessments on members consistent with the governing documents. Detailed reserve-study or mandatory-reserve requirements are not specified in the Act; those decisions are governed by the recorded declaration and bylaws.
What are owner rights under the Alabama HOA Act?: Under the Alabama Homeowners Association Act, owners in covered communities have the right to attend and vote at association meetings, inspect and copy financial records and meeting minutes on reasonable notice, receive notice of board meetings, and petition for a special member meeting if the board fails to call one when required. Owners also cannot be denied the right to peacefully assemble or to express views on common-interest community issues, consistent with the governing documents and state law.

Official source

Full text of the Alabama Homeowners Association Act is available at alison.legislature.state.al.us.

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This is not legal advice. Consult Alabama community-association counsel for your specific situation.