Georgia Homeownership Protection Act of 2026
Bill Number: HB 1035
Written by E-Safe | www.e-safe.us
Executive Summary
The Georgia Homeownership Protection Act (HB 1035) and its companion, the Property Rights Through the Ballot Act (HB 1036), represent a historic shift in Georgia’s community association laws. Introduced during the 2026 legislative session, these bills aim to address widespread complaints regarding “predatory” HOA practices by eliminating foreclosure powers for non-tax debts and establishing a clear, democratic process for homeowners to dissolve their associations entirely.
Key Provisions & Impact Highlights
The core of HB 1035 is designed to ensure “security of tenure” for Georgia homeowners, preventing disputes over relatively small financial assessments from resulting in the loss of a primary residence.
Prohibition of HOA Foreclosures: HOAs, Condominium Associations (COAs), and Property Owners Associations (POAs) are strictly prohibited from foreclosing on owner-occupied dwellings for unpaid assessments, fines, or fees.
Debt Reclassification: Any lien arising from unpaid HOA fees is reclassified as unsecured civil debt. While associations can still pursue judicial judgments to collect money owed, they are barred from selling the home to satisfy the debt.
Utility & Tax Roll Protection: The bill prevents local governments from adding unpaid service charges—such as water, sewer, or trash—to ad valorem tax bills. This closes a loophole that previously allowed “tax sales” of properties over disputed utility charges.
Mandated Transparency: Companion measures require open board meetings, full access to financial records, and mandatory board member training to ensure associations operate with accountability.
Dissolution of HOAs via Referendum
A standout feature of the 2026 reform package is the creation of a standardized legal “off-ramp” for communities that find their HOAs to be unnecessary, overreaching, or predatory.
The Dissolution Process:
Petition Phase: A dissolution referendum is triggered if 20% of the eligible voters in a community sign a petition requesting it.
Independent Voting: Referendums must be conducted by an independent third party. The bill prohibits “weighted voting” (where developers hold more power), proxy voting, or “class voting” to ensure a fair, one-home-one-vote outcome.
The Threshold: If a simple majority of the votes cast favor dissolution, the association must be legally dissolved within 180 days.
Termination of Covenants: Upon dissolution, all governing documents (CC&Rs) and restrictive covenants become void and unenforceable, returning full property control to the individual owners.
Infrastructure Management: Shared assets like roads or stormwater systems are either dedicated to the local municipality (with approval) or managed via voluntary agreements.
Sponsorship, Backing, & Outlook
Proposed By: The legislation is led by Representative Sandra Scott (D-Rex) and Representative Spencer Frye (D-Athens), supported by a bipartisan coalition of co-sponsors.
Backing: The bills have seen massive public support, highlighted by “HOA Day” at the Capitol on February 10, 2026, where hundreds of homeowners lobbied for reform.
Likelihood of Approval: High. The legislation moved to its “Second Reading” in the House on January 29, 2026. While the HOA legal lobby (such as the CAI) has expressed concerns over community maintenance costs, the political momentum for homeowner protection is currently at an all-time high.
Key Dates: A floor vote in the House is anticipated for late February 2026, with a potential effective date of July 1, 2026.
How to Express Support for HB 1035
The House Judiciary Committee is the primary body reviewing this legislation. Residents wishing to provide feedback or express support for these protections can contact the committee leadership:
Rep. Stan Gunter (Chairman): stan.gunter@house.ga.gov
Rep. Matt Reeves (Vice Chairman): matt.reeves@house.ga.gov
Rep. Spencer Frye (Lead Sponsor): spencer.frye@house.ga.gov
E-Safe is dedicated to empowering homeowners with the information needed to protect their greatest asset. For more resources on property rights and home security, visit www.e-safe.us.
