Key Takeaways

- California HOA law changes in 2026 will significantly reshape association governance, including new inspection mandates, enforcement limits, and voting procedures that directly affect homeowners.
- SB 326 requires many condominium associations to complete professional inspections of elevated elements such as balconies and decks by January 1, 2026, with serious financial and liability consequences for noncompliance.
- AB 130 limits most HOA fines to one hundred dollars per violation and adds detailed dispute resolution steps, creating confusion for boards and making consistent and lawful enforcement more challenging.
- Rising insurance premiums, underinsured associations, and years of deferred maintenance are driving large special assessments, while SB 900 allows emergency assessments for required utility repairs when reserves are insufficient.
- Lower quorum thresholds and electronic voting are making recalls and elections easier to pursue, so homeowners should review records, monitor reserves and insurance, understand enforcement practices, and learn their voting and recall rights to protect their investments.

California homeowners face significant shifts in HOA governance as 2026 approaches. From mandatory balcony inspections to reformed enforcement procedures, upcoming HOA law changes will reshape how associations operate and how homeowners protect their interests. Understanding California HOA legislation is essential for navigating compliance requirements, avoiding surprise assessments, and exercising your rights effectively.

This homeowner guide HOA resource breaks down the most critical HOA regulations 2026 will bring, explains how these changes affect your community, and outlines practical steps to prepare. Whether your association is struggling with compliance deadlines or you're concerned about rising costs, preparation is key. At LS Carlson Law, we help homeowners understand their legal protections and hold associations accountable when violations occur.

What Key HOA Law Changes Should Homeowners Prepare for in 2026?

Several pieces of legislation will fundamentally alter HOA operations next year. Cities like Los Angeles and San Diego are already ramping up enforcement efforts. Here are the changes every California homeowner should understand.

SB 326: Mandatory Balcony Inspections

The most pressing deadline arrives January 1, 2026. SB 326 requires condominium associations with three or more units to complete inspections of exterior elevated elements, balconies, decks, and walkways six feet or more above ground that are substantially supported by wood. This law emerged from the tragic 2015 Berkeley balcony collapse and represents one of the most significant compliance requirements facing California associations.

Associations must hire licensed architects, structural engineers, civil engineers, or certified building inspectors to assess these components. Inspectors must examine a statistically significant sample of elements, typically at least 15 percent of all balconies and decks. Reports must detail the current condition, remaining useful life of at least six years, and specific repair recommendations. Non-compliant associations face local enforcement fines and liens, potential personal liability for board members, and insurance coverage gaps that could leave homeowners unprotected if accidents occur.

AB 130: New Limits on HOA Fines

Effective July 2025 and impacting 2026 operations, AB 130 caps fines at $100 per violation for non-safety issues. Associations can impose higher penalties only after documenting a health or safety risk in an open board meeting. The law also requires internal dispute resolution before formal hearings and prohibits late fees or interest charges on capped fines.

While this limits aggressive enforcement, it creates enforcement ambiguities that are already causing problems. Some boards have frozen all enforcement after issuing a single $100 fine, uncertain how to proceed. Others skip fines entirely and move directly to alternative dispute resolution or lawsuits, which increases costs for everyone involved. The law's procedural requirements, including mandatory cure opportunities and written findings for safety-related fines, add complexity that many boards are struggling to navigate correctly.

Electronic Voting and Quorum Changes

AB 2159 permits opt-in electronic voting for director elections and governing document amendments, making participation more accessible for remote or traveling homeowners. Associations must amend election rules at least 90 days before implementing electronic voting and must continue offering paper ballots alongside electronic options. AB 2460 lowers reconvened meeting quorum requirements to 20 percent, reducing barriers to community decision-making when initial meetings fail to achieve quorum. These procedural changes streamline governance but require associations to update election rules and document processes carefully to avoid legal challenges.

How These HOA Regulations Affect Your Rights

Beyond compliance deadlines, 2026 brings several pressure points that directly impact homeowners. The combination of new legal requirements, financial strain, and governance changes creates a volatile environment for many California communities.

Rising Insurance Costs and Coverage Gaps

Insurance carriers are raising premiums dramatically and reducing coverage for high-risk components like balconies and decks. Many boards are underinsuring compared to CC&R requirements, a breach of fiduciary duty that exposes both the association and individual homeowners to massive special assessments if losses occur. Review your association's insurance coverage against CC&R requirements to identify potential gaps. If you discover underinsurance, raise the issue at board meetings and document the board's response.

Special Assessment Surge

Years of underfunded reserves are colliding with mandatory repairs and inspection requirements. Special assessments of $40,000 to $60,000 per unit are becoming common in communities addressing deferred maintenance for roofs, elevators, pools, and building façades. SB 900 compounds this pressure by requiring associations to repair utility lines affecting individual units within 14 days, allowing emergency assessments without member votes when reserves fall short. Homeowners should monitor reserve study schedules and funding levels to anticipate potential assessments.

Increased Recall Activity

Homeowner frustration with enforcement changes, rising costs, and unexpected assessments is driving more recall elections. Lower quorum requirements under AB 2460 and electronic voting options under AB 2159 make recalls easier to organize. However, new electronic voting systems also create opportunities for procedural errors that can invalidate results. Contested election outcomes and disputes over recall procedures are expected to increase significantly in 2026.

Steps Homeowners Should Take Now

Proactive preparation can help you avoid surprises and protect your investment. Consider the following actions:

- Request records under Civil Code § 5200. Review meeting minutes, financial statements, and reserve studies to understand your association's compliance status and financial health.
- Compare insurance coverage to CC&R requirements. Identify coverage gaps and question underinsurance decisions at board meetings.
- Monitor reserve funding levels. Anticipate potential special assessments by tracking reserve study schedules and component replacement timelines.
- Document enforcement actions. Track how your board applies AB 130 requirements, including cure periods and IDR procedures, to identify inconsistent enforcement.
- Know your voting rights. Understand electronic voting options, recall petition thresholds, and ballot procedures under updated election rules.

Protect Your Investment, Know Your Rights

Navigating HOA law changes in 2026 requires preparation and informed action. Whether you're facing improper enforcement, unreasonable assessments, or governance violations, understanding your legal options is the first step toward protecting your home and your rights. At LS Carlson Law, we advocate for homeowners throughout California. Contact us today to discuss your situation and explore how we can help.