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flag California caps HOA fines at $100 starting July 1, 2025, to ease financial pressure on homeowners.

flag A new California law effective July 1, 2025, limits homeowners association (HOA) fines to $100 per violation, significantly reducing penalties that once reached thousands of dollars. flag The change, part of housing reform bill AB 130, aims to protect middle- and low-income families from financial strain amid an affordability crisis. flag The cap prohibits additional late fees or interest and applies to most rule violations, except those involving public health or safety. flag The law, introduced by Sen. Aisha Wahab without public debate, has drawn surprise from HOA leaders who argue it undermines their authority, though advocates say it prevents abuse and promotes fairness. flag HOAs, which govern about 65% of California homeowners and are common in new developments, continue to grow in influence.

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