Homeowners Face Foreclosure After Developer-Run HOA Raised Monthly Fees to $2.5K

Homeowners in a North Carolina subdivision are worried for the future of their homes, after the community's developer-controlled homeowners association jacked up monthly fees this week to $2,500, up from $158 just a few years ago.Residents of the Magnolia Cove subdivision in Catawba County are concerned about liens being put on their homes if they are unable to pay, and the possibility of bankruptcy or foreclosure.After the developer-controlled HOA voted this week to raise dues, homeowners will now see their monthly fee increase to $2,500 on Jan. 1, 2027—and many fear they will lose their homes if they are unable to pay the steep fees on top of their mortgages.“My concern is that, come January, I may have to walk out of this house and never look back,” a homeowner, who wished to stay anonymous for fear of legal retaliation, tells Realtor.com®. “I'll have to find a new place to live, which will cost money. The equity that I would have in this home would be gone, and I would like to have been able to leave that to my son and his family someday.”The Magnolia Cove HOA is run by the community’s developer, Aaron Guess, and his company Story Homes. Just four years ago, dues for the 80-hom...