Wood fence denial

This happened to us when we purchased our home:
1) We bought a new build home, placing importance on putting in a privacy wood fence. The on-site builder’s selling agent said we could do this if desired.
2) Before closing, the MC told us that the ARB was considering no longer allowing wood fences. We don’t know when the ARB first considered doing this. The MC was made aware of the upcoming closing on our home.
3) Right after closing, we obtained estimates and submitted the request form for a wood fence. Knowing the ARB’s position, we also requested a variance. It was denied. A picket style metal fence was the only viable option.
4) We later discussed this issue with the selling agent who was unaware even then that the requirements had changed or that a change was even being considered.

In the CCR basis of approval section, the ARB can deny a request for a multitude of reasons. They can change the architectural guidelines at any time for any reason. But there is a passage where it states that any denial must be done in a reasonable manner. We feel this did not happen because the ARB was only considering the requirement change during the period when we could not request what was allowed at the time. It could also be argued that the ARB (or MC) should have notified the selling agent of their intentions where it might have influenced the decision to buy our home.

Well... Technically you were NOT owners until after you closed. So you did get a heads up through the MC that changes were going to happen after closing. After you closed and became a member, that is when needed to send in your paperwork for approval of construction.

I can't blame the seller's agent or the MC as they did give you a heads up the ARC was in process of changing the restriction. The ARC and then the Board will have final word. If you install the fence anyways, then the HOA can remove the fence and send you the bill for the removal.

A HOA it's all about the approval not the sorry....

"2) Before closing, the MC told us that the ARB was considering no longer allowing wood fences. We don’t know when the ARB first considered doing this. The MC was made aware of the upcoming closing on our home."

You were put on notice of the possibility and you decided to gamble and go ahead with the purchase.

" We were not aware that changes were going to happen after closing."

See your comment above. You very well knew this might happen. This is a weak argument.

"There is at least one other homeowner who learned of the same change after making the purchase and before closing."

If he hadn't closed yet then and he didn't make the purchase. You knew the risk and closed on your home with eyes wide open. If you decide to fight this I would advice that you don't play the victim.

I depends on a lot of things, the main one being how much money you put down. If you want out, hire a lawyer to get you out.

Wait, I'm confused - did you close on your home or not? If so, then you can't cancel the purchase. You own the home and must sell it.

If you click on the Quote link at the top right of the post you're replying to, it will display that post at the start of your reply, as above.

Re: dealing with possible restriction changes and on-going sales, board members have to be careful about inserting themselves into the sales process. Unless something in the CC&Rs gives the board the right to do so, they risk being accused of interfering or hindering the process and being taken to court. The cost of landing in court will fall on all the homeowners, so knowledgeable board members tread cautiously.

Sadly for would-be buyers, the burden is on them to understand what it is that they are purchasing, and even with real estate disclosure laws that can be hard to do. In addition, when a board talks about transparency, they're talking about their obligations to the members of the HOA. Potential buyers are not members, although most of them go on to become members. As long as they are complying with applicable laws and their fiduciary duties, they're doing their jobs.

One of my main issues with HOAs (and condo associations, which can be worse) is that no one understands what they are buying unless they've lived in an HOA before. And frankly, you don't truly understand what you own until you serve on the board for a few years and become responsible for running the place. Most HOAs are incorporated and are subject to a boatload of laws that the average buyer knows nothing about. I'm not sure what to do about this knowledge gap. Real estate disclosure laws help, but the whole corporate structure, and the fact that homeowners become financial and legal partners of a community full of strangers, is something that probably wouldn't occur to most buyers.