Protect your rights as Tennessee homeowners — contact your state legislators NOW to OPPOSE SB 1429 (HB 1290)
Here’s an overview of why SB 1429 (HB 1290) is bad
for Tennessee HOA homeowners:
• TAKES AWAY property rights from Tennessee property owners in favor of large New York and California corporations which are rapidly buying up homes in Tennessee;
• Provides new rights for real estate investment companies;
• Limits the ability of a neighborhoods to decide if, or how many homes to rent in their neighborhood;
• Restricts the ability of neighborhoods to protect the value of their property;
• Will reduce the inventory of homes available for purchase particularly for entry level buyers;
• Forces homebuyers to compete against deep pockets and cash offers when purchasing a new home;
• Will limit financing options for homebuyers because lenders will consider the number of rentals in the neighborhood when deciding whether to approve a home purchase loan.
• Sets a precedent that could be followed by other special interests.
• This bill has constitutional challenges. According to the Tennessee Constitution, Section 20, “no retrospective law, or law impairing the obligations of contracts, shall be made.” The Tennessee Courts have numerous rulings that have declared HOA and condominium covenants are a contract between the association and the owners.”SB 1429 (HB 1290) continues to move through the legislature and we need your help to stop it. An amendment was added to SB 1429 (HB 1290) that restricts the ability of homeowner associations (HOAs) to decide whether to allow rental of homes in neighborhoods governed by HOAs.
The amendment, strategically added to an unrelated bill about solar energy, prohibits HOAs from enforcing rules that restrict rentals – even if the majority of HOA homeowners vote to restrict the number of rental properties in their community. This effectively removes the power of HOA members to make decisions for their neighborhood.
This amendment gives national real estate investment companies, many of which are out-of-state, the right to rent and an unfair say in the governance of communities in which they don’t live.
HERE IS WHAT YOU CAN DO TO HELP PROTECT YOUR COMMUNITY
1. Send a customized email to your state legislators and the full Senate Commerce & Labor Committee urging them to VOTE NO on SB 1429 (HB 1290).
2. Forward this email to your neighbors and/or community association clients and ask them to take action. Please customize the email with information about you, your community association, and how this bill will affect you.
3. Attend the Senate Commerce & Labor Committee Hearing on Tuesday, April 9 at 1:00 p.m. in Senate Hearing Room I at the Capitol – 425 5th Ave N, Nashville, TN 37243. We will have t-shirts for everyone who attends to help us be unified in our opposition. Contact TN LAC Chair Alvin Harris at firstname.lastname@example.org to confirm your attendance.
the committee members urging them to vote no on SB 1429 (HB 1290).
Thank you again for taking action. If you have any questions about SB 1429 (HB 1290), please contact TN LAC Chair, Alvin Harris, Esq. at 615-251-5448 or email@example.com.