For community boards and operators

How this works for HOAs, condo associations, and multi-family rentals

A plain-English walkthrough of what changes — and what doesn't — when you list community space on hoastnow. Five-minute read.

Last updated: 2026-05-20

Which best describes your community?

HOA

Single-family subdivision, elected board, CC&Rs. Read this if you typically file Form 1120-H.

Condo association

Multi-unit condominium, unit-owner votes, shared common elements.

Multi-family rental

Apartment community or operator-owned property. Skip ahead — most of this doesn't apply to you.

The short version

HOA

HOAs typically elect IRC §528 and have non-member-income limits. Listing on hoastnow is usually fine, but boards should know the 60% income test and check their governing documents before listing.

Condo

Condo associations operate similarly to HOAs for tax purposes, with extra governance steps for commercial use of common elements (often a supermajority unit-owner vote).

Multi-family

Multi-family rentals are for-profit operators. None of the §528 constraints apply. Local zoning and existing lease terms are the main considerations.

If you're an HOA

The §528 basics

Most HOAs elect IRC §528 and file Form 1120-H. To qualify, at least 60% of the association's income typically must come from member assessments (the "60% income test"), and at least 90% of expenditures must go to community purposes (the "90% expenditure test"). At least 85% of the property must be used as residences (the "85% residential-use test").

What changes when you list space with hoastnow

Booking revenue from outside brands is "non-member income" for §528 purposes. It counts against the 60% income test. For most HOAs receiving healthy member-assessment income, occasional brand activations are well within the headroom — but boards with thin assessment income should run the math before listing.

What to look for in your governing documents

CC&Rs and bylaws often address commercial use of common areas. Look for clauses about (a) board authority to enter rental contracts, (b) owner-notice or owner-vote requirements above certain revenue thresholds, and (c) restrictions on the kinds of activities permitted in shared spaces.

If you're a condo association

Same tax bucket, different governance

Condo associations typically also elect IRC §528. The federal-tax story matches the HOA chapter above. What differs is governance: changes to how common elements are used often require a supermajority unit-owner vote, and the line between "common elements" and "limited common elements" matters for which spaces you can actually list.

Practical pre-list checklist

Before listing, verify (1) the declaration permits commercial use of the relevant space, (2) the board has authority under the bylaws to enter rental contracts at the contemplated revenue level, and (3) any owner-notice or owner-vote requirements have been met.

If you're a multi-family rental operator

The simpler case

For-profit multi-family rental communities are not subject to §528 or HOA-style non-member-income rules. Listing amenity space on hoastnow is ordinary operating revenue. The main considerations are local zoning (does occasional non-resident amenity use exceed accessory-use thresholds?), existing tenant lease terms (are amenity-access guarantees in the lease?), and insurance coverage for non-resident occupants.

State notes

Federal tax rules are the same across the country. State HOA and condo statutes layer on top — what they require for commercial use of common areas, owner notice, and disclosures varies. Five-state snapshots below; consult counsel for any state not listed.

Florida

Fla. Stat. Ch. 720 governs HOAs; Ch. 718 governs condos. Florida requires notice-to-members for material changes in how common elements are used and limits certain commercial activities under the declaration. Confirm with your association's attorney before listing.

California

The Davis-Stirling Common Interest Development Act (Cal. Civ. Code §§4000–6150) governs most California HOAs and condos. California has strict member-notice rules and election-law applicability for many board decisions. CC&R restrictions on commercial use are commonly enforced.

Texas

Tex. Prop. Code Ch. 209 governs HOAs; Ch. 82 (Texas Uniform Condominium Act) governs condos. Texas is comparatively permissive on board authority but still requires open-meeting compliance under §209.0051 for decisions like commercial-use changes.

Arizona

A.R.S. Title 33 Ch. 16 governs HOAs; Ch. 9 governs condos. Arizona's open-meeting rules under §33-1804 mean board decisions about new revenue streams typically need to happen at a noticed meeting.

North Carolina

N.C. Gen. Stat. Ch. 47F (Planned Community Act) governs HOAs; Ch. 47C governs condos. Declaration amendments for material changes to common-element use typically require a supermajority owner vote.

Questions to ask your association's attorney

If you're ready to take this to your association's counsel, here are the right questions to bring:

Does our association elect IRC §528, and where are we relative to the 60% income test?
What do our governing documents (CC&Rs, bylaws, declaration) say about commercial use of common-area or common-element space?
Does our board have authority under the bylaws to enter short-term rental contracts at the revenue level we're contemplating?
What owner-notice or owner-vote requirements apply before we list?
Are there state-statute requirements (e.g., open-meeting rules, disclosure rules) that apply to this decision?
Does our existing insurance cover non-resident occupants of common-area space?

Ready to list your community?

We'll pre-select your community type so the wizard skips straight to the right questions.

Start as an HOA Start as a condo association Start as a multi-family rental