San Jose, CA HOA Rules: Assessment & Dues (2026)

Under the Davis-Stirling Act, regular HOA assessments in San Jose can be increased by the board up to 20% above the prior year without member approval (Civil Code §5605). Increases exceeding 20% require majority membership vote. Special assessments exceeding 5% of the budgeted gross expenses for the current fiscal year also require member approval. The association must distribute an annual budget report and pro forma operating budget 30-45 days before the fiscal year. For delinquent assessments, partial payments must be applied first to assessments, then to other charges, preventing premature foreclosure triggers.

Nonjudicial foreclosure cannot proceed unless the delinquent amount (exclusive of late fees, interest, attorney fees) exceeds $1,800 or assessments are more than 12 months delinquent (Civil Code §5720). Before recording a lien, the association must send a pre-lien letter by certified mail giving 30 days to pay (Civil Code §5660). Late fees are capped at 10% of the delinquent assessment or $10, whichever is greater. Interest on delinquent assessments is capped at 12% per year. Santa Clara County Superior Court handles HOA assessment disputes for San Jose communities.