Paying HOA Dues on a Texas Lot You Never Use? Your Options

Short answer: A lot you never visit still carries property owners' association dues and county property taxes every year. If dues go unpaid, the association may have a lien, but Texas Property Code Chapter 209 limits what it can do: it may not foreclose when the debt is only fines and the attorney's fees tied to those fines, it generally needs a court order through expedited foreclosure before it forecloses an assessment lien, and it must send a certified-mail notice with at least 45 days to cure before an owner can be charged a collection agent's fees. Unpaid property taxes add penalty and interest under Tax Code Section 33.01 and can end in a tax suit. Your options are to keep the lot on purpose, give or sell it to a neighbor or the association, list it, or sell it as is with the dues and taxes paid at closing.

Somewhere in a drawer there is a deed to a lot you have not seen in years. Maybe it was bought at a sales presentation when the subdivision was going to be the next big thing. Maybe it came through family. Either way, the bills still come: the association's dues, the county tax bill, sometimes a mowing charge. This guide explains what Texas law says about those bills and what your real options are.

This article is general information. It is not legal or tax advice. Your association's recorded restrictions and bylaws control many details; read them and talk to a Texas attorney about your own lot.

What the lot costs you each year

Add up your own numbers from the last few years. The usual items are:

• Association dues or assessments, set by your property owners' association under its recorded documents;
• County property taxes, from your appraisal district value and local tax rates;
• Mowing or cleanup charges, if the association's rules or the county's ordinances allow them;
• Your time keeping your address current and the bills paid.

A vacant lot has no rent coming in and, unlike a home you live in, no homestead exemption, so the full carrying cost lands on you. Writing the yearly total down is the first step to deciding what to do.

What happens if you stop paying the association

Many association documents give the association a lien on the lot for unpaid assessments. But Texas Property Code Chapter 209 puts limits on what an association can do:

• No foreclosure for fines alone. Section 209.009 says an association may not foreclose when the debt is made up only of fines it assessed and the attorney's fees associated solely with those fines.
• A court order first. Section 209.0092 says that, with limited exceptions, an association may not foreclose an assessment lien unless it first obtains a court order through an expedited foreclosure process. The owner can waive that only in writing at the time foreclosure is sought, and the waiver cannot be required as a condition of something else.
• Notice before collection agents. Section 209.0064 says an association may not hold you liable for a collection agent's fees unless it first sends a certified-mail notice listing what is delinquent and giving at least 45 days to cure before further collection action.

Those protections slow things down; they do not make the debt go away. Unpaid assessments, allowed late charges and fees keep adding up, and an association that follows the steps can still foreclose a lien for unpaid assessments. If you have received a notice, read it closely and talk to an attorney.

What happens if you stop paying the property taxes

County taxes follow their own rules. Under Tax Code Section 33.01, taxes not paid by February 1 get a penalty that starts at 6 percent and reaches 12 percent on July 1, plus interest of 1 percent a month. Left alone, the taxing units can sue and the lot can be sold at a tax sale. Our guide on what happens if you stop paying property taxes on Texas land walks through each step, and how a Texas tax sale works covers the auction and the short window to redeem.

Walking away is not a plan. It is usually the most expensive way to lose the lot.

Why these lots can be slow to sell

Small lots in rural subdivisions can be harder to sell through a listing. The commission on a low-priced lot is small, so it may get little attention. Many lot buyers pay cash, because lenders are cautious about raw land. And back dues or taxes show up in the title work, which can put off buyers who did not expect them. None of that makes a lot unsellable; it just means price, title and the paperwork matter. Our guide on how to sell land without a realtor covers selling it yourself.

Your realistic options

1. Keep it on purpose. If the area is growing and you can comfortably afford the costs, holding can make sense. Set a date or a price you are waiting for, so you are holding by choice, not by default.
2. Offer it to a neighbor or the association. Sometimes a neighbor wants the extra lot. Some associations will take a lot back; many will not. Any transfer still needs a deed and usually a title check, and someone pays those costs.
3. List it. This can work well for a desirable lot with clean title. Keep paying the bills while it is on the market.
4. Sell it as is for cash. A direct buyer can take the lot with back dues or taxes owed; the title company asks the association for a statement of what is owed and pays it, and the taxes, from the price at closing.

Whichever you choose, compare offers line by line, including who pays the dues statement, the title policy and the closing costs. Our checklist on what a cash offer on Texas land should spell out shows how.

How we handle it

When you ask us about a lot, we look at the county records and the association's recorded documents, then send a written offer. A Texas title company handles the closing, gets the association's statement and pays any dues and taxes owed from the price. You can sign with a notary near you if you live out of state. If another way of selling would serve you better, we will tell you. Start at ask for a cash offer or call (346) 255-4742.

Common questions

Can a Texas HOA foreclose on my lot for unpaid dues?

In some cases, but Property Code Chapter 209 limits it. Section 209.009 says an association may not foreclose when the debt is only fines it assessed and the attorney's fees associated solely with those fines. Section 209.0092 generally requires the association to get a court order through an expedited foreclosure process before foreclosing an assessment lien, unless the owner waives it in writing at that time.

Can my association send my account to a collection agency?

It can, but under Property Code Section 209.0064 it may not hold you liable for a collection agent's fees unless it first sends a certified-mail notice listing what is delinquent and giving at least 45 days to cure before further collection action.

What happens if I stop paying property taxes on a lot?

Tax Code Section 33.01 adds a penalty that reaches 12 percent on July 1 plus 1 percent interest a month, and the taxing units can eventually sue and sell the lot at a tax sale. See our guide on what happens if you stop paying property taxes on Texas land.

Can I just give the lot back to the HOA?

Only if the association agrees to take it, and many do not. A transfer still needs a deed and usually a title check, and someone pays those costs. Ask the association in writing.

Can I sell a lot that has back dues or taxes?

Usually yes. Back dues and taxes are typically paid from the price at closing through the title company, and the title company will ask the association for a statement of what is owed. The buyer and you agree in the contract who pays which costs.

Sources

• Texas Property Code Section 209.009: foreclosure sale prohibited in certain circumstances
• Texas Property Code Section 209.0092: expedited foreclosure required
• Texas Property Code Section 209.0064: third-party collections
• Texas Tax Code Section 33.01: penalties and interest

Each source was opened and read on October 23, 2026. Rules and rates change: check the source for the current version.

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