Can an HOA Restrict Rentals in Kentucky?

What Kentucky law says

Kentucky takes a document-driven approach to HOA rentals, with two modern statutes framing the edges. Condominiums created after January 1, 2011 are governed by the Kentucky Condominium Act, KRS 381.9101–381.9207, whose declaration requirements expressly contemplate 'restrictions on use, occupancy, and alienation of the units' — the statutory home for leasing bans, rental caps, minimum lease terms, and owner-occupancy rules. Older condominium regimes generally remain under the prior Horizontal Property Law, KRS 381.805–381.910. Planned communities (non-condo HOAs) got their first dedicated statutory framework only in 2023, when SB 120 was codified at KRS 381.785–381.801, governing formation, governance, assessments, and enforcement — but the act does not specifically address rental restrictions.

No Kentucky statute was found that limits what associations may do about rentals, and no statute guarantees owners a right to rent. That means a Kentucky association can prohibit leasing entirely, cap rentals, set minimum lease terms, require board advance approval, demand tenant information and insurance, and prohibit subletting — enforceable as recorded covenants when the declaration or a valid amendment authorizes them. The HOA411 seed records show the full spectrum: Hurstbourne Ridge's confirmed hard rental ban, Andover Club Villas' board-approval regime with $200/month violation fines, Firebrook's written-lease and anti-transient provisions, and Beaumont Park's entire-unit-only, one-year-minimum rules.

The practical upshot is that Kentucky buyers and owners should treat the recorded declaration as the rental law of the community. Because the statutes defer to the documents on leasing policy, the key questions are always document questions: does the declaration authorize the restriction, was any amendment adopted by the required vote and recorded, and does enforcement follow the documents' procedures. Kentucky courts enforce recorded covenants as written, so a properly adopted rental ban is as durable as the declaration itself.

• KRS 381.9101–381.9207 (Kentucky Condominium Act) — Applies to condos created after 1/1/2011; declarations may contain 'restrictions on use, occupancy, and alienation of the units.'
• KRS 381.805–381.910 (Horizontal Property Law) — Prior condo statute, generally still governing condominiums created before January 1, 2011.
• KRS 381.785–381.801 (2023, SB 120) — Kentucky's first statutory framework for planned-community HOAs — formation, governance, enforcement; does not specifically address rentals.

What HOAs in Kentucky can and can’t do

HOAs generally can:

• Adopt outright leasing bans, rental caps, minimum lease terms, and owner-occupancy requirements through the recorded declaration — no Kentucky statute was found that forbids them.
• For condominiums, include 'restrictions on use, occupancy, and alienation of the units' directly in the declaration, as the Kentucky Condominium Act expressly contemplates.
• Require written leases of a minimum term, board advance approval, tenant information and insurance on file, and no subletting or assignment, as the documents provide.
• Charge reasonable fees and fines authorized by the documents, including per-violation fines for rental-rule breaches.
• For planned communities (non-condo HOAs), govern rentals through the declaration under the 2023 planned-community framework, KRS 381.785–381.801.

Limits under Kentucky law:

• No statewide statute specifically limits Kentucky HOA rental restrictions — but no statewide statute guarantees owners a right to rent either; the documents control.
• Cannot enforce a restriction that exceeds the recorded declaration — a board rule that goes beyond the documents is unenforceable.
• Older condos (created before January 1, 2011) generally answer to the older Horizontal Property Law (KRS 381.805–381.910) rather than the modern Condominium Act — the applicable statute depends on the project's vintage.

Things to know in Kentucky

• Two condo statutes by vintage. Post-2011 condos answer to the Kentucky Condominium Act (KRS 381.9101–381.9207); older regimes generally remain under the Horizontal Property Law (KRS 381.805–381.910) — confirm the project's vintage before citing a statute.
• The 2023 planned-community act is new. KRS 381.785–381.801 is Kentucky's first statutory framework for non-condo HOAs, but it does not address rental restrictions — the declaration still controls leasing.
• The Condominium Act expressly contemplates rental restrictions. The declaration may contain 'restrictions on use, occupancy, and alienation of the units' — the statutory basis for bans, caps, and minimum terms.
• Boards still need document authority. A rental rule that exceeds the recorded declaration is unenforceable; fines (like the $200/month fines documented at Andover Club Villas) must be authorized by the documents.

Rental rules we’re seeing in Kentucky

Real examples from the HOA411 database:

• Hurstbourne Ridge, Louisville — Hurstbourne Ridge is a confirmed hard rental ban: the KREC Condominium Seller's Certificate states 'No rentals are allowed,' corroborated by MLS remarks that the 'Complex does NOT allow rentals.'
• Andover Club Villas, Lexington — Andover Club Villas' Declaration (Sec. 22) requires board advance approval before leasing, a written lease of at least one year, tenant details and insurance on file, and no subletting; violations carry a $200/month fine.
• Firebrook, Lexington — Firebrook's Declaration (Sec. K) permits residential leasing but bans hotel/transient uses and roomers/boarders; all leases must be in writing and subject to the declaration.
• Beaumont Park Townhomes, Lexington — Beaumont Park Townhomes' rental rules require a written lease of at least one year covering the entire unit only, with no subleases and no short-term rentals (Airbnb/VRBO banned).

Frequently asked questions

Can a Kentucky HOA ban rentals outright?

Yes, if the declaration supports it. Hurstbourne Ridge in Louisville, for example, is documented as a confirmed hard rental ban ('No rentals are allowed'). No Kentucky statute was found that specifically limits HOA rental bans, so a properly recorded ban is enforceable.

Are rental caps and waiting periods legal in Kentucky?

Yes. Rental caps, minimum lease terms, and waiting periods appear routinely in Kentucky declarations and are treated as enforceable when properly adopted. Andover Club Villas in Lexington, for instance, requires board advance approval, written leases of at least a year, tenant details and insurance on file, and no subletting — with a $200/month fine for violations.

Which law applies to older Kentucky condos?

The applicable statute depends on when the condominium was created. The modern Kentucky Condominium Act (KRS 381.9101–381.9207) applies to condominiums formed after January 1, 2011; older regimes generally remain under the prior Horizontal Property Law (KRS 381.805–381.910). Rental restrictions in either case live in the recorded declaration.

Kentucky passed an HOA law in 2023 — does it cover rentals?

Yes. The 2023 planned-community law (SB 120, codified at KRS 381.785–381.801) created Kentucky's first statutory framework for planned-community HOAs — previously they relied entirely on their CC&Rs and the nonprofit corporation act. The statute governs formation, governance, and enforcement, but it does not specifically address rental restrictions, so the declaration still controls.

Can Kentucky HOAs charge rental fees and fines?

No Kentucky statute specifically caps or standardizes rental-related fees. Fees authorized by the governing documents — application fees, move-in fees, violation fines — are generally enforceable; fees the board invents without document authority are vulnerable to challenge.

Browse HOA communities in Kentucky →

← Search all HOA communities on HOA411

General information only, not legal advice. HOA rules change — confirm directly with the HOA or a Kentucky attorney before buying or leasing.