Verify CC&R compliance before advertising a property feature.
June 2026
The Oregon Real Estate Agency has received reports of listings that market features or uses of a property that are restricted by the covenants, conditions, and restrictions (CC&Rs) of the development or homeowners association (HOA).
Advertising a property feature that is prohibited or restricted by applicable CC&Rs may result in disciplinary action against your license.
An Example
A broker advertises that the property is perfect for RV or boat parking because there is a paved pad next to the garage. However, the CC&Rs specifically state that RVs and boats must be stored in a garage or behind a fence of a certain height. The garage is not large enough to accommodate an RV, and there is no qualifying fence on the property. What laws could the broker be found in violation of?
Oregon Revised Statute (ORS) 696.301(1): Material Misrepresentation
If a licensee creates a reasonable probability of damage or injury to a person by making material misrepresentations or false promises about the property, it is a violation of ORS 696.301(1). In this example, a buyer purchases the property because it was advertised as having a pad to park an RV but later discovered that RV parking on the pad is prohibited by the CC&Rs. The buyer may have experienced harm because they would not have purchased the property had they known RV parking was restricted.
ORS 696.301(4): Misleading Advertising
A licensee who recklessly publishes materially misleading or untruthful advertising is in violation of ORS 696.301(4). A licensee does not need to know that the advertising is false to be in violation. Publishing a feature in marketing materials without first reviewing the CC&Rs could be considered reckless.
Buyer Due Diligence Does Not Limit a Listing Agent’s Responsibility
While buyers are responsible for reviewing CC&Rs as part of their due diligence, that responsibility does not excuse a licensee from responsibility for misrepresenting a property feature in their marketing.
When a licensee chooses to advertise a specific feature, they are representing that the feature exists and is allowed. CC&Rs are readily accessible documents that should be reviewed before developing a marketing plan.
Best Practice
Before marketing any feature or use of a property that may be governed by CC&Rs, review those documents to confirm that the advertised use is permitted. If there is any question about how a CC&R provision applies, advise your client to seek appropriate legal guidance.