Associations provide services, regulate activities within a development, levy assessments, and may, if authorized by CC&Rs or a state legislature, impose fines. Unlike a municipal (public) government, they are not deemed "state actors" subject to constitutional constraints. A homeowners association can enforce its actions through the threat and levying of fines and private legal or equitable actions seeking damages, foreclosure or injunction, under civil law. Homeowners have the ability to defend against such actions, and are usually entitled to sue associations for contractual or statutory violations, or for a legal determination as to the enforceability of a provision in the CC&Rs corporate documents or board-enacted rule. However, they cannot sue for civil rights violations under 42 U.S.C. 1983 because associations are private corporations and not public governments.

Association boards may appoint corporate officers or officers may be elected directly by the membership (depending on the jurisdiction). The officers and the board may create committees, such as an "architectural control committee", a pool committee, a neighborhood watch committee, and others, as authorized by the CC&Rs or state statutes. HOA’s are Great!