illegal drying

Line drying one's clothes is not allowed in many communities for fear of lowering home values. One of my cousins told me that she was given a warning in a previous home community they lived in. She hung towels out since they're thicker and take longer to dry. Someone came to her house to talk to her about it.
That seems like such a rediculous thing to worry about. Hanging laundry reduces home values? As they mention at the end, we live in the land of the free but can't do something as simple as drying our own clothes in our own yards??