In my neighborhood, with lot sizes around 6000-9000 square feet, this seems like a reasonable compromise.
I'm happy to live next door to a grumpy old dude with six derelict cars rotting in his back yard. It keeps my property value low, which in turn keeps my taxes low and keeps the type of people away who would otherwise have an issue with my doing metalworking in my own workshop because of the noise.
Literally, the sights and sounds of the neighbor running a garbage dump is less reprehensible to me than dealing with a bunch of racist busybodies in an HOA. At least if you have a problem with the neighbor, you you can put on some headphones or build a privacy hedge. If you have a problem with the HOA they can fine you indefinitely because they don’t like you (with some convenient excuse like the flower beds aren’t trimmed right or the grass isn’t green enough), and then foreclose on your house, kicking you out on to the street.
They implement this entirely through covenants and deed restrictions, with no state involvement at all, as I understand things.
These are homes. Property value whiners need to find a neighborhood of empty investment houses to police.
I keep my property simple and tidy, but if anyone dared complain about it I would seek out the most absurd yard art possible in hopes of offending them and anyone that thinks like them out of my neighborhood.