Posted on Tue, Aug 17, 2010 @ 07:04 AM
Can a unit owner who is in
foreclosure proceedings for their unit,

but up to date on monthly
assessments, hold a position on the board? This person has been on the
HOA board in previous years and feels they have the right to participate again. The current board feels that this person is irresponsible financially (known to have refinanced home several times to live off the equity earned during the boom years, and now purposely not paying mortgage to try and refinance home back to a much lower mortgage rate). This person has made poor decisions on previous boards and has been belligerent and bullying as well. We will have several openings on the
HOA board this year with few people willing to fill the vacancies but don't want this person as they are counterproductive. What can we do?
Posted on Mon, Mar 15, 2010 @ 09:30 AM
Our condo association has just been informed that we were the only bidder at a foreclosure. We would like to rent the condo unit for at least one year. What steps do we have to take and what documentation do we need to start renting this unit?
Posted on Thu, Jan 21, 2010 @ 06:27 AM
We are a small North Carolina condo association of 24 units. We foreclosed on one condo unit a month ago, after several years of non-payment of HOA fees on the unit owner's part. No one came forward at the foreclosure sale to buy it, so now we find our condo association owners of this empty unit, which we'd like to sell as quickly as possible.
We've had a title search done in an effort to ascertain who holds the mortgage on it, but the last recorded company went belly-up in 2007. Can anyone point us in the right direction in the search to find out how much is still owed on the unit, so that we can make an intelligent decision on what price to sell it for? We haven't had contact with the former owner in several years, nor did his ex-wife, who was living in the unit. Thanks for any help.
Posted on Tue, Jan 12, 2010 @ 06:20 AM
When an owner of a unit in a condo association or HOA is delinquent in paying his condo maintenance fees and
then the property goes into foreclosure, then to a sheriff's sale can the HOA
force the new owner to pay the past HOA dues of the previous owner as a condition of
the sale? We are in the state of Indiana.
I have tried to get someone in the
industry to tell me exactly what a sheriff's sale involves (including the
sheriff's office that I called 4 days ago have not heard back from yet) and so
far I haven't been able to get any answers.
Last week the owner of the condo unit said
that the information regarding his unit going to sheriff's sale is a mistake but as of
today the delinquent property is still being shown on the list for the Feb. 2 sale.
There
must be some way to get information about what liens are required after the amount listed by the sheriff is met and the highest bidder takes
ownership. I have been told that the owner who is not the developer, bought the
condo unit through his business or LLC and intends to bankrupt the condo unit to buy it
back through another business he currently owns for pennies on the dollar. As a
matter of fact he may have already bankrupted that shell and thus sending the
property into foreclosure. That sounds illegal.
How much access to that type of
information am I able to obtain before the sheriff's sale. I just want to know
if there are going to be complications after the fact if I am the highest bidder
on the property. Can the sheriff's sale be cancelled at any time prior to the
sale and if so under what conditions would it be?
Posted on Mon, Dec 14, 2009 @ 05:41 AM
I have a condo in Brunswick GA. The property management company says that 16% of the
condos are not paying their condo fees and therefore it is impossible to sell my unit because
the banks will not lend anyone to purchase a condo in this complex of 48 units.
The HOA's fees went up 17% this year. We are paying a large amount of money for condo association insurance. I am considering the possibility of abandoning the property
since it has been empty for almost one year. Any help with this matter?
Posted on Wed, Nov 18, 2009 @ 05:39 AM
I live in a 10 unit condo building. One of the unit owners for the past two
years has not paid his condo association fees and owes thousands. My question is how can the HOA
get him to pay his past due fees and assessments?
I believe that he is waiting for the condo unit to go into
foreclosure, which is also not right. It is not fair that all the other owner
are paying and not him. He is getting a free ride at our expense. What course
of action can the HOA pursue?
Posted on Thu, Aug 27, 2009 @ 03:39 PM
When a lender forecloses and the condo association is served the complaint, what is the importance/benefit and or down side for the association to respond or not to the complaint? Additionally, why is it beneficial for the association to have the lenders foreclosure monitored?
Typically many states provide for some form of priority lien for condominium fees. When an Owner is delinquent on their mortgage payments, they are generally also delinquent on their condominium fee payments. Most states require some form of action on the part of the association to "prioritize" their lien. Thus, if a condo association or HOA does not take the required steps to establish their lien, and take advantage of any priority, and the lender forecloses, the association runs the risk of missing out on any chance to collect the delinquent dues. For this reason it is important to monitor foreclosures and to understand your state's collection laws with regard to condominium dues.
Posted on Sat, Aug 22, 2009 @ 06:02 AM
My complex has a condo that was foreclosed upon and a corporation - in the business of buying and selling property - bought the property with a sheriff's deed. The condo has stood empty for six to eight months and has accumulated about $6,000 in overdue HOA fees. The taxes, however, are being paid.
I know the HOA or Condo Association can sue the record owner in a foreclosure action for recovery of these HOA fees. Are there any other remedies that the HOA can pursue?
A: The owner is paying the property taxes because that lien has priority over all others, including any mortgage. The tax assessor will be paid off first from any money received in a foreclosure. If you foreclosed you probably wouldn't end up with any money, and it would cost you the expenses of foreclosure. But this investor is losing money if it doesn't try to occupy the condo. You said it's been empty for six to eight months.
I have a couple of suggestions in this situation.
Look to see if there is a mortgage. If there is, then most likely stipulations in the mortgage will require keeping HOA dues current. This is a standard clause for any lender wanting to sell the mortgage to the Federal National Mortgage Association (Fannie Mae) or the Federal Home Loan Mortgage Corporation (Freddie Mac). Then notify the lender of the breach; this will be cause to foreclose. The lender may notify the owner that it must pay HOA dues and fees.
If that doesn't work then make renting or selling the condo subject to payment of HOA dues and fees. Make sure this gets properly set out as part of the HOA rules. The investor must eventually do something with the condo.
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