foreclosure filings leveling off, inventory dropping

[30ashopper]

So what happens when an HOA places their lien for dues, then files the lis pendens to commence the foreclosure process behind existing encumbrances. I've seen Watercolor HOA commence the action already. Do they need to pay off the first positions or do they have Statutory Priority along with the property taxes?

Can we enjoin through assignment or buy their position outright? Could be an interesting way to earn a living.

That sounds like a question for a lawyer, my experience thus far is only with properties that went into default on fees, with the primary lien holder filing behind the secondaries. I'd be interested in the answer if there's someone on the board with experience in this stuff. If the HOA gets precidence in these cases, it'd be worth the effort to file earlier rather than later?

 

[30ashopper]

Just wait until rental income dries up.

Josh, do you have a sense of that this year? Owners seem to be pretty optimistic. I perceive lower crowd levels in the area but I'm not a renter so I can't comment on past occupancy rates vs. current.

 

[Mango]

That sounds like a question for a lawyer, my experience thus far is only with properties that went into default on fees, with the primary lein holder filing behind the secondaries. I'd be interested in the answer if there's someone on the board with experience in this stuff. If the HOA gets precidence in these cases, it'd be worth the effort to file earlier rather than later?

You want to get your lien in before the Bank because it requires them to pay the past due fees. In FL, my understanding is the Bank is only responsible for 6 months past due fees. (that is, if filed prior to lis pendens) It's very confusing in FL. I could be wrong. It also depends on whether the property is a condo, house or town home. Different rules apply to all. Ridiculous. In many States, the HOA and tax authority take precedence over any liens, on any type of property. I think I heard that there was some legislation pending to change this. It's only fair.

However, most of the Banks are paying the past due fees, eventually, so they can sell the property unencumbered.

 

[30ashopper]

You want to get your lien in before the Bank because it requires them to pay the past due fees. In FL, my understanding is the Bank is only responsible for 6 months past due fees. (that is, if filed prior to lis pendens) It's very confusing in FL. I could be wrong. It also depends on whether the property is a condo, house or town home. Different rules apply to all. Ridiculous. In many States, the HOA and tax authority take precedence over any liens, on any type of property. I think I heard that there was some legislation pending to change this. It's only fair.

However, most of the Banks are paying the past due fees, eventually, so they can sell the property unencumbered.

Thanks Mango. I'm still a little confused on all of it. I'm a member of the board for a community of homes, we've files liens on homes that were already in foreclosure, legal told the association we had very little chance of collecting (what I've reported above) and if the past dues we're under 5K or so, to let it slide as we'd loose money and delay getting new owners into the property. Also, it was quite clear that past dues would not forward on to the new owner according to FL law.

 

[Mango]

Thanks Mango. I'm still a little confused on all of it. I'm a member of the board for a community of homes, we've files liens on homes that were already in foreclosure, legal told the association we had very little chance of collecting (what I've reported above) and if the past dues we're under 5K or so, to let it slide as we'd loose money and delay getting new owners into the property. Also, it was quite clear that past dues would not forward on to the new owner according to FL law.

I am on a Board as well, and we have filed liens against all properties. We've been fortunate that the Banks have paid the entire liens from when they took ownership. It took some persistence, though. Your Managing Agent should be helping y'all with follow up phone calls. Our Board has been diligent with reminders. We have some new, responsible owners now who bought, paid cash, and hopefully going forward, we will have less strife. Being on a Board during these trying times is a thankless job.

 

[Miss Kitty]

My head hurts. My dues are current.

 

[Mango]

My head hurts. My dues are current.

My head imploded a couple of years ago. :shock:

 

[fisher]

So what happens when an HOA places their lien for dues, then files the lis pendens to commence the foreclosure process behind existing encumbrances. I've seen Watercolor HOA commence the action already. Do they need to pay off the first positions or do they have Statutory Priority along with the property taxes?

Can we enjoin through assignment or buy their position outright? Could be an interesting way to earn a living.

I don't know the answer to the question. However, if a good chunk of the past due fees are never collected, homeowners in the planned communities better get ready for some assessments and reduced service levels.

 

[Miss Kitty]

I don't know the answer to the question. However, if a good chunk of the past due fees are never collected, homeowners in the planned communities better get ready for some assessments and reduced service levels.

They can Bite Me, first. I will be glad to try and collect any monies due. Believe me, I will even fly across the country to find them.

 

[Beachlover2]

Regarding paying back HOA - I have been told by lawyer that in FL if it is a condo then they only have to pay back the last 6 mos of dues - special assessments etc. and on homes and townhome assns they have to pay it in full, no matter how old it is. It isn't that difficult to file a lien - everyone in a HOA should make sure that their board - CAM is doing it. The filings are getting very numerous and the budgets are being changed to cover those that aren't paying, Such as rasing dues and or not covering the reserve payment because the normal things need the money instead. Doesn't seem fair to see some people renting out their places and pocketing the money when you know they aren't paying the mortgage or HOA dues.