foreclosure filings leveling off, inventory dropping

[AAbsolute]

What about in the foreclosure actions..

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.

I keep seeing properties in the JOE neighborhoods where the HOA, through Shipman, files the lien against the property (sometimes the same owners on multiple pieces) then subsequent to that they file the Lis Pens to foreclose their lien. Does the HOA take the property if it succeeds in its action? What about the original mortgage, does it lose it's first position? If not why would the HOA incur the expense of the Action only to be in 2nd position? Wouldn't it be more fruitful to just place and perfect the valid lien and sit tight?

Can anybody understand and articulate the process? Thanks

 

[Mango]

The Law firm of Becker and Poliakoff have a manual regarding HOA and foreclosure process. As far as how far back the Bank has to pay the Association for arrears, based on entity, it is not clear in the manual.

The Community Association Leadership Lobby (CALL) has a good deal of information on it to refer to, started by B and K. Although I am not a fan of the firm themselves, I start here and research further on my own or with our HOA lawyer.

 

[AAbsolute]

Taken with a grain of salt...and some pepper too

The Law firm of Becker and Poliakoff have a manual regarding HOA and foreclosure process. As far as how far back the Bank has to pay the Association for arrears, based on entity, it is not clear in the manual.

The Community Association Leadership Lobby (CALL) has a good deal of information on it to refer to, started by B and K. Although I am not a fan of the firm themselves, I start here and research further on my own or with our HOA lawyer.

Thanks, Like you said it is a good starting point. The exact point I'm trying to find is what happens when an HOA (Subordinate position lien holder) forecloses on a property that has a 1st mostgage (1st lien position) that is higher than the current value? I'm seeing our HOA filing the foreclosure pre-requisites and incurring the legal expense on property that is overly encumbered.

Anyone out there have the last piece to this puzzle? Thanks

 

[Beachlover2]

I was told by the lawyer that if we (the HOA) force foreclosure we had better be willing to purchase the property on the steps. Most HOA do not need another liability. We were told that we could go after the owner - personally - for the money owed. This would work in the case that the owner is trying to walk from the property but still has a lot of other assets. But that will cost the HOS money to try and pursue this through the courts - Catch 22

 

[fisher]

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.

Go get'em with claws bared.




Liens indicate more trouble to come in paradise--rough number of liens filed by HOA over the last 12 months or so-

watercolor-60
watersound-30
rosemary-30
the preserve-15
cypress dunes-15
seacrest-30



hoa's may or may not be able to collect. the bigger issue here is the potential for many, many more foreclosures to come.

 

[Miss Kitty]

Go get'em with claws bared.




Liens indicate more trouble to come in paradise--rough number of liens filed by HOA over the last 12 months or so-

watercolor-60
watersound-30
rosemary-30
the preserve-15
cypress dunes-15
seacrest-30



hoa's may or may not be able to collect. the bigger issue here is the potential for many, many more foreclosures to come.

...I may have spoken too soon. I will do Town Center.

 

[traderx]

I saw a home originally listed at $598,900 that had been reduced to $597,900. That represents the clearest sign of a bottom I have seen yet. :funn:

 

[AAbsolute]

So what do you think the strategy is?

I was told by the lawyer that if we (the HOA) force foreclosure we had better be willing to purchase the property on the steps. Most HOA do not need another liability. We were told that we could go after the owner - personally - for the money owed. This would work in the case that the owner is trying to walk from the property but still has a lot of other assets. But that will cost the HOS money to try and pursue this through the courts - Catch 22

Does this mean that the Watercolor HOA is planning to foreclose on 60 properties and pay off 70 million dollars worth of 1st position mortgages in order to get their $80,000 of HOA dues? I just can't figure out why they are paying Shipman, et al to pursue this course of action. Doesn't this mean that some of the builders who have 3 or more lis pendens are actually going to gain relief of their 1st mortgage?

Paging ScooterBug. Please share some of your wisdom about Watercolor.

 

[fisher]

Does this mean that the Watercolor HOA is planning to foreclose on 60 properties and pay off 70 million dollars worth of 1st position mortgages in order to get their $80,000 of HOA dues? I just can't figure out why they are paying Shipman, et al to pursue this course of action. Doesn't this mean that some of the builders who have 3 or more lis pendens are actually going to gain relief of their 1st mortgage?

Paging ScooterBug. Please share some of your wisdom about Watercolor.

I don't think the HOA is considering foreclosing. I just think they are putting their claim out there to make sure it is satisified when/if the home is sold. Not sure how it will work in a foreclosure situation.

Also, the passed due fees at a clip of $1000 per quarter more than likely totals moe than $250k, not $80k. With 60 +/- homeowners not paying dues, the HOA is losing $60k per quarter in fees. Anyone from any of these HOA's have an idea of the amount of passed due HOA fees?

 

[Miss Kitty]

I don't think the HOA is considering foreclosing. I just think they are putting their claim out there to make sure it is satisified when/if the home is sold. Not sure how it will work in a foreclosure situation.

Also, the passed due fees at a clip of $1000 per quarter more than likely totals moe than $250k, not $80k. With 60 +/- homeowners not paying dues, the HOA is losing $60k per quarter in fees. Anyone from any of these HOA's have an idea of the amount of passed due HOA fees?

I can tell you the Town Center (condo) dues are much more than $1,000 a quarter. We have different circumstances.