I own a condo in ca. and my HOA has started foreclosure due to unpaid HOA fees how long do i have to bring account current before i lose the property? i have a nother property but my LTV is about 80% any advice would greatly appeciated!
My credit score has dropped to about 500.
You’ve got roughly 4 months from the date the Notice of Default records until the Trustee’s sale. Perhaps you should consider paying the fees?
hoa fees are only a couple hundred a month… and there usually included in your monthly payment, are you saying your hoa fees are not included in your payment or is that that you havent made your monthly payments
My Fees aren’t Included in my payment, but I have recently gotten the rent increased to cover both the payment and HOA fees, but now the assoc won’t take partial payments.
So an Association foreclosure takes the same amount of time that a bank foreclosure would?
My other question is there anyway i can pull cash out of my other properties with my score being down to 500?
There are mortgages that you can get for lower credit scores, but you pay alot for them. Don’t let just any mortgage co credit checks on you because every time they do a credit check you score goes down alittle lower. You might want to go to the special mortage companies to do the line of credit or second mortgage. I hope everything works out well for you…
I would suggest that you get a line of credit or second mortgage on your property to save it. Don’t let it go for some stupid HOA fees. You should try to get acouple of thousand over the HOA fees and keep it in a separate checking account-freebie and make sure that you make your payments early and that in turn will up your credit score alittle.
My other question is there anyway i can pull cash out of my other properties with my score being down to 500?
This is going to be extremely difficult. If the LTV on the property that you want to take the cash out of is low, then you may have a chance. (75% or below)
the problem is i don’t know how much time i have, i am on a payment program with my primary residence mortgage company as well so i’m stuck between the too but my prim res isn’t in foreclosure yet
HOA fees are almost never included in the payment here. Not sure which state you’re referring to. Property taxes and insurance are paid if the buyer escrows. HOA fees are separate.
Some HOAs start adding exorbitant legal fees, document fees, crap fees, etc. when you don’t pay so you may want to get a consumer advocate (or tv station) involved if they’re jacking up the total amount due with bogus or outrageous fees that make it hard to get caught up.
Otherwise, sounds like you need to get a loan or sell to an investor. It all depends on how much the property is worth, so you may want to get it evaluated by an agent or appraiser.
Regarding your question on HOA actions - A new California law gives home owners greater protection from foreclosure proceedings initiated by their homeowners association. Effective Jan. 1, 2006, SB 137, places limits on when and how homeowner associations (HOAs) can foreclose upon home owners for delinquent assessments and provides some related protections for those living in common interest developments (CIDs), housing developments governed by HOAs.
Under the new law, before an HOA can foreclose - either judicially or non-judicially - for delinquent assessments, one of two thresholds must be met
- The assessment debt must be $1,800 or more, exclusive of assessment charges; or
- The debt, at any level, must be more than 12 months delinquent.
If neither of the thresholds are met, the HOA seeking to collect delinquent assessments can either:
- File a civil action in Small Claims Court; or
- Record a lien upon which it can foreclose later after the $1,800 or 12 month delinquency thresholds are met.
Once the threshold has been met, the HOA can initiate foreclosure to recover both the assessment debt and all collection charges and fees.
When the thresholds are met to allow foreclosure, the HOA can proceed, but only subject to further provisions of the new law. The HOA board of directors must make a formal decision to foreclose upon a lien:
- at an executive meeting of the board
- by a majority vote
- at least 30 days prior to any foreclosure action to sell the property.
The board must also record the results of the vote in the association’s minutes. The HOA must disclose its foreclosure activities to the home owner by sending all debt collection correspondence and legal notification to both a primary and secondary address, if a secondary address is available.
The association must record with any notice of delinquent assessments an itemized list of charges owed by the home owner.
The new law also allows the home owner, in writing, to seek a meeting with the HOA’s board of directors to resolve the dispute over assessment debt. The board must respond to the home owner’s request within 15 days of the postmark on the request.
If dispute resolution finds that an HOA has filed a lien in error, the HOA must reverse the lien and assume all costs.
I’m a mortgage broker, so I can speak to the refinance piece for you:
If you have a 500 score, then you can get financed up to 55% of the appraised value of any of your investment properties going full doc (proving your income).
If you are using equity in your primary residence, you may borrow up to 80% the value going full doc.
*These are just estimates. This is also assuming no mtg lates, BK/FC hits etc. For a full pre-qual, check w/your broker.
I hope this is helpful. Best of luck!
i have lates on all my mtgs and im currently in default on mt prim res but im on a payment plan with my lender. There has got to be a way to get money out of these properties. I’m considering a chp 13
that’s not a bad consideration…i would speak with your attorney. its better than losing a property that has valuable equity…best of luck to you!
l. You have to look at your HOA BYLAWS to know.
2. Then you have to be sure the Bylaws do not conflict with the state law for whatever state this condo is in.
3. The easiest thing to do (though not 100% reliable) is to call the HOA management co. and ASK THEM. They are suppossed to know, but sometimes they get it wrong.
When the thresholds are met to allow foreclosure, the HOA can proceed, but only subject to further provisions of the new law. The HOA board of directors must make a formal decision to foreclose upon a lien:
- at an executive meeting of the board
- by a majority vote
- at least 30 days prior to any foreclosure action to sell the property.
does this mean they have to complete all three of these before they can proceed? where did you get this info from? very informative, thanks!
Google California SB 137