Many homeowners are unaware that while they may be up to date on their mortgage payments, falling behind on homeowners association (HOA) or condominium association (COA) dues may also lead to possible foreclosure on their home. Missed HOA payments mean that homeowners are responsible not only for the owed association dues but also for late fees and attorney costs. Enlisting the help of an attorney with extensive experience in HOA foreclosure in Florida cases may prevent you from losing your home.
What is the Process for HOA Foreclosure in Florida?
Once payments are missed, your HOA may choose to place a lien on your property, leading to possible foreclosure. Should an HOA decide to enact a foreclosure, it will often follow the same procedures of a mortgage lender. While there are limitations in place for some states as to an HOA’s ability to foreclose on a property, it is still possible to lose your home.
In the state of Florida, there are two separate sets of statutes which govern association liens, but they differ slightly. Chapter 720 of the Florida Statutes addresses HOAs and Chapter 718 is focused on COAs. These statutes outline the procedures necessary for HOAs and COAs to adhere to in order to foreclose on a property which is delinquent on association fees.
HOA and COA Liens
Before an HOA or COA has the ability to foreclose on a property, there are requirements which must be met. In Florida, a homeowner must first be provided with a written notice from the HOA allowing 45 days for the amount due to be paid in full before a lien may be placed. In the case of a COA, the owner must receive written notice of intent to foreclose 30 days prior to formally moving forward with filing in court.
Once a lien is placed on the property, it prevents the homeowner from selling or refinancing the home. Should the HOA fail to file a lawsuit, the lien will become void after 90 days. Florida is a judicial state, which means the HOA must first file a lawsuit to obtain a judgment from the court.
If you are behind on HOA payments, there may be steps you can take to stop HOA foreclosure in Florida. Contact the experienced foreclosure defense team at Graham Legal, P.A. today to find out how you can fight foreclosure on your property today.