Who pays for overdue HOA fees in California foreclosure?
Question by Liza: Who pays for overdue HOA fees in California foreclosure?
My primary residence was foreclosed on in California. I have not payed for HOA dues. Now the HOA is attempting to collect fees. Who is responsible for paying those overdue fees?
Best answer:
Answer by verdeii
You are responsible for paying the dues you owed up until the time the bank took over. Once the foreclosure happened and the bank became the owner, they are responsible for paying the dues from that point on.
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Technically, you are responsible for the HOA fees as long as you are the owner of the property. However, if you are facing foreclosure, it’s a good idea to negotiate all liens/fees against your home before it is taken away. In most cases we work on, we are able to negotiate a settlement on the HOA fees so nothing is owed. In others, such as when the home is sold at auction and there is a profit, those funds can be used to pay back taxes or HOA fees.
In most cases, it’s possible to settle this debt before the foreclosure, in order to avoid future collection and harm to your credit.
You can do this on your own, there is no need to hire a company to help, but just make sure you do a lot of research before you start trying to negotiate with no experience.
If possible, I would seek a professional to negotiate for you, but only if you don’t have the time or experience to do it on your own.