Thursday, 18 September 2014

Can a redemption period be extended from 90 days to 1 year if a property has been sold by and purchased by the Homeowner's Association? The ...

Question

Can a redemption period be extended from 90 days to 1 year if a property has been sold by and purchased by the Homeowner's Association? The mortgage on the property is current.



Answer

Only if the HOA for some unfathomable reason went through a judicial foreclosure.



Answer

In a non-judicial foreclosure, which is the procedure for the vast bulk of foreclosures in California, it does not matter who the buyer is at the foreclosure sale. I would doubt that the HOA would buy the condo at the sale as it wants the money and not a condo. While the mortgage might be current as to payments, once the unit is sold the lender would also foreclose if there is a due on sale clause. It makes no sense to pay on the mortgage and not the HOA fee which is much smaller.



No comments:

Post a Comment