Homeowner’s Associations (HOAs) Liens

Can a voluntary HOA assess liens on your property if you don’t pay the annual fee? I wouldn’t think so if you never agreed to be a part of the association but you should consult with a real estate attorney. I know of one HOA that threatened individuals to file liens and the threat worked to extort money from absent owners.

Update – 10-17-2014: Nevada Supreme Court decided that a homeowners association can foreclose on homes and put them up in auction to recoup delinquent payments. NOTE: About 20 other states also allow HOA liens take priority over first mortgage liens. Also WSJ, 10-15-2014, A2.

3-31-2014: The Illinois Supreme Court just ruled that you are responsible to pay your HOA dues, regardless of your satisfaction of how the HOA is performing. Source: http://my.chicagotribune.com/#section/-1/article/p2p-79773855/

Can the HOA evict YOUR tenant and put their own tenant in to collect prior liens? Maybe… Source: http://www2.tbo.com/news/real-estate-news/2012/apr/29/namaino1-homeowners-association-rents-home-it-does-ar-397871/

Some HOA’s are getting tough and charging fees – filing liens against the home which need to be paid on or before closing to sell your property

Source:  http://online.wsj.com/article/SB10001424052748704281504576327693591415736.html

References to products and services are not a specific endorsement, but the user must perform their due diligence and investigate whether the product or service is right for them. I welcome any or all comments that would help others.

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