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Chapter 7 Federal Bankruptcy proceeds can help a debtor discharge debts.
Assessments are owed by owners -- potentially personally as well as being attached to your property -- in order to pay for protection, maintenance and preservation of real estate assets you own in common with all other owners.
Assessments due prior to the date of filing are handled differently than assessments due after the date of filing: your bankruptcy attorney can help you understand your position according to a calendar.
Read your governing documents to fully understand your personal obligation to pay assessments, and the statutory lien they represent on your title. Your association can file its lien, and as a last resort, sell your property in order to satisfy the debts that you owe.
What else can I help you with?
Which prevails an individuals' right to protect property or a homeowners associations rules?
When you purchase property in an association, you agree to abide by the covenants, conditions, regulations and restrictions -- CC&Rs -- established for the association. The association's responsibility is to protect, maintain and preserve its real estate assets. There may be 'rules' established by the board, which must conform to the CC&Rs, and must be enforced by the association. When the association fails to protect your property, you may be required to protect it yourself. If you find yourself in a position to protect your property, because the association has failed to protect it, best practices dictate that you establish and confirm the facts involved in your situation and take your evidence to a common interest community-savvy attorney who can help you protect your property. There is no standard answer to your question.
Does the treasurer of a homeowners association need to be bonded?
Your answer depends on the nature of the association and the reputation of the treasurer. Really, you're asking about the person who handles assessments and invoices and checks. Money is at the heart of any association, and every board is advised to form a finance committee -- as a form of checks and balances, to oversee association accounts. It's far too easy for the person with a signature on an association bank account -- regardless of that person's position -- to abscond with association funds. The horror stories are endless -- individual losses in the hundreds of thousands, even millions. As well, the association may not be insured for such a loss. Rare is the association that can afford such a financial hit. The savvy board understands its financial vulnerabilities and takes steps to protect its cash assets.
Can a homeowners association contact your personal insurance and name themselves as a party of interest?
Depending on the situation, the association may be wise to take this step. If, for example, you are renovating or constructing your lot/ area/ 'unit', the association may want to protect its assets from construction damage. Project insurance may be a better choice here, than 'personal insurance'. However, the association may not -- willy-nilly -- get itself named as a party of interest on your personal insurance. Your broker can protect you from such a claim.
How many months before filing a lien on unpaid homeowners' association dues?
Your answer depends in several items.Read your governing documents to identify the collection process. Then verify that the association follows the necessary process that attempts to collect unpaid assessments before filing a lien. You may be required to wait at least 60 days with no payment before initiating the process, and then work through the process over the next 60 days before you can file a formal lien.The viability of the recalcitrant owner. If the association has worked with an owner, worked out payment terms that the owner fails to honour, then you may want to take action.Best practices dictate that you work with your association's attorney to maximize the lien process and protect the association's interests.
Does homeowners insurance protect against delinquent condo fees?
This is not a normal type of coverage, per se.Depending on the reason an owner does not pay assessments, you may be able to purchase protection. For example, if your home is not habitable based on a protected disaster, your coverage may include monies sufficient to pay your assessments, which you still owe.Your broker or insurance carrier can answer your specific question, given your specific situation.
Does title insurance protect the buyer of property against subsequent claims for unpaid condo fees?
Title insurance protects a buyer in the sense that the title insurer has scoured all public records to determine whether or not the title is 'clean', that is free from claims, encumbrance or other clouds. If the association has filed a lien against the seller for unpaid assessments, this will be a public record that the title company can find. Without a lien, the new buyer should not be subjected to the debt of a seller's unpaid assessments. If the association is billing you for unpaid assessments owed by a previous owner, you can take this evidence to a common interest community attorney who can write to the association and notify it that the debt is not yours.
Can you protect a structured settlement in a chapter 7 bankruptcy?
Yes you can protect it under chapter 7 bankruptcy
What are the limits for collecting maintenance fees for property owners association?
Limits can be interpreted in multiple ways in your question.Limits to the amount of assessments are managed by owners who vote against annual budgets. Every owner is best advised to understand how much it costs to operate the association, to protect it, to maintain it and to preserve everyone's real estate investment.Limits as to collecting unpaid assessments usually reach as high as selling a unit or a home to collect unpaid assessments. This is usually a last resort, after all other collection options have been exhausted by the board.Read your governing documents to understand how to become involved in the budget process, so at least you understand what your assessments pay for, and further, to understand your board's responsibility to collect assessments that you owe.
Can a homeowner association advertise that you owe fees?
Your answer depends on the location of the association. In the orient, past-due owners' names are posted in every elevator waiting area. In USA, certain privacy laws protect your reputation as a non-payer. Read your governing documents to determine your responsibility to pay your assessments, and to learn more about the association's responsibility -- and actions they must follow -- to collect them.
How do you collect unpaid condo fees?
Follow the stipulations as they appear in the condominium agreement signed by the owner. These are called governing documents. Best practices dictate that the association work with their association-savvy attorney to collect unpaid assessments. That partnership means that the association will follow its own guidelines, and that the owner will pay all costs associated with collection, and ultimately, if necessary, the proper lien filed in order to protect the interests of the association.
Can a Homeowners Association declare bankruptcy?
Yes. The stakeholders, however, are all jeopardized by this action, so care must be taken to protect owners. A common interest community attorney should be involved in the process to support owners' interests.
If a condo management company places a lien on your condo will you be locked out of it?
First, the conodminium association placed the lien, the management company just did the paperwork. A lien is placed on your condo to make sure you can't sell it without the back debts being paid. It is done to protect the association. This is usually done when assessments aren't paid on time. If you have fallen behind on your payments, then the association can withhold certain services, possibly even turning off utilities (depending on your documents and state law), but can't lock you out of your home. They can, however, foreclose on your unit if assessments continue to go unpaid.
