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C

condo

Guest
HomeGuru:
Situation: 3rd lienholder on close relative's unit; unable to come up with $30M special assessment; HOA threatening foreclosure.

If we allowed HOA to foreclose: Specifically, under what circumstances could my lien be paid?
Could HOA sell for any $ amount at sale regardless of liens once they take possession?--if up for bids, would I have priority and would I be obligated to cure HOA assessment?
If I filed foreclosure after HOA, is it possible that I would be "awarded" possession without curing the HOA assessment?--would my foreclosure supercede HOA's?
How do courts determine possession and how is the new Buyer determined?

If I file foreclosure PRIOR to the HOA: Would this ensure my possession? (1st & 2nd would remain current)
Would I be obligated to the HOA assessment?
Could I then sell on open market?
Could HOA prevent sale by reattaching the special assessment to property? (no buyer would consider above market price)
Could a senior leinholder bump me out if I foreclose or if HOA forecloses?

If owner filed a Homestead would it supercede special assessment and protect the prior liens and/or equity? (HOA lien has not been filed yet)

Alternatives on how to take possession of property and secure my interests without being liable to the HOA?

what is my best action plan?

If HOA forecloses, regardless of insufficient equity to payoff, how would they be further be able to seek personal collection? Doesn't the single action rule in California allow either go after property or person, but not both?
 


HomeGuru

Senior Member
<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by condo:
HomeGuru:
Situation: 3rd lienholder on close relative's unit; unable to come up with $30M special assessment; HOA threatening foreclosure.

If we allowed HOA to foreclose: Specifically, under what circumstances could my lien be paid?
Could HOA sell for any $ amount at sale regardless of liens once they take possession?--if up for bids, would I have priority and would I be obligated to cure HOA assessment?
If I filed foreclosure after HOA, is it possible that I would be "awarded" possession without curing the HOA assessment?--would my foreclosure supercede HOA's?
How do courts determine possession and how is the new Buyer determined?

If I file foreclosure PRIOR to the HOA: Would this ensure my possession? (1st & 2nd would remain current)
Would I be obligated to the HOA assessment?
Could I then sell on open market?
Could HOA prevent sale by reattaching the special assessment to property? (no buyer would consider above market price)
Could a senior leinholder bump me out if I foreclose or if HOA forecloses?

If owner filed a Homestead would it supercede special assessment and protect the prior liens and/or equity? (HOA lien has not been filed yet)

Alternatives on how to take possession of property and secure my interests without being liable to the HOA?

what is my best action plan?

If HOA forecloses, regardless of insufficient equity to payoff, how would they be further be able to seek personal collection? Doesn't the single action rule in California allow either go after property or person, but not both?
<HR></BLOCKQUOTE>

You have asked a bunch of questions yet failed to establish a foundation. I need to know what your position is with respect to the circumstances. Are you the property owner or a lienholder? And if a lienholder what position do you have? Before posting your list of questions, you need to first establish the facts so that the issues surrounding your case can first be understood before my advice can be provided.

Try getting a stranger to read your post. I still do not have enough facts to be able to help you, that is if I can help you at all.
 
C

condo

Guest
<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by condo:
HomeGuru:
Situation: 3rd lienholder on close relative's unit; unable to come up with $30M special assessment; HOA threatening foreclosure.

If we allowed HOA to foreclose: Specifically, under what circumstances could my lien be paid?
Could HOA sell for any $ amount at sale regardless of liens once they take possession?--if up for bids, would I have priority and would I be obligated to cure HOA assessment?
If I filed foreclosure after HOA, is it possible that I would be "awarded" possession without curing the HOA assessment?--would my foreclosure supercede HOA's?
How do courts determine possession and how is the new Buyer determined?

If I file foreclosure PRIOR to the HOA: Would this ensure my possession? (1st & 2nd would remain current)
Would I be obligated to the HOA assessment?
Could I then sell on open market?
Could HOA prevent sale by reattaching the special assessment to property? (no buyer would consider above market price)
Could a senior leinholder bump me out if I foreclose or if HOA forecloses?

If owner filed a Homestead would it supercede special assessment and protect the prior liens and/or equity? (HOA lien has not been filed yet)

Alternatives on how to take possession of property and secure my interests without being liable to the HOA?

what is my best action plan?

If HOA forecloses, regardless of insufficient equity to payoff, how would they be further be able to seek personal collection? Doesn't the single action rule in California allow either go after property or person, but not both?
<HR></BLOCKQUOTE>


Yes, lots of questions...I am seeking out advice. I am the 3rd lienholder. My son is the property owner. My name does not appear in any title, only a DT. Protecting the owner to certain extent(s)in this case is same as protecting my interests in property. He is current with both first & second mortgages and will continue to do so...and for as long as it takes for me to foreclose, if that is the chosen course of action. Then I will resale the property on the open market--not at foreclosure sale--and pay off the 1st/2nd and recoup all my monies as well, hopefully. However, there is not a market to sell the property to cover all this and an additional $30M. Impossible. I am uncertain as to what extent you are looking for a "case". This is my position and I am looking for advice on how to collect on my mortgage--whatever course of action would be the most probable to ensure collection in my behalf is what I am hoping to find.
The HOA is a separate story in and of itself. $1.5MM cost overruns on a reconstruction project and still counting. Mismanagement, negligence, etc. etc. But my immediate concern is collecting my mortgage, nothing else.
I am uncertain as to what is meant by "having a stranger read my posting"...isn't this posted for precisely that? Or am I misinterrupting this site?
 

HomeGuru

Senior Member
<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by condo:

Yes, lots of questions...I am seeking out advice. I am the 3rd lienholder. My son is the property owner. My name does not appear in any title, only a DT. Protecting the owner to certain extent(s)in this case is same as protecting my interests in property. He is current with both first & second mortgages and will continue to do so...and for as long as it takes for me to foreclose, if that is the chosen course of action. Then I will resale the property on the open market--not at foreclosure sale--and pay off the 1st/2nd and recoup all my monies as well, hopefully. However, there is not a market to sell the property to cover all this and an additional $30M. Impossible. I am uncertain as to what extent you are looking for a "case". This is my position and I am looking for advice on how to collect on my mortgage--whatever course of action would be the most probable to ensure collection in my behalf is what I am hoping to find.
The HOA is a separate story in and of itself. $1.5MM cost overruns on a reconstruction project and still counting. Mismanagement, negligence, etc. etc. But my immediate concern is collecting my mortgage, nothing else.
I am uncertain as to what is meant by "having a stranger read my posting"...isn't this posted for precisely that? Or am I misinterrupting this site?
<HR></BLOCKQUOTE>

Your issues are both convoluted and complex, and specific answers can not be provided without a complete background history and specific detailed information. Therefore you would be better served by hiring your own real estate attorney.
Facts the attorney would need include but are not limited to a title report, amount of your lien, principal balances of the first and second mortgages, any other liens including the HOA assessment, litigation and/or other problems of the HOA, market value of the property, State Statutes and case laws with respect to HOA rights to foreclose and if HOA liens are subordinate to or take priority to recorded liens of primary and secondary mortgage lenders, judgments, etc.................
You want to protect the owner (your son) and at the same time foreclose on him to protect your interest in the 3rd mortgage. This is an example of complexity and complication. Due to the fact that you have not provided any real numbers, it may be highly likely that in a foreclosure, your 3rd mortgage would be wiped out if there is insufficient equity in the property or if a foreclosure sale price is a lot lower than merket value and only enough to cover the first 2 mortgages. Then comes additional problems with the HOA expecting each owner to pay a prorated share of common expenses for building renovation and repair work, attorneys fees, accounting and management fees etc.

The "stranger reading your post" comment was made to remind you that most if not all of the readers of your post have no idea as to the history and background of your situation. That is why details are so important to establish the foundation and understanding of your specific issues.
 

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