Posted by Garrett Sutton on February 20, 2005 at 15:37:45:
The answers will be found in the CC&Rs of the Homeowner’s Association and the Michigan statute on Homeowner’s Associations. In Nevada, for example, the Homeowner’s Association may use an outside collection agency. If you sell the property without disclosing the collection issue you will be held reponsible of a material misrepresentation. As well, the Homeowner’s will probably have some mechanism in place to insure payment prior to a transfer of title. In almost all cases the prior owner will be held responsible for the payment. Good luck with it, Garrett
Posted by Greg-MI on February 16, 2005 at 16:51:17:
Thanks in advance for any and all help,
My question is if a homeowners assoc. forecloses on a property for unpaid dues is the previous owner still responsible for any part of the old assoc. fees. The taxes are up to date and there is no mortgage But the property is only worth a little more than what the past dues are. The scenerio is that the homeowners assoc has contracted a collection agency to try and collect the past due fees from approx 50 owners of vacant property in this delevopment. Is this legal or are they supposed to use the foreclosure process and obtain title to satisfy the unpaid dues. I also would like to know if the property is sold who is responsible for the past due fees, the owner before the sale or the new owner. Thanks again Greg
P S the property and owner are both in michigan