HOA fees?

[Martha13]

We are planning on surrending our home, and it just dawned on me this morning I'm not sure what to do about the HOA fees? I just emailed my atty, but as we all know, we want input immediately, so I'm asking if anyone else knows. Do we continue to pay them until we physically move out? Do we pay them until the house is officially foreclosed upon and is "bank-owned"? We aren't behind on the fees...I'd completely forgotten about them until today, when I was about to mail a check. I checked our paperwork, and there wasn't a place to list them, except a section under monthly expenses. Thanks.

[AngelinaCat]

This is just a guess on my part as we don't have to worry about HOA fees, but if I was surrendering the house, I think I would skip paying the fees, and if the fees follow you and not the house, list the HOA as creditors and start saving that money for the attorney or an emergency fund. I am sure someone else will have a different opinion.

Good luck.

[getouttadebt]

I don't know the real answer either. We already moved out of the house we are surrendering. I called the HOA and told them we filed and have moved out. They said if we don't pay, then they will send our account to collections. Who cares? My credit is so damaged because of the BK. I asked my attorney if we can just add the Property Management Company for the HOA to our list of creditors....so far, no answer. I am not going to pay my HOA dues for the July - Sept quarter though.

Anyone else have the answer we are looking for?

Thanks,
getouttadebt

[HHM]

In most states, HOA dues are attached to the property, not the owner. The usual recourse for HOA's is to lien the property and when the house transfers to the bank in foreclosure, that lien is extinguished, and if there is any lingering personal liability, it would be discharged in BK.

[Martha13]

HHM, thank you so much for your reply. Will I be in danger if the property mgmt co wasn't listed as a creditor? We filed yesterday, and I hadn't listed them anywhere other than under monthly expenses..The atty hadn't mentioned it, and it didn't even occur to me til today.

[getouttadebt]

I am in CA and talked with the Law Clerk for my attorney today. She said HOA dues are indeed my responsibility until I no longer own the home. Meaning the only debt that can be discharged is any amount due until the filing date. I am responsible for after the filing date until the foreclosure process is complete. Now I have to pay the Jul - Sept quarterly dues. Your state my work differently, but I have to pay it here in CA.

getouttadebt

[Joe Farmer]

WRONG. HOA fees will attach to the house.

Stop paying them! Whoever buys the house, or the lender that forecloses, will have to pay the billl.....Stop thoriwng good money after a lost cause!!

[scmami]

HOA Dues

We were told by our attorney to list our HOA fees as a debt (other monthly expenses) and don't worry about them after that. Ours are actually 6 months past due and the HOA is going to put a lien on our house, but we'll be surrendering the house so we don't care!

[Joe Farmer]

HOA fee clarification-

If you are KEEPING your house, you CANNOT discharge old HOA fees. Maybe that's the confusion here? If you are not keeping your house, they will eventually be have to be paid by the lender or the next buyer.

[Martha13]

[BearChaser303]

This has been my experience, so far. I have had to pay the HOA from the date I filed until I am no longer the owner which hopefully will be this month.

[Dave C.]

Foreclosure H0A

If you're considering bankruptcy on account of the house and the house the primary reason. I would suggest you rethink, with the amount houses that are being given back to banks. The banks are now attempting to work out some sort of arrangement that'll work for you and them. Your attorney can assist you with this if he,/she knows how if not there are companies that are popping up around the country that are doing nothing but negotiating with banks to keep you in your home.

Example most banks and mortgage companies are putting your arrearage to the back of the note and cutting your interest sometimes as much as half thereby reducing your mortgage payment hopefully it is something you can live with. Consequently, before you go bankrupt, please look into the possibilities of retaining your home, there are currently 2.4 million foreclosures in United States. Do you really think any bank wants another one? In addition, if the house is not the main reason for bankruptcy you still may want to have someone negotiate alone modification. Therefore, you can discharge for the rest of your debt and retain your home.

[cool33097]

I am in Florida and am behind with my HOA. My atty advised us to list as a creditor, so we did. We are no responsible for the past fees (was listed in the bk) or the feature ones. If you don't list them, they can com after you eve after discharge (happen to my friend).

[fltoo]

Property taxes and in most states, HOA dues "stay with the land."

When the new owner purchases the property, the back taxes, fees, etc. are paid by the buyer or negotiated with the seller. (usually the bank)

Unfortunately, in CA, HOA dues are a personal liability, NOT attached to the property. You defintitely need to listen to your CA attorney on this one.