🚀 go-pugleaf

In article <un5gs31h1cs9l39avqhj6rphlvm50ufvkp@4ax.com>, Scott in SoCal wrote:

>>Again, when you're dealing with the subprime, they don't 
>>give a shit. The association's lien and attempt to foreclose amount to 
>>nothing.
 
> See? This is what I mean. It obviously CAN and DOES happen - it's
> documented all over the Internet. I posted a link to one such case
> last night. Yet, because you just LOVE to argue, you'll say that it
> doesn't. 
> I refuse to get sucked in anymore. 

Your cite doesn't apply because it was someone who paid CASH for her 
home. I am talking about when the owner bought for zero down, interest 
only, took out a home equity loan for all the equity, etc and so on. 

You have no experience with the process. I've served on a board, I've 
been through it from the board pov. There isn't jack shit a board can do 
to someone who has no money in their property. All the laws work under 
the assumption that the owner has financial stake in it. With the whole 
zero down crapola there's a huge loophole that renders what a board can 
do moot. All you end up with is a legal bill for a lien and maybe a 
foreclosure that is behind that of the mortgage holder. Wooptie do. I've 
had an attorney who deals with this stuff tell me straight up what it 
would cost and that we could expect ZERO on the other side. 

There's a new law in IL that allows an association to go after a new 
owner for back assessments, but its vague and when I went through the 
process, untested. I was told the first association to try and use it can 
expect a $30,000-$40,000 legal bill. 

The bank forecloses and sells the property at auction to an investor who 
attempts to turn it around quick. The board then has to deal with the 
investor and the person he sells it to. I haven't had to deal with a 
property that was f'd up so I don't know how much an investor will fix 
something, but my guess is 'as little as possible'. The investor won't 
have the property long enough for a board to foreclose or even get a lien 
on. A previous lien will be wiped out by the court after the foreclosure 
sale for the bank.