Legal Question in Real Estate Law in Florida

hi, i won the HOA foreclosure auction at the Court House; but the property had a mortgage. Is it true that I just bought the HOA Lien to the property, and if so, can i put a lien on that property for the same amount I paid, so when the property is sold i get my money back?


Asked on 12/23/10, 1:42 pm

1 Answer from Attorneys

Shelly Schellenberg MI & FL private practice

If the property was sold at the court house, it was a foreclosure action. You have now removed the lien interest of the forecloser, but you are correct that the mortgage and every other prior lien on the property still exists. Any lien that you put on this property will be subordinate to every other lien, (because it will be filed later in time) and if any lien holder (superior to your lien) decides to foreclose, you will be notified. The only way that you will be able to "protect" your junior lien, will be to pay off the superior liens. Unless you want to pay off all of the other liens...you have probably lost whatever amount of money you paid for the HOA dues, AND the HOA can file a new foreclosure action if/when the HOA dues become delinquent again. You have to ask yourself, why didn't the HOA or other lien holders bid on the property. You have entered an area of real estate that is not for novices, and you would be smart to have a real estate attorney look at your documents and title insurance before you spend any more money on foreclosure properties.

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Answered on 12/28/10, 5:13 pm


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