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Old 05-15-2013, 09:46 AM
 
3,955 posts, read 5,091,734 times
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I'm interested in acquiring a piece of property somewhere that I used to live.

I've noticed it up on Auction from Orange County, with the Plantiff being the condo association HOA.


Obviously there must be back dues and possibly taxes on the property- and I've been advised to go with title insurance no matter what I acquire... but out of curiosity, how does it work when an HOA seizes a home?

What real right of ownership do they have? and what becomes of the obligation the original homeowner has to their bank?

I also wonder if I should let the HOA know I'm interested in the property... or in essence by going to auction do they have an interest in making money, or just unloading the property.

Last edited by WithDisp; 05-15-2013 at 09:49 AM.. Reason: added data
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Old 05-15-2013, 12:51 PM
 
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If you do not understand the auction process and the number of leins on the property, you most likely will lose money.

Tread VERY carefully!
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Old 05-15-2013, 03:44 PM
 
3,955 posts, read 5,091,734 times
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Hence asking questions beforehand.
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Old 05-15-2013, 07:01 PM
 
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I would assume someone from the bank/mortgage holder will be there as well. You could look in the county comptroller's website to get an idea regarding all the liens and notices granted to the property. If I were you it certainly can't hurt to consult with a real estate attorney before going this process.
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Old 05-15-2013, 07:11 PM
 
Location: Windermere
82 posts, read 205,380 times
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One of my clients had a contract to purchase a short sale in Dr. Phillips that ended up getting foreclosed on by the HOA. A gentleman ended up purchasing it for $17k at the auction thinking that he purchased the home free and clear for $17k. (He said he had the title searched from a friend in the business, but it definitely wasn't done correctly.) Anyways, the gentleman that purchased it didn't realize that his purchase was towards the HOA and it then included a $400k loan that needed to be paid back to the bank. Also, he later learned there was a tenant in the property who had stopped paying rent and last I heard he was trying to get him to leave the property.

I would definitely speak to a real estate attorney before moving forward.
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