HOA Post Foreclosure Options:

 


Cash For Keys:


The HOA may offer the occupant of the property a specified amount of money in exchange for vacating the property within a specific amount of time and leaving it free and clear of personal property and trash. This option is usually less costly and less time consuming than an eviction but the occupants do have to agree to it.

Eviction:


Often times the HOA's only option is to evict the occupants. The timeline and cost for evictions can differ depending on what County the property is located in and who the property is occupied by. Our office and the attorneys that we use are very skilled with both tenant occupied and former owner occupied evictions. Some Counties such as Los Angeles County and its unincorporated areas have very specific laws concerning tenants. We are also very well versed in these laws and can walk you through your options as well as the procedure step by step.

Rent:


If the property is tenant occupied, the HOA may want to consider renting to the tenant as this will help them collect monies to put towards the past due balance while waiting to see how the senior lender proceeds. In Los Angeles County and the surrounding unincorporated areas, if the property is tenant occupied, you must honor the current lease and once the lease has expired, you must extend it for another year. If the lease is month to month, you must continue to rent month to month until either you are personally planning on occupying the property in which case you can give a 90 day notice to quit or until the tenant fails to make rental payments under the terms of the lease. Our office can collect the rents for you and if the payments are late or if the tenant stops paying, we will send out the applicable notices and begin the eviction process.

Short Sale:


Just as the former owner can short sale his property before the HOA takes title, the HOA may also market and try to short sale the property once they take tile. This will be dependent on the senior lender as to whether or not they are willing to work with the HOA but it does not cost the HOA anything to try.

Standard Sale:


In the event that the property does have equity in it, the HOA is able to sell the property in a standard sale. The up side to a standard sale is that you can pay off the senior lender in full and not have to negotiate a short sale and the HOA gets to keep any excess funds above and beyond what is owed to the senior lender. Our office is able to help you determine whether or not the property has any equity.

S.B.S. and our sister company Platinum Real Estate Network, Inc. are happy to help you with all of your post foreclosure needs.

 

Please feel free to contact us Toll Free 800-678-7171 should you have any questions or concerns!