QUESTION

What are my options if the HOA foreclosed on my property in FL and bought it back for $100? Should I continue paying the mortgage?

Asked on Nov 04th, 2011 on Residential Real Estate - Florida
More details to this question:
I purchased my condo in Florida in 2007 and in 2008 fell behind the Home Owner''s Association fees due to change in income. They foreclosed on the property and a sale date was set for 9/27/11 and they bought it for $100. I am current on my mortgage but I''m in a quandary as I do not know if I should continue to pay the mortgage. I filed a motion to object to the sale and I''m yet to get a court date. Please advise.
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1 ANSWER

Probate & Trust Attorney serving Fort Lauderdale, FL at Parady & Zikakis, P.A.
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Based upon the limited facts in your question, it appears that you no longer own the condo unit since the association acquired it at the foreclosure sale. Your limited facts suggest that the association was the sole bidder, hence the nominal $100 stated bid.  It is unfortunate that you did not defend the association's court action against you because it appears that unless you are successful with your "motion to object to the sale", then you have lost your ownership interest in the condo unit. If you no longer own the condo unit, then you are making the mortgage payments on property you do not own.  However, if you stop making the mortgage payments, then you are at risk not only of another foreclosure judgment but also a judgment for the deficiency (i.e., the difference between the total you owe on your bank loan and what the lender is able to obtain on the sale of the property less expenses). Based upon the limited facts and assuming no other material issues and further assuming that you wish to keep the condo unit, you should also try to negotiate a resolution with the condo association for you to keep the unit.   The foregoing is specific to the law and procedure in Florida. This response does not constitute legal advice as the facts presented are limited and unstated facts will likely impact your particular situation.  This response is intended for general education only and does not create an attorney-client relationship. Please schedule a consultation with a local attorney for more specific and detailed answers to your legal issues.  
Answered on Nov 07th, 2011 at 1:40 PM

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