Lynn, Both Buyer and Seller in Waukesha County, WI

Our condo board foreclosed on property for unpaid monthly assessments. Sometime in 2012 the mortgage company will forclose and take property back.

Asked by Lynn, Waukesha County, WI Mon Dec 12, 2011

Is there any way that our Condo Association will be responsible for unpaid 2011 taxes?

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Answers

2
OK your condo board should not have been able to foreclose without paying off your mortgage company (the first lien holder), yes Eric is right the mortgage company may have paid off the Condo Assoc. and you still have a mortgage but you had better check because if the Condo Assoc did obtain a foreclosure they would own the property.

Good Luck
Bob Patrick
Buy a home after foreclousre, short sale, deed-in-lieu-of or bankruptcy expert
Movin-On LLC
Helping families/people that have lost their home get back into another in as little as 6 months
0 votes Thank Flag Link Tue Dec 13, 2011
Yes, that is certainly a possibility. The first lien on the property is usually the mortgage, and if there is a foreclosure, it can wipe out most other liens (not taxes). The winner at the foreclosure auction gets the property cleared of the other liens but they start accruing to the new owner immediately. This assumes that the property sells for no more than the mortgage amount, penalties, and fees. If the property sells for more, the additional funds are used to pay other liens, etc., and lastly, the prior owner gets any remaining proceeds.
0 votes Thank Flag Link Mon Dec 12, 2011
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