Home Selling in 80134>Question Details

Kathy, Home Seller in 80134

what if I stop paying my hoa? does it hurt my credit?

Asked by Kathy, 80134 Sun Feb 15, 2009

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it depends on whether or not your HOA is legally incorporated. if so,and if we are talking about condo fees,the association could get a lien against your property.
2 votes Thank Flag Link Sun Feb 15, 2009
Yes unfortunately circumstances are not good if you bypass HOA payments as they do have power in many cases to put a lien on the home.
0 votes Thank Flag Link Tue Nov 12, 2013
some HOA fees are ridiculous... however, you stop paying and the HOA can put a lien on the property Typically they will let them go for Several Months then after several notifications to you they will put a Judgement Lien against the property and they are paid when you sell the property.
0 votes Thank Flag Link Fri Oct 11, 2013
Stop paying the HOA, and they can put what is called a Judgement Lien on the title of your home. If you are having any difficulty with payments of any kind, please visit : http://www.HouseHeroColorado.com for information on what to pay first. AMAZING BLOG. Yikes.
0 votes Thank Flag Link Tue Mar 26, 2013
Yes it will, the answers below tell the tale
0 votes Thank Flag Link Wed Jan 16, 2013
This is a bad idea, no matter what you do it can not help you to stop paying your HOA fees. They can ding your credit, put a lien on your property. Plus if enough people did that in your neighborhood it will effect your property values.
0 votes Thank Flag Link Mon Jan 7, 2013

Why would you stop paying your HOA fees? It will definitely affect your credit. I am sure they will report it to the credit bureaus and also have the ability to put a lien on your property. If you are having difficulty you can call them and try to make some arrangements. But to just stop paying them is not a good idea. Hope everything works out for you.

Robert McGuire ASR
Your Castle Real Estate
Direct - 303-669-1246
0 votes Thank Flag Link Sun Nov 25, 2012
What's your reason for not paying your HOA? HOA's do have the ability to report and damage your credit and also put a lien on your property.
0 votes Thank Flag Link Mon Nov 19, 2012
Some HOAs are very aggressive about collecting past due HOA fees. In most cases this will adversely affect your credit and may keep you from qualifying to purchase another home for up to three years or more.
0 votes Thank Flag Link Mon Sep 10, 2012
It is a very risky thing. They can take a lien on the property and send it into foreclosure to pay the balance. What are the circumstances?
0 votes Thank Flag Link Fri Aug 24, 2012
Unfortunately, the right answer may be to walk away from it all.
A bad credit score is so common now that you are not in the minority.
If I had the choice of paying $50K for nothing or having a bad credit report for a few years...I'd keep my 50K
0 votes Thank Flag Link Fri Aug 24, 2012
Unfortunately the HOA can put a lien on the home if they choose to- try to work something out with your HOA.
0 votes Thank Flag Link Wed Jun 13, 2012
It really all depends on the association. If they are having financial issues they may not spend the time and money to do anything. I'd give the unit back to the bank and buy another one for half the price.....
0 votes Thank Flag Link Mon Oct 25, 2010

The HOA and other creditors form a line at foreclosure. You have several options available to you in Colorado. The first should be to speak with a HUD counselor. You should do this whether or not you have an FHA loan. Get the certificate from the HUD counselor, and if you are considering a short sale, take your Realtor with you. Depending upon the action(s) you are going to pursue, of which there are several, you can decide if paying the HOA or any other fees make financial sense for you. Should you decide upon a short sale which is agreeing/negotiating to sell for less than you owe, you want to consider what happens to your credit after the timeframe of the credit hit. You can get back into the market quicker if you protect your credit. For the time you are in credit distress, keeping your score as high as possible will most likely improve the interest rates charged for credit cards and auto loans.

We know this is a difficult time for you, so getting good sound and objective advise from the correct professionals is paramount o forming your exit strategy from the house. I know I didn't answer your HOA payment question, but I don't have the full picture to give you that advise.

0 votes Thank Flag Link Wed Sep 22, 2010
The HOA can put a lien on your home for the past due amounts owed to them. Here is a great page you should read from the Condo Association Management Blog this is just a clip from it:


Notice of Intent to Lien.

The Notice of Intent to Lien is normally sent to the delinquent owner by the management company or, if the Association is self-managed, by the Association Treasurer. It serves as both a warning regarding the imminence of liening the unit and the final non-legal request for the co-owner to become current in payment of his assessments.

To read more go to: http://www.condoassociation.com/blog/tabid/19257/bid/9229/Co…

Kathy weigh all of your options and make the best most well informed decision, good luck!

Jennifer Ricco
0 votes Thank Flag Link Sun Feb 21, 2010
but im already in foreclosure it will still hurt me if i stop paying hoa,,,, ?

0 votes Thank Flag Link Sun Feb 21, 2010
I am in exactly the same situation! 112k condo conversion I bought in Tampa. Its worth 50K or less now and only 80 of 300 units sold! The bank owns the remainder after the owners foreclosed and they are only leasing now! What did you end up doing??? I am stopping mortgage payment, but was considering tax and HOA as well as my tax is not escrowed. Have you looked into the tax penalties when the house does eventually sell at auction? Did you know that you could be liable for a deficiency that could occur? I just started researching this but I'd be interested to know if other people that foreclosed have had luck getting out of major tax issues post-foreclosure!
Let me know!!!
0 votes Thank Flag Link Sun Oct 25, 2009
My condo community has reverted back to renting. Condotopia is now ghettopia. The owners had the property reassessed by the city(JAX, FL) to less than half the selling price. $100,000 is now 47,000. Short story: I can't give my condo away now. Community upkeep is steadily going down. Police calls steadily going up. I'll never be able to sell nor will I ever buy again (I'm 56 & single). I don't think it wise to drop another dime in my home and I view the mortgage (650.00) as rent control. I am thinking of no longer paying the HOA fees (135.00 monthly) to cut my loss. A lein on the property would be meaningless to me. Going to collections and foreclosure before I am ready to leave would be a problem. I'll be dead before I could sell it at a profit and do not want to burden my daughter with the problem. I have a standard 5.5, 30 yr mortgage so their is no bail out for me. Is there a better solution???
0 votes Thank Flag Link Tue Jun 16, 2009
HOA Lien= Judgement = Bad Credit!
0 votes Thank Flag Link Thu Jun 11, 2009

As previously stated, if you have an issue with your HOA it should be handled through a real estate attorney. The lack of payment will most certainly impact your credit and can result in a lien against your property. In Colorado, HOA dues take the position of a "super lien" for the most recent 6 months, so the HOA must be paid prior to any other creditors in the event that you were to default on other obligations as well.
0 votes Thank Flag Link Mon Feb 16, 2009
Hi Kathy -

If I was you, I would definitely pay my HOA fees -

Yes, it will affect your credit score and
Yes, most HOAs can place a lien on your property and foreclose on your home due to lack of payment - read your HOA document and it will spell out what HOA will / can do if you don't pay the HOA fee.

If it's like previous answer where you might have disbute with HOA - there are other ways to resolve the issue rather than not paying HOA fees - get an attorney for that if you need advise....
0 votes Thank Flag Link Sun Feb 15, 2009
Sylvia Barry,…, Real Estate Pro in Marin, CA

Any unpaid bills can potentially impact your credit rating negatively.
0 votes Thank Flag Link Sun Feb 15, 2009
I recommend that you read your HOA documents which will detail the course of actions available to the management company for non-payment of dues. You should also speak to a real estate attorney in your area for advice. Good luck.
0 votes Thank Flag Link Sun Feb 15, 2009
Hello Kathy,

In my non attorney opinion, that would be the last thing I would stop paying. If you're losing your house, maybe it doesn't matter. If you're going to sell it short, then you need to keep new liens off of it. I believe you should do everything possible to pay your HOA dues. Definitely call an attorney for advice. Hopefully, I am reading more into your question then what's there. Maybe you're just having a dispute with your HOA. I wish you the best of luck.

0 votes Thank Flag Link Sun Feb 15, 2009
It depends if they report it to the credit agencies. More than likely they will just put a lien on your property.
Good Luck!
Boyenga Team
0 votes Thank Flag Link Sun Feb 15, 2009
Read the HOA restrictions in full.

If you stop paying HOA does not make other families happy of lack of participation. HOA will lien your home in some instances make attempts to foreclose.
Web Reference: http://www.lynn911.com
0 votes Thank Flag Link Sun Feb 15, 2009
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