DO I HAVE TO CONTINUE PAYING HOME OWNER'S INSURANCE AND ASSOCIATION FEE IF I AM FORECLOSING MY HOUSE?

Asked by Imelda, 92081 Wed Jul 1, 2009

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7
Tara Steinke, Agent, San Diego, CA
Wed Jul 1, 2009
From an integrity stand point, yes, you should. However, there is really no recourse on the HOAs behalf other than to place a lien on the property. Which, if it's foreclosed, will then become the burden of the foreclosing bank. If you are living in the property, then I would continue to have insurance because this also covers your personal belongs (the amount of that coverage set by you and is factored into the premium). And by law, I believe you need to have hazard insurance and could face a law suit should something happen.

Tara

Tara Steinke
Residential Sales & Appraisal
Covering all of San Diego County
619-384-6014
SDRealtor.Tara@gmail.com
Web Reference:  http://san-diego-homes.net
1 vote
Ben Nicolas, Agent, Los Angeles, CA
Wed Jul 1, 2009
you are supposed to yes, if you are living there and using community resources it is very unfair to the rest of the homeowners for you to be living there and not paying...
Web Reference:  http://www.ietrealestate.com
1 vote
Daniel Choi, Agent, Los Angeles, CA
Tue Sep 20, 2011
I advise my clients to keep paying as long as they are living at the property and for the duration of the short sale. Nowadays, HOA have begun filing foreclosure actions and in many instances have foreclosed on properties themselves. It was unheard of few years back.

Your short sale agents should be trained to deal with these issues and bring to a conclusion that favor all parties involved.

Good Luck !

Daniel Choi
http://foreclosuremission.blogspot.com

Nextage Capital Advisors
0 votes
Diane Wheatl…, Agent, Upland, CA
Tue Sep 20, 2011
You should pay your homeowner's insurance and HOA fees on your property as long as it remains in your name on title. Once title transfers to the either the bank or another homeowner, you are off the hook for additional assessments. But that does not negate your responsibility towards any fees charged to you while you owned the property. You own it until you don't.

Hope that helps a bit. Good luck to you!

Diane Wheatley, Broker
diane@moveupproperties.com
0 votes
Heather Paul, Agent, Santa Monica, CA
Sat Mar 26, 2011
One last thing, Anthony is right on, you should attempt to do a short sale if possible. This will be better for you all ways around. I would highly recommend you speak with a local real estate agent to find out what options you have and then go from there.

Once again, good luck!
0 votes
Heather Paul, Agent, Santa Monica, CA
Sat Mar 26, 2011
I agree with Tara completely, however if you do not pay them they will be the responsibility of the banks. There are some circumstances when the HOA can attempt to still comes after you for the payment. And as she states, the homeowner's insurance protects you.

Best of luck to you!
Heather Paul, Realtor
Coldwell Banker
(310)586-0364
(424)625-1037
0 votes
Anthony Allen, , District of Columbia
Wed Jul 1, 2009
Technically yes, you should, will they kick you out any faster no. I would urge you to visit my blog on what a foreclosure will do to your credit. I would also suggest you explore doing a short sale vs foreclosure. I am affiliated with a company that purchases pre-foreclosure homes cash. This option costs you nothing and with new federal regulation you could receive $1,000 in assistance.
0 votes
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