In Ocean City you are predominantly referring to the Condominium Association dues that are past due from the current owner. I had a circumstance where the buyer was buying a foreclosed property and the position of the condo association was that the past due condo fees were an "uncollectable debt" from the owner, so the association was not pursuing the owner. The plan of the condo association, was to take the monies that were past due, and pro-rate them among the existing owners. Neither the lender, nor the new purchaser paid those past due fees. However, the new owner was paying a portion of them by having their condo dues increased to make up the short fall. Do your homework! Bank foreclosures and short sales can be very complicated, and quite time consuming. Work with a real estate professional that has had experience in dealing with these types of sales.