Chapter 31 - Super Priority Liens
March 08, 2013
If a homeowner has fines or liens levied against their home, they are unable to sell their home unless these are satisfied. The HOA has what is called a Super Priority Lien against any home in the community that is not in good standing. Other people or organizations may not get paid, but the HOA will always get paid and first. Most bankers and real estate agents do not know what a Super Priority Lien is.
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Chapter 32 - Stopping loans
March 08, 2013
BANKS-don't loan to developers who want to build a HOA community!
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Chapter 33 - HOA Meetings
March 08, 2013
There are two sections to a HOA Board Meeting: An open meeting in which homeowners are able to participate and an Executive Board Meeting in which homeowners are not able to participate. During the Executive meeting the Board Members discuss homeowners discretions and possible fines and liens. This is confidential information for Board Members only.
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Chapter 34 - Who does the board consist of.
March 08, 2013
Any homeowner in good standing in the community can run for the board and homeowners participate in the election process. The Board Members' role is to enforce the CC&Rs. Some board members get great pleasure from their new found authoritative role.
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Chapter 35 - New Terms - Equity Theft
March 08, 2013
This is a relatively new term in which people or organizations steal a person's equity, leaving that person with the debt. Mr. and Mrs. Jones pay their assessments on time, but they forget to close their garage door. This leads to a fine. For whatever reason the fines are compounded. Who profits from Mr. and Mrs. Jones discretion, the management and collections companies.
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Chapter 36 - Assessment
March 08, 2013
Assessments are dues paid to the HOA on a monthly/yearly basis. The assessments pay for the management company, common area up-keep, special assessments. If a homeowner lives in an association that has a Master Association and a sub-association then they pay two assessments.
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Chapter 37 - Pay Protest
March 08, 2013
Again, Dr. Solomon stresses that he is not an attorney, but recommends that each time a homeowner sends in their assessment payment or pays a fine, that they write in the memo section-"Paid Under Protest". If a homeowner must go to court then they have documentation letting the courts know they did not want to pay the assessment or felt the fine was unfairly levied.
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Chapter 38 - Retaliation
March 08, 2013
Many homeowners in a HOA are fearful of retaliation if they speak out against their HOA. There are legislative laws against retaliation, but they are not always followed. Remember, write "Paid Under Protest" on your check and send it by certified mail. Send a demand letter requesting the return of your fine payment. If refused then take the HOA to small claims court.
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Chapter 39 - Foreclosures
March 08, 2013
Foreclosure, and even the threat of foreclosure, is a nightmare for homeowners. Read your CC&Rs and state laws regarding foreclosure. In many states a home can only be foreclosed upon if the homeowner doesn't pay their assessments. First the homeowner is fined, then the property is liened and after being sent to collections, the property can be foreclosed.
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Chapter 40 - More collection company
March 08, 2013
A bad day for a collection company is when they are not sent any fines or liens from the HOA and the HOA management company.
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