Thinking of bidding on a house or condominium at a foreclosure sale?
Beware- you may be liable for thousands of dollars of unpaid assessments. Just because a homeowners or condominium association may have been a defendant in the foreclosure lawsuit (and mentioned in the final judgment) does not mean that such association’s lien for unpaid assessments owed by the prior owner(s) against the property has been eliminated or otherwise terminated by the foreclosure judgment. In many cases, there may still exist a lien for past due assessments owed by the prior foreclosed owner and as a purchaser at foreclosure sale, you may be liable for payment of the lien.
The law is changing in this regard, so you should contact an attorney at Gibbons Neuman for guidance.