The takeover of foreclosed units by condominium and homeowners associations to rent them out and recoup delinquent fees has been one of the fastest-growing solutions to the rise in foreclosures. But it’s not without cost.
Here we explain what your HOA board needs to know about the risk when acquiring a unit for rental and the expense involved in foreclosing on a property to rent it out.
The Pros and Cons of Foreclosing to Rent
There’s no easy answer when it comes to deciding whether your HOA should foreclose on units with the intent to rent them out because lenders are slow-walking the foreclosure process.
Five Signs of Fraud or Financial Sloppiness for HOAs – Know the Signs of Financial Shenanigans
Typically before HOAs learn of fraud or financial ineptitude on the part of their treasurer or manager, there are small signs that should have been red flags. Here we provide five signs that your HOA funds may be in jeopardy.
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