Tuesday, November 1, 2011

NCC BOD files 2nd foreclosure action against an Owner

For the 2nd time our Board of Directors has initiated a foreclosure against an owner. This time it is against Rodney Smith of unit #306, previously NCC has filed against Karen McRitchie Case 11001134CA.

In my opinion the NCC BOD should NOT be taking hositle actions against Owners in initiating foreclosures which will drag on for years and run up expenses we do not need to incur.  We already have liens against delinquent Owners, some have 2 liens against their units and we do not need to take such hositle actions against Owners. 

Smith has an existing lien for $3,6677.94 filed 12/20/10.  We will eventually get our liens paid when the banks/mortgage companies file for their foreclosures, clear title can NOT pass until our own liens are paid off. 

Let those holding the mortgages do the heavy listing, we do not need to get involved other than filing liens on the delinquent condos.  This is a poorly thought out course of action and should STOP.



Recent decisions have been The BOD are continuing to make unfortunate decisions.    Here are 3 examples:
1)  Voting 3-0 to give Concord Management a 3 year sweetheart deal to act as our management company,
2)  Voting 3-0 to give away valuable clubhouse office space to the Developer to use pretty much forever,
3)  Starting the Association on the path of foreclosing on delinquent Owners

The first two items are unfortunately already done, the 3rd is underway with 2 foreclosures already filed and I have written both on the this blog and copied to all 3 BOD members that these actions are NOT in the best interests of the condo and should immediately cease and no more foreclosure actions should be filed.  Try 'googling' the problem and you will come up with advice such as this:

HOA foreclosures climbing as associations seek 'revenge' on delinquents

May 11, 2011
By Kimberly Miller, The Palm Beach Post

Fed up with late dues and mounting maintenance bills, some homeowner associations are motivated by spite, over sound business sense, to foreclose on delinquent owners.

Property managers and condo board advisers say taking title to a property for a few thousand dollars in unpaid association fees in a "vengeance foreclosure" isn't always the best answer.

The association board also gives up its ability to put liens on the property when it takes title to it and must pay legal fees.

For example, if an association forecloses on a property with $5,000 in late payments, then pays $2,000 in legal costs and $1,500 in fees accrued during the months it takes to foreclose, it gives up a lien that would otherwise total $8,500.

Juan Parra, president of the CitySide homeowners association in West Palm Beach, said when he took the position, the board was paying $18,000 a month in legal fees and had lawyers advising it to foreclose.

"I immediately stopped that," said Parra."
Full article at: http://tinyurl.com/6jfu6vk
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Here are an additional 21 recent foreclosure filings:
(a few of these units have been resold (*) and belong to other Owners, another 3-4 will probably be in foreclosure by years end)

10/01/11 UNIT 306 Rodney Smith  (by Assn.)
07/18/11 UNIT 513 Karen McRitchie  (by Assn.)
07/15/11 UNIT 615 Peachy Gaytin
05/18/11 UNIT 206 Jennifer Jones
12/21/10 UNIT 601 Alamdar Karami
08/20/10 UNIT 607 Denis Varela
07/16/10 UNIT 905 Matthew Hooke
05/24/10 UNIT 106 Jay Davis
02/12/10 UNIT 205 Michael Reed
01/29/10 UNIT 610 David Ellingson
01/05/10 UNIT 213 Brian Clark
12/22/09 UNIT 705 Juan Reyes
10/27/09 UNIT 307 Jeremiah Cahours
10/09/09 UNIT 210 Dan Smith*
09/29/09 UNIT 402 John Crider
09/16/09 UNIT 702 Norman Ussery
09/03/09 UNIT 201 Joseph Kennedy*
09/03/09 UNIT 102 Kyle McKendree*
02/16/09 UNIT 401 John Thomas  (filing dismissed by Judge)
10/22/08 UNIT 305 Patricia Kristoff*
06/20/08 UNIT 506 Fred Grass