What should tenant do when HOA forecloses?
In Florida, if the tenant does nothing, the tenant would need to move out when the foreclosure is finished. If the tenant wants to HOA to be obligated to fulfill the balance of the lease term, then the tenant must file and answer and so state in the foreclosure case file.
Attorney Tom Olsen: Howard, you're on News 96.5, go ahead.
Howard: Good morning, thanks for taking my call.
Attorney Tom Olsen: Sure.
Howard: I have a quick question. I'm a tenant and I recently received a copy of the notice to foreclose for the homeowner. It's a foreclosure based on not paying association fees. It's not like a mortgage, it's association fees. I guess my question is, what are my rights? What should I do, in terms of, should I get a lawyer? I just don't want any surprises, you know, having to be evicted or anything. We pay our rent on time.
Attorney Tom Olsen: Howard, the good news is that Rob Solomon is the landlord-tenant at our office and he is standing by to talk to you at 407-423-5561, but a couple pointers about that, Howard. Your property owner still owns it, you are still obligated to pay the rent to your homeowner. Hopefully, your homeowner is going to work it out.
When we had the crash and the courts were concerned about innocent tenants being evicted out of their property by the banks, they created a remedy, that if you file an answer in that mortgage foreclosure lawsuit, then if the HOA does go through with the foreclosure they would be obligated to fulfill the terms of your written lease. If that is of interest to you, then yes, you need to hire an attorney to file an answer and that foreclosure action for you. If you fail to file an answer in that foreclosure action and that foreclosure goes through, they can kick you out at the same time they can take the property away from the property owner.
Attorney Tom Olsen: Okay, Howard.
Howard: Thanks for your answer. I appreciate it.
Attorney Tom Olsen: You are very welcome. Bye-bye.