PaulM11 (Washington)
Posts: 1
Posts: 1
Posted:
I am an officer of a really small and generally uneventful HOA (26 households). Historically, we've had little to no regular expenditures, so we haven't had regular collections or dues until this past year. We have had to do a couple special assessments in 2010 and plan on small annual dues to begin in 2011.
Of our 26 households, 5 of them have not made any payments. I am just about completing a final round of late notices before moving on to filing liens. I have already looked into the costs and process a little bit, along with some standard wording and whatnot.
I have a couple questions on how it should generally work if the households never pay (that is, don't ever pay annual dues moving forward) ... or if they pay some annual dues in the future, but never make payment on the past due assessments.
1. If they never pay anything, do I have to re-record or re-file new liens with updated amounts due? Or is it justified to just keep the lien on file at the initial filed amount, and we would be sufficiently covered if the amounts increase year to year?? Essentially, what do you do with a lien if the amounts increase over time - and you are likely to only recoup your money when the house is sold or refinanced?
2. If they, somehow, decide to make an annual dues payment - but not pay the assessments that have the lien against them - are we justified in just accepting those funds for the annual dues, but not applying those monies towards the liens??
The initial expense of filing the lien seems OK, but I'd hate to put the HOA in a required annual cycle to keep filing updated liens if it is not necessary. Thanks!
Of our 26 households, 5 of them have not made any payments. I am just about completing a final round of late notices before moving on to filing liens. I have already looked into the costs and process a little bit, along with some standard wording and whatnot.
I have a couple questions on how it should generally work if the households never pay (that is, don't ever pay annual dues moving forward) ... or if they pay some annual dues in the future, but never make payment on the past due assessments.
1. If they never pay anything, do I have to re-record or re-file new liens with updated amounts due? Or is it justified to just keep the lien on file at the initial filed amount, and we would be sufficiently covered if the amounts increase year to year?? Essentially, what do you do with a lien if the amounts increase over time - and you are likely to only recoup your money when the house is sold or refinanced?
2. If they, somehow, decide to make an annual dues payment - but not pay the assessments that have the lien against them - are we justified in just accepting those funds for the annual dues, but not applying those monies towards the liens??
The initial expense of filing the lien seems OK, but I'd hate to put the HOA in a required annual cycle to keep filing updated liens if it is not necessary. Thanks!