HOA - UNABLE TO ENFORCE REGULATIONS

A neighbor has a house with mortage with a junk yard with oil changes, grills, air compressor and so on. She refuses to pay the fines, HOA dues, or fix the place. However since there it is owned by the bank and there are other liens on it the HOA comes in last. Meanwhile the place is a mess and the HOA can not do anything legally to collect or fix it. This is in Texas and does anyone know of any recourse to get this fixed? The bank is happy to just get a check for no would buy it at the cost of the loan.

If the homeowner is not current on HOA fees then your association should check with their attorney about filing a lien against the property.

The Texas Residential Property Owners Protection Act on Page 6 is an example of potential lien process. However, you need to check with an attorney because in TX it is difficult for us to fully review statutes because various sections will state items such as “within a defined geographic area in a county with a population of 2.8 million or more or in a county adjacent to a county with a population of 2.8 million or more …”.

http://www.statutes.legis.state.tx.us/docs/PR/pdf/PR.209.pdf

If the property owner is current on their mortgage and not current on HOA assessments then the HOA itself could potentially foreclose on the property. To foreclose must be for assessments and not just fines.

You also should read in the referenced document starting on Page 11 Sec. 209.011. RIGHT OF REDEMPTION AFTER FORECLOSURE and which states in part:

(d) To redeem property purchased by the property owners ’
association at the foreclosure sale, the lot owner or lienholder
must pay to the association: …

Again, check with your association attorney on what would be the best options for the association to handle the situation.

I agree, check your town/city Blight rules, as for the oil changes, Environmental restriction may apply. We have had similar problems and handle them by, 1) sent the member a letter stating the violation and give a time for correction to be made. 2) Without trespassing, take pictures, they will come in handy if you have to refer to the city. 3) Don't expect an overnight fix, if they start cleaning up within the time frame, work with them, as along as they are cleaning up it might take time; it took time for the mess to accumulate. 4) If they don't start to clean up with in the time frame or fail to contact the HOA to work out a plan , then take a copy of the letter and the pictures to the city.

You'll find that if you show the city that the HOA tried to resolve the matter in a nice manner first, then they city will be better off to enforce. In our Town if you fail to follow the city's request they will fine up to $150.00 per day until the completion of the clean up. If they don't pay that then a tax lien is placed on the property.

Good luck

You may also want you have the HOA's attorney send the offending owner a CC&R violation. If nothing happens after that then the attorney can file with court for an order compelling specific service.