Florida Estoppels

NancyD1 (Florida)
Posts: 447

Posted:

BradD2, on another topic you brought up the change in Fl 720 as of 7/1/07. I have to thank you because I missed that one. It says that the new owner will be jointly or severally liable for any assessments (maintenance) due on the sale or foreclosure of a home.

Reading the new 720.3085 If when we file the Estoppel with the bank or a title company we can put any past due Maintenance on this form. That's ok for a person buying a home. The estoppel will be recognized by the bank and buyer for settlement.

If a bank has a home in foreclosure they do not ask for estoppel certificates. They don't care what is wrong with the property or if the person they are foreclosing on owes anything to the HOA. How can we get half the money from the bank? Do you think this will become a legal battle?

DaneC (California)
Posts: 210

Posted:

Seems on the surface, rather clear cut, however, what I cannot understand, is why the neutral definition of parcel owner as "record owner" is not carried forward - why was it necessary to use "his or her" and "he or she" in 720.3085, especially when folks who acquire investment property are increasingly holding title under various corporate forms. What does appear to be regressive, is that the Association is the last to be paid

720.301 Definitions.--As used in this chapter, the term:
(12) "Parcel owner" means the record owner of legal title to a parcel.

720.3085 Payment for assessments; lien claims.--
(1) A parcel owner, regardless of how his or her title to property has been acquired, including by purchase at a foreclosure sale or by deed in lieu of foreclosure, is liable for all assessments that come due while he or she is the parcel owner. The parcel owner's liability for assessments may not be avoided by waiver or suspension of the use or enjoyment of any common area or by abandonment of the parcel upon which the assessments are made.

(2) A parcel owner is jointly and severally liable with the previous parcel owner for all unpaid assessments that came due up to the time of transfer of title. This liability is without prejudice to any right the present parcel owner may have to recover any amounts paid by the present owner from the previous owner.

(3) (b) Any payment received by an association and accepted shall be applied first to any interest accrued, then to any administrative late fee, then to any costs and reasonable attorney's fees incurred in collection, and then to the delinquent assessment.