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AnnE3 (Texas)
Posts: 10
Posted:
I couldn't find any information in the codes on dollar threshold for an HOA
to record a lien for unpaid FINES (not dues).

We have a homeowner whose house has come on the market but has serious
issues with the surrounding brick fence. He has been sent three
letters to fix it but hasn't. I am doubtful an inspector would
address this or even realize the fence is the homeowner's to
maintain.

Our CCRCs let us fine homeowner $25 a month until he
cures the problem.

It appears there is no limit for a Texas mechanic's lien
but I couldn't find anything on HOA fines.
MelissaP1 (Alabama)
Posts: 13,836
Posted:
That is because in many states you can NOT lien for unpaid fines. Liens/foreclosures are for unpaid dues. So your state may be one that does not allow fines to be the basis of lien/foreclosures.

Will add our HOA we were allowed to fix the violation and send the owner the bill. IF the owner did not pay that bill, that is when we could then apply a lien... This option is a bit difficult to implement and costs the HOA money to do it.

Former HOA President
BillH10 (Texas)
Posts: 1,217
Posted:
Ann

First, in Texas, while you can file a lien for unpaid fines and other costs/charges, you cannot foreclose on that lien. You can only foreclose for unpaid assessments.

I recommend you consult with your HOA attorney. Texas has complex rules regarding the filing of liens, if it is not done correctly it will not serve its purpose.

Also, ensure you have a carefully documented, communicated, and filed (county clerk) architectural review/change process and an out of compliance process. If this turns into a slugging match, if you do not have the proper documents and processes in place, you most likely will not prevail.

Finally, do you have a management company? If so, instruct the management company they are to note the issue with the brick wall on the required Resale Certificate. If you do not have a management company, ensure whomever prepares the Resale Certificate does the same. It is our experience the title company will not move to close the sale if the property has outstanding issues with the Association noted on the Resale Certificate. In one case in which we were involved, the lender reviewed the Resale Certificate and informed the Buyer the loan would not be funded if the issue was not cleared. That sort of thing stimulates both parties to address the deficiency.

Regarding the Resale Certificate, Google TREC HOA Resale Certificate for the template. Look at paragraph I, this is where the deficiency will be noted. The property may also not be in compliance with the Property Code requirements of your city or other governing jurisdiction due to the fence, consult with the building or property code office.
AnnE3 (Texas)
Posts: 10
Posted:
Thank you both for the information. Very thorough, Bill.

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