Nevada Supreme Court Strikes Significant Blow Against HOA Super-Priority Foreclosure-Sale Purchasers

In September 2014, the Nevada Supreme Court held that an HOA could foreclose on its nominal super-priority lien and extinguish a senior mortgage in SFR Investments Pool 1, LLC v. U.S. Bank, N.A., a ruling that initially seemed cataclysmic to the mortgage industry. SFR Investments spawned thousands of contentious quiet-title actions, each pitting the senior mortgagee against the HOA-sale purchaser regarding whether the purchaser owned the property free and clear after its miniscule, speculative investment. While the mortgage industry’s outlook in Nevada after SFR Investments seemed rather bleak, the tide has recently turned in many respects, as the Nevada Supreme Court has issued several significant rulings in 2016 favorable to the mortgage industry in this continued battle over the effect of HOA super-priority lien foreclosures.    Read the article……………


Related Articles

Pool Contractor’s Ability to Work on Pool Electrical Wiring in FL

On March 29, 2017, the Florida Construction Industry Licensing Board (“CILB”), issued a Final Order, Department of Business and Professional

Court Upholds Condominium Association Foreclosure that Extinguished Bank’s Lien (WA)

In late 2009, a Washington condominium association foreclosed on a first position lien for delinquent assessments and purchased the unit

(NY) Court: Condo Boards Can Accept Rival Bidder’s Money to Thwart Your Sale

n a precedent-setting case with wide implications for condominium associations, a Manhattan court has affirmed that a condo board can