Why Your Association Needs to Compel Release of Mortgage Information When a Unit Faces Foreclosure (FL)

Board members of any condominium association are no doubt familiar with the following scenario: a unit owner gets behind on his assessments and refuses to bring his balance current; the association records a lien against the unit and, when that still doesn’t motivate the owner to bring his balance current, files suit to foreclose the lien; shortly after the association files its suit to foreclose its lien, the unit owner’s mortgagee files suit to foreclose its mortgage for non-payment. At that point, most associations give up on collecting from the owner and monitor the foreclosure from afar— perhaps a board member or management periodically checks the clerk of courts’ website to assess the status of the foreclosure. Or maybe the board and management take no action at all and simply wait for new owner information to be submitted after the foreclosure sale, and then pursue the safe harbor amount from the bank or the full outstanding balance from a third-party purchaser.    Read the article……………….