Understanding HOA Foreclosure Process: A Guide for Homeowners

Homeowner associations (HOAs) play a significant role in maintaining the quality and value of properties within a community. However, when homeowners fall behind on their HOA dues and assessments, they might face the daunting prospect of an HOA foreclosure. This article provides an essential guide to the HOA foreclosure process, highlighting key stages, timelines, and the redemption period.

Initial Steps and Notifications

The foreclosure process begins long before any legal action is taken. Initially, the HOA will attempt to collect overdue assessments through phone calls and letters. If these attempts fail, the association may issue a “Default & Intent to Accelerate” notice, giving homeowners a 20-day period to respond and settle their dues.

Filing a Lawsuit and Lien Process

Should these efforts remain unsuccessful, the next step involves a more formal approach. In some regions, the HOA must file a lawsuit against the homeowner to proceed with foreclosure. Concurrently, an HOA may place a lien on the property, which is registered with the state. This lien signifies the homeowner’s debt to the HOA and can lead to the foreclosure of the property if not resolved.

Foreclosure Notice and Auction Schedule

Following the lien placement, homeowners receive two critical notices. The first, the “Notice of Default and Intent to Accelerate,” starts a 21-day countdown for the homeowner to pay their debt. Failure to do so leads to the second notice, the “Notice of Acceleration and Posting for Foreclosure,” which is filed with county land records and announces the auction date. Typically, auctions are scheduled on a fixed day each month, providing homeowners a final opportunity to address their debts.

Redemption Period for HOA Foreclosures

A unique aspect of the HOA foreclosure process is the redemption period, which varies depending on the type of association. For single-family HOAs, the former owner has 180 days from the receipt of a post-foreclosure notice to redeem the property. Condominium HOAs offer a shorter window of 90 days post-foreclosure sale. Redemption involves repaying all amounts due at the time of the foreclosure sale, along with additional costs incurred by the association.

Can an HOA Take Your House?

Yes, an HOA can initiate foreclosure on a property for unpaid dues and assessments. The process can be either judicial or non-judicial, depending on the governing documents of the HOA and local laws. Importantly, an HOA’s ability to foreclose is not diminished by the homeowner’s mortgage status. However, the lien’s priority—whether the mortgage or the HOA lien takes precedence—can influence the outcome of a foreclosure sale.


Navigating the HOA foreclosure process can be complex and stressful for homeowners. Understanding the steps involved, from initial notifications to the possibility of redemption, is crucial. If you’re facing difficulties with your HOA or concerned about foreclosure, Smooth Closing buys houses and may offer a solution. For assistance with your property concerns, call Smooth Closing at (512) 368-9979. We’re here to help you navigate through challenging situations with ease and confidence.

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