Sale of HOA assessment lien at auction


#1

I am in receipt of a notice that the recorded assessment lien will be auctioned from appointed association agent. I am aware of the 90 day redemption period.

My unit is encumbered by a VA 1st Trust Deed that is also in default, that is in excess of market value.

Question: if the lien is sold at auction, and the bidder chooses to proceed to a non-judicial foreclosure, is the VA loan assumable by a non-veteran bidder or must it be paid in full? Thanks.

Michael Ferraro


#2

It is likely that the VA loan would need to be paid in full as the result of a Trustee sale. Situations may vary depending on the state in which the sale takes place. You may want to contact your lender directly for additional details.