According to The Columbian, Clark County, WA, whose county seat is Vancouver, saw 1,709 eviction filings in 2023, 548 more than the previous year.
Most evictions in Vancouver, WA, involve landlords and tenants. However, they can also happen to homeowners, such as in the case of HOA foreclosure.
As a Vancouver HOA homeowner yourself, the last thing you want is to face foreclosure. After all, it's time-consuming, physically and emotionally draining, and can rob you of your home.
So, join us at Invest West Management as we share insights into homeowners association rules, foreclosure prevention tips, and protecting legal rights in HOA communities.
1. How an HOA Foreclosure Occurs
When you bought your HOA home in Vancouver, WA, you signed a contract tying you to the association's Covenants, Conditions, and Restrictions (CC&Rs). Your HOA's CC&Rs likely require you to pay homeowners association fees or special assessments.
Most HOA fees are monthly and are often used to maintain community amenities and facilities. Special assessments are usually one-time expenses that help cover significant costs, such as the HOA clubhouse's roof replacement.
Your HOA can foreclose on your property if you fail to pay those association fees or dues.
2. The HOA Foreclosure Process
The foreclosure process in Vancouver, WA, starts with a lien. Your HOA will place this claim on your property if you repeatedly fail to pay your association dues, fees, or special assessments.
However, under the Revised Code of Washington (RCW) 64.34.364, HOAs can only begin foreclosure if a homeowner doesn't pay three months' worth of fees (or $200) or assessments worth $2,000.
The above amounts must also exclude the following:
- Interest
- Fines
- The association's attorney's fees
- Late charges
- Collection costs
Moreover, the association must send the property owner a delinquency notice via certified mail regarding their unpaid dues.
3. What Happens After the Foreclosure?
Once the HOA has finalized the foreclosure process, the association can initiate the eviction process in Vancouver, WA. Generally, you, the mortgage borrower, will still be liable to repay your home loan.
4. Options for Owners Facing HOA Foreclosure
If you're facing foreclosure or property lien issues, review your HOA's claim regarding your delinquency. File HOA fee disputes if the numbers don't add up. But if they do, your best bet is to pay everything you owe to keep your home.
5. Preventing HOA Foreclosures
The best way to prevent HOA foreclosure is always to pay your association dues on time. If you don't live in the HOA (e.g., you rent out your property there), consider hiring a rental property manager. They'll help you stay on top of your dues by ensuring your tenants pay rent on time and promptly settle your HOA fees on your behalf.
Protect Yourself From Foreclosure
An HOA foreclosure, which can rob you of your home, is one of your worst nightmares. However, you must also remember your financial responsibilities as an HOA member. So, stay on top of these legal duties, and you should be able to protect yourself and your home from foreclosure.
Invest West Management can help. We're a full-service property management firm that has served property owners throughout Washington for over four decades. We're also proud to be an Accredited Management Organization (AMO).
Speak with us today for a free rental analysis and learn more about how we can help!
