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CraigB2 (Virginia)
Posts: 5
Posted:
Our association (Virginia POA) has 5 liens filed and recorded. Two are for 2006-2007, and the remaining Three for 2007. May first of 2008 is the fiscal date of 2008 assessment ($100 total). Do unpaid 2008 assessments have to be filed in addition to previous liens or do the amounts add on automatically. And after reading the VA POA act the following section has me confused. "No suit to enforce any lien perfected shall be brought or action to foreclose any lien perfected shall be initiated after 36 months from the time when the memorandum of lien was recorded, however the filing of a petition to enforce any such lien in any suit wherein the petition may be properly filed shall be regarded as the institution of a suit under this section. Nothing herein shall extend the time within which any such lien may be protected." I am assuming this means I have 3 years to start foreclosure after the memorandum is filed or we lose are ability to collect under foreclosure? I am also assuming I (president) or another board member may file a judgement request with the proper court to request payment of past assements and additional costs rather than initiating a foreclosure sale for the small sum of $200 through $700. TIA Craig
KirkW1 (Texas)
Posts: 1,665
Posted:
Wow, that law does sound confusing. And it would seem that you have three years to start foreclosure. After that time frame you would be stuck waiting for the house to sell. (But I could be totally wrong here.)

In most cases you would not need to file anything additional to the lien for additional monies owed. Before the home can sell, they will have to settle up including all past dues amounts.
MaryN (Virginia)
Posts: 125
Posted:
Craig,

If you decide to take the property owners that you have liens on to District Court..keep in mind that more often than not the courts are dropping the additional fees. I think VA law allows POAs to put on the extra fees, but it's not law(mandatory)that they are allowed to collect those fees. At least that has been the experience of our Association. To my knowledge we have never had an auction for properties with liens on them.
MaryN
MikeS1
Posts: 668
Posted:
CraigB2 - I'd like to know more here also. It was my understanding that in VA that it was very difficult to foreclose on a non-municipal lien.

Lately, liens are not protecting our interests effectively. Since home values have fallen, the lien isn't paid off during the foreclosure process. Under the newer bankruptcy laws, I thought that we could still have a action against the old owner (even after the home is foreclosed), however, I have a feeling that some of these folks are going to be hard to find and some are going out of the country (back to their overseas homelands).

CraigB2 (Virginia)
Posts: 5
Posted:
Thanks for your responses. FYI the only additional costs we are asking for is actually incrued. County filing fees, certified mailing fees, lien paperwork preparation fee by attorney office. Although interest is allowed under the VA POAA the association has previously settled without collecting it. Court costs would be added (requested) if we went to court instead of foreclosing. 4 of 5 liens filed have members living on residence at this time. Amazingly 3 0f 5 have not paid property tax for several years? Makes me wonder when the county decides to collect back taxes? Thanks again.

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