Is HOA Responsible for upkeep on foreclosure? (Phoenix: for sale, foreclosures)

[tiniree]

Ok I'm looking out my window and yes, our neighbors are leaving...moving van, boxes, etc..

No for sale or For rent sign going up and we've noticed their front yard has been starting to go downhill lately. The gardener who used to come every week hasn't been seen for the past 4 weeks.

Foreclosure....Just walking away? In this economy its quite possible.

My question? We pay a monthly HOA fee and our HOA laws have pretty tight rules on the upkeep & maintainance of the property. So if these people are truly walking away or having their house foreclosed on, who is responsible for keeping it looking nice?

Anyone know?

tiniree

[musicforme]

We have a family friend that lives in North Phoenix.

She recently told my wife that she walked around her housing edition with some Roundup to kill the weeds at the vacant houses. Last year we had a house that was vacant for a while due to the home owner passing away. A neighbor and I took turns cutting the grass so the house would look half way decent.

I would suggest take care of the house next to you and hopefully your neighbors do the same and keep up the appearance of your area.

[Finger Laker]

does the HOA do your landscaping for you in your yard? - if not, they aren't going to take on the responsibility in most cases to upkeep the yards in properties that are owned by delinquent residents or banks

they can try to fine them - but it looses some teeth when going against a bank and not someone who wants to live there

many neighborhoods are banding together like musicforme stated and cleaning up their neighborhoods - cutting brush, pulling weeds, etc

[thegirlinaz]

I doubt they would take care of it. My aunt recently bought a foreclosed house and as soon as she moved in the HOA gladly told her she only had a certain amount of time to get the yard fixed and the house repainted before they would start charging her fines (or whatever they do).

[Greatday]

Generally speaking, the HOA will not take care of the exterior of a vacant property. That responsibility lies with the legal owner.

[dura]

Unless your HOA does lawn/yard maintenance as part of your dues, in all likelihood it is the "homeowner" who is responsible for keeping up the yard. If the bank now owns the property, then the bank is more than likely responsible. The HOA should know who owns the home and might send letters and assess fines just like is done with a "regular" homeowner. The bank's response may or may not not be as timely as you'd prefer, so for the fastest response, you might consider working with your neighbors, as has already been suggested. You may find that the bank does the bare minimum, so it'll be the next "regular" homeowner who gets the brunt of the work unless you and your neighbors deal with it. Who knows, maybe your neighborly upkeep will help get it sold faster than if the yard remains infested with weeds.

[Dennisc23]

I purchased a foreclosure in October and at closing the bank had to pay all the existing fines on the property.

Since that time I've gone to HOA meetings and they have instituted an aggressive policy of fining the banks- and now some of the banks are maintaining the properties- I'm sure in part to better market the property. However, some of the foreclosures are still not maintained.

So from my limited experience, no one will maintain the property until foreclosure is final, and then you have maybe a 50/50 chance of the bank making it presentable.

[azjack]

HOAs usuallly do not do maintenance on individual yards. If they are not completely broke (many are), it would be wise for them to do some basic upkeep on vacants using the same labor that they have contracted for in the common areas. Depending on the size of the subdivision, volunteers may help out for the good of the neighborhood, but participation will vary.

Some banks may provide upkeep, but they have so many liabilities on their books that a few HOA fines will not exactly have them quaking in their boots.

Also, remember that the house may be in a transition period where the bank is not officially the owner, even though it is vacant.

[Bummer]

I sincerely doubt it, Tiniree.

The advice and suggestion by Musicforme and others is great. If two or three neighbors chip in and maintain the exterior it will be a Win Win for everyone involved.

Good Luck

[Spot]

Once the foreclosure is completed, the bank/mortgage company has possession of the property and is responsible for complying with the HOA guidelines. If they don't, the HOA can assess penalties against the bank per the HOA agreement and those penalties are enforceable.