Here is a good one for florida! Payback time: Florida

New Post Public Reply Private Reply Replies (0) Message Board
fitzkarz

Here is a good one for florida!

Payback time: Florida homeowners foreclosing on banks

@CNNMoney December 26, 2012: 5:29 AM ET

Hundreds of homeowners associations are foreclosing on banks that have failed to pay dues and other expenses on the properties they've repossessed.

NEW YORK (CNNMoney)

Since the housing bubble burst in Florida five years ago, more than 400,000 borrowers have had their homes foreclosed on by their lenders. But for some, it's payback time.

Hundreds of homeowners and condo associations are foreclosing on banks that have failed to pay dues and other expenses on the properties they've repossessed.

When banks foreclose on a home they become responsible for paying fees to the homeowners association -- both any unpaid fees going back as far as 12 months and all expenses going forward.

In many cases, however, banks are failing to pay, leaving these associations short on cash, according to Miami-based attorney Ben Solomon.

But now, homeowners groups are putting liens on the properties until banks pay up and foreclosing on them if they don't.

Related: American Dream homes: Prices in 9 cities

So far, Solomon's firm has filed more than 1,100 liens against banks on behalf of homeowners and has pursued 131 foreclosures. In more than 90% of the cases, he said, the banks settle by paying the bills.

The banks' failure to pay dues has consequences. Other homeowners have to make up the difference, or the homeowners associations may lack the money they need for things like routine maintenance, security, water and garbage collection.

Don Gonzales owns a townhouse in a condo community on a golf course in Homestead, Fla., where Solomon recently filed suit to foreclose on JPMorgan Chase ( JPM , Fortune 500 ) to recover $20,000 it owed on more than two years of dues and common charges.

"I own two properties and it really ticks me off when the banks don't pay their fair share," he said. "Everybody else has to make it up."

Because of the shortfall, the condo association had to cut down on security and postpone maintenance. "We haven't had our blacktop resurfaced for years: It looks terrible," he said. "We have palm trees where we used to have the coconuts taken off. It's a safety issue, but we can't do that now."

Related: There's a home price recovery but it's really, really slow

Chase would not comment on this specific case but did confirm that it is responsible for paying all dues or fees on properties it owns after foreclosure.

The Southbridge Homeowners Association in Pembroke Pines, Fla ., is owed about $1 million by several owners, many of them banks that took possession after foreclosures, according to Marc Lebron, the association's treasurer. To make up for delinquent payers, Southbridge has had to hike maintenance fees to $260 from $145.

But it's also trying to get what's due. The association filed for foreclosure against Deutsche Bank ( DB ) last spring after the bank failed to pay fees for more than two and a half years on a home it owned since September 2009.

Deutsche and other banks claim that they are just trustees of the property and that the mortgage company servicing the account is responsible for paying the fees.

That could be the case if the mortgage servicer held the property's title after the foreclosure, said Michael Gelfand, an attorney who has instructed the Florida Bar Association on the rights of homeowners associations and banks in these cases. The title holder is responsible for the fees, he said.

Typically, however, after banks foreclose on a property they are almost always the official holder of the mortgage, said Solomon.

Related: Short sales jump ahead of tax hike

As in a vast majority of the cases Solomon has filed so far, Deutsche Bank settled. After the foreclosure paperwork was filed, the bank agreed to pay the back dues of $25,513.

Only in very rare cases do homeowners associations end up pushing the foreclosure all the way through to the auction sale of the properties. This has happened only once for Solomon.

In early November, Keys Gate Community Association in Homestead, Fla., brought a foreclosure on a property owned by mortgage servicer, NovaStar, which owed $22,890 in back dues and fees.

In mid-November, the association foreclosed on NovaStar and the home was sold at auction to a third party for $62,000, fully paying off the debts to the association. Novastar did not respond to a request for comment. To top of page




I'm in it to win it!

NASDAQ DIP and RIP
Here is the best word that describes what i do here.
Intuitive;
means having the ability to understand or know something without any direct evidence or reasoning process.

I was born with it, I'm truly blessed!


Alway's searching for winners'
937206596_images.jpg
Scroll down for more posts ▼

Top 10 Most Recent News Articles

Top 5 Most Recently Viewed Articles

IQVentures Acquires Aaron's Company for $504 Million Deal

Updated Category News Views 131

IQVentures Acquires Aaron's Company The acquisition landscape recently shifted with IQVentures Holdings, LLC, completing its purchase of Aaron's Company, Inc. (NYSE: AAN) in a landmark deal valued at approximately $504 million. This significant move culminates in a price of $10.10 per share, leading to the cessation of trading for Aaron's common stock on major exchanges....

Continue Reading
Vistra Increases Dividend for Common and Preferred Stockholders

Updated Category News Views 145

Vistra Boosts Shareholder Returns with Increased Dividends Vistra, a prominent player in the power generation and retail electricity sectors, has made headlines with its recent announcement regarding dividends. The company's board of directors has declared a quarterly dividend of $0.2260 per share for common stock holdings, amounting to a substantial total payout of...

Continue Reading
Hyperscale Data's Bitcoin Treasury Strategy Revealed

Updated Category News Views 126

Hyperscale Data's Bitcoin Treasury Update Hyperscale Data, Inc. (NYSE American: GPUS), known for its innovative approaches to artificial intelligence and digital asset management, has reached a notable milestone. The company recently reported holding approximately 545.4218 Bitcoin, which is a significant increase compared to their previous estimates. This treasury is part...

Continue Reading
Clarivate's Third Quarter Financial Performance and Future Outlook

Updated Category News Views 154

Overview of Clarivate's Q3 Financial Results Clarivate Plc (NYSE: CLVT), a noted global provider of transformative intelligence, has shared its financial results for the third quarter of the fiscal year. The company has seen continued acceleration in organic annual contract value (ACV) during this period. Significant Financial Highlights In this quarter, Clarivate's total...

Continue Reading
NexGold Advances with Industrial Approval for Goldboro Project

Updated Category News Views 180

NexGold Celebrates a Key Milestone in Project Development NexGold Mining Corp. (TSXV: NEXG; OTCQX: NXGCF), a dedicated gold-focused mining company, has recently reached an important milestone by securing Industrial Approval (IA) for the Goldboro Gold Project. This approval comes from the Government of Nova Scotia and represents one of the final provincial permits needed...

Continue Reading