In addition to homeowners, Home Owner’s Associations (“HOA”s) are victims of the foreclosure crisis as well. When homeowners stop paying maintenance fees or assessments, associations start facing serious problems. Some associations have more than 50% of their units delinquent. Under Florida law, HOAs can foreclose on owners for the delinquent fees and can take title that way.
The Florida Supreme Court decided it would consider a settled foreclosure fraud claim as an issue of great public importance that may dramatically affect the mortgage foreclosure crisis in this state. The opinion states that the court has the right to look at the case claiming a fraudulent mortgage assignment was filed in court.
National mortgage backers Freddie Mac and Fannie Mae announced this morning that they are suspending foreclosure evictions and lockouts from Dec. 19 through Jan. 2, 2012. The order involves foreclosed occupied single family homes and two to four unit properties that had Freddie Mac or Fannie Mae mortgages.
The government-sponsered enterprises also suspended evictions last year during the holiday season, but part of that included the foreclosure moratorium that most major lenders put in place after the robo-signing scandal left some foreclosures in doubt.