11-12-2012 09:47 AM
I have purchased two foreclosures through Fannie Mae and I never had to pay any back assessment. Now I am buying one from Bank of America and they are saying it is IL law you have to pay upto 6-months. I did some research and it seems you only have to pay if the condo association filed a lawsuit to collect those assesments. From what I read no condo boards file a lawsuit. Is that correct? What has been other's experiences trying to avoid paying this back assessment? Or should I just pay it and be happy I got 2 other properties where I did not have to pay?
12-05-2012 07:47 PM
I was in a similiar position 2 years ago when I was looking to buy a condo. I don't remember who the selling bank was but I know my agent teold me a might be responsible for up to 6 of of assessments.
01-21-2013 01:36 PM
You are only responsible for UP to 6 months of assessment IF the assessments are delinquent. In many cases the your attorney may be able to negotiate with the association to get it lowered or gone. It really depends on the association. Some are more flexible as getting the unit back on the paying rolls is a good thing for them.
03-12-2013 04:53 PM
The Illinois Condo Act does make the purchaser of a foreclosed condo liable for 6 months of unpaid assessments if the association has taken any "legal action" to collect the assessments. Some associations consider sending a collection letter to the former owner as the necessary "legal action" and try to put the buyer on the hook for the assessments. It's a gray area, and will most likely become a negotiating point. If the bank really wants the property off its hands it may agree to pay some or all of the assessments you're responsible for as the buyer.
03-20-2013 11:25 AM
What about paying the late fees for that six months/entire duration of the delinquency? Lawyer fees? Is it the same for auction-bought properties as REO-bought?