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Post by Admin on Sept 15, 2019 13:41:24 GMT -5
No financial Report posted as of 9/15/19
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Post by Admin on Oct 3, 2019 13:30:19 GMT -5
In the absence of any other details, I just think that ALL the attorney fees are related to liens/foreclosures. There was another $6000 paid this month with less than $1000 "General Representation". So my theory is that EVERYTHING is related to the liens. My concern is will SLohA ever be able to recoup the amount it is spending on these liens/foreclosures (foreclosures not yet started last time I checked the public record)? Lien costs are cheap--a $15 public recording for each parcel and a string of "mean" collection letters to a few owners (no mortgage lenders involved). But, it is costing SLohA thousands of dollars!
Maybe I should be reincarnated as an SLohA attorney rather than Stwd Elctc!
The public auctions might bring bidders--or, if the past is any clue to the future--the auctions will not bring bidders and SLohA will end up owning near-worthless real estate to sell to bottom feeders for a Land-Only value.
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Post by jimherbst on Oct 4, 2019 8:12:44 GMT -5
Regarding your point about foreclosures sales, I am curious about how Florida law treats them when there is a prior mortgage. For instance, in my home state of Wisconsin, a foreclosure action by a subordinate lien or mortgage holder does not extinguish the superior mortgage (nor property tax liens). All the subordinate lien holder is doing in a foreclosure sale is selling its interest in the property. The purchaser of that interest position must still deal with the superior mortgage holder (or municipality, in the case of tax liens) in order to get "clear title" to the property. If this is also the case under Florida law, I agree with you that a foreclosure sale by S-bag for unpaid HOA fees or fines would attract very few bidders, Some years back, I was contemplating bidding on a property in S-bag that was being auctioned off by the HOA. I approached staff to ask about the instrument of conveyance to the high bidder (warranty deed vs quit claim). Staff looked at me like I was from Mars. I decided not to bid on the property, not knowing if there were other title encumbrances.
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Post by Admin on Oct 4, 2019 11:02:35 GMT -5
I will check on the statute, which seems to constantly change. There is something called a superior lien and that means that HOA gets paid ahead of the bank that has the loan. I believe that is a moot point since I doubt that any of these properties have loads on them, so that the Tax Dept is in the superior position and HOA is next.
If, as I suspect, most of these properties are unwanted, that suggest they are neglected and deteriorated and would cost more to rehab than their value. They would be a "tear-down" and, in that case, a prudent bidder would offer a very low bid to account for the loss of paying for the tear down to scrape down to land. That is my concern here; ie. the value of these properties is so low due to age and neglect that the return on the investment of legal fees will not be in SLohA's favor and, in fact, SLohA will get title to and liability and maintenance for the orphaned properties and bring an additional burden on the budget and owner assessments.
The brighter side is that Stmbug Ixx or some such investor will come in low with pennies on the dollar, buy up these properties, start paying fees and use volume power of salvage costs to tear them all down and start selling new manufactured homes. I do have my doubts as to whether this scenario would replenish the gobs of legal fees that will be required to get a Certificate of Title issued by the court.
Add to that, SLohA cannot actually take full possession for an entire year AFTER taking title thus allowing the owner to come back and redeem. So, I doubt any investor would invest more money until that year was up.
In the end, SLohA would still have to pay the SLohA fees from the monies that SLohA owners pay for the duration, so instead of paying 1/786 of the budget, an owner would now pay more, like 1/780 (I recall there are 6 parcels liened). In effect, we are all just paying the fees and insurance and lawn maintenance for these parcels until a true new owner buys the property. My calculator says that will result in $45.96 more from each owner per year.
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Post by jimherbst on Oct 4, 2019 19:12:22 GMT -5
You bring up an interesting scenario regarding Stmbug Ixx buying up a bunch of distressed properties. If they would leave the properties in a distressed state until such time as they have enough to invite bids for a "bulk" demolition, how would the Polk County health inspector come down on that? Again, I am not an authority on Florida law but, in Wisconsin, the local health inspector can order the building torn down as a public health hazard, and then place a tax lien against the property for the cost of demolition. A ghoulish example of this process is what happened to the apartment building in Milwaukee where Jeffrey Dahmer committed those horrific crimes.
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Post by Admin on Oct 4, 2019 20:56:50 GMT -5
I don't think that a Polk County court order would go well for the owner, SLohA. Penalties, fines and lawsuits. Oh My!
BTW, Spectrum is supposed to do a survey of my property in the next two business days to give me installation info. This was scheduled via internet Chat today. They made appointment to call me to discuss on Oct 8th. I have a phone appt! So far, I like the conversation.
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