HOA Past Due Accounts: How NPMG Can Help
When it comes to collecting HOA past due accounts, there is only one real way to deal with the situation after a certain period of time: Get tough. While no one enjoys the process of forcing a payment plan, filing for a lien or even foreclosing on a neighbor’s home, when one person does not pay the required fees, the slack falls on others in the neighborhood. It hits them as increased fees, reduced spending and even special assessments.
Around the nation, non-payment of the required HOA fees is one of the top problems that are seen. Even just a few homeowners stopping their payments can result in a huge bite out of an association’s budget. If too many of the homeowners cease their payments for HOA fees, it may result in lenders becoming unwilling to refinance properties or make mortgages for the homes in the area.
Handling HOA Past Due Accounts
The good news is that when you hire a property management group, such as NPMG, they will handle the collection process, ensuring the fees are paid, or that the proper actions are taken against the non-paying homeowner.
At 30 days delinquent, the property management group will send out a reminder letter, stating that the dues are late, and that they should be paid as soon as possible. This letter will be friendly in nature, but serve as a reminder for the homeowner. At 60 days delinquent, a firmer letter will be sent, letting the homeowner know that if they fail to pay, further actions will be taken to collect the past due funds.
If the HOA account reaches 90 days past due, the process for collection will begin. There will be a letter sent to the homeowner and the property management group will either begin the collection process by contacting a collection agency, or filing a lien on the home. In some cases a judicial foreclosure can be filed against the homeowner.
Having NPMG take care of these matters, frees up the HOA to handle other matters in the community, while ensuring that the required dues are paid so that the association can continue being effective. HOA past due accounts can be costly and hurt entire neighborhoods, which is why it is important to collect the appropriate dues from each member, which is another service offered by National Property Management Group in Santa Clarita.
National Property Management Group
28009 Smyth Drive
Valencia, CA 91355