Texas HOA forecloses Army Captain's house over unpaid dues

[The Spartan]

If you feel a contract is lopsided, don't sign it. If you feel the HOA is imposing unreasonable conditions on living in a particular neighbourhood, move somewhere else.

Do you think it's actually that simple?

[Marcus Aurelius]

Being able to foreclosed on a $300k home for a pittance couple hundred dollars in late dues would be one of them. Yes, someone should say no and try to have it removed or move on, but should terms like this really be there in the first place?

No, since the value of the property which in this case acts as a kind of collateral for the HOA dues is not even in the same ballpark as the dues. I can't see any way how selling a home at a fraction of its current market value could be considered a fair practice regardless of whether the owner had a choice of joining a HOA or not. It is analogous to a contract where you submit to a period of indentured servitude if you fail to pay some fees in time. Now, I'm not saying that property rights are as important as personal freedom1, but selling a property at less than 1/10 of its market value without even giving the owner a real chance (27 days? Jesus H. Christ) to pay those dues by other means is simply robbery.

1 There are economic theorists who say that they in fact are as important for a functioning economy.

[Broomstick]

Broomstick, I think you should read every post before multi-posting because Johonebesus, Simon, and Spartan have replied quite well already.

Because they said something I'm not allowed to say something, too? Thank you for your opinion.

[Soontir C'boath]

Indeed and it wasn't even 1/10, it was about 1/100 given it was sold for about $3500 by the HOA. It's incredulous.

Because they said something I'm not allowed to say something, too? Thank you for your opinion.

When I'm opening the thread to see reply after reply of what's been said already, yea you're welcome. I guess I should have just said I was more annoyed at the multi-posting.

[Zaune]

Do you think it's actually that simple?

I think I covered that in the rest of my post. I realise people's ability to relocate is somewhat constrained by the labour market, or that parents might not want to make their kids switch schools, but there's a whole country to choose from when looking for a new house. Please don't ask me to believe that this couple didn't have options.

[Broomstick]

Because they said something I'm not allowed to say something, too? Thank you for your opinion.

When I'm opening the thread to see reply after reply of what's been said already, yea you're welcome. I guess I should have just said I was more annoyed at the multi-posting.

OK. I confess I got a little lazy - if the multi-posting is bothering you that much I'll make a point to avoid it in future replies here. Apologies for unintentional annoyance.

[General Zod]

Do you think it's actually that simple?

I think I covered that in the rest of my post. I realise people's ability to relocate is somewhat constrained by the labour market, or that parents might not want to make their kids switch schools, but there's a whole country to choose from when looking for a new house. Please don't ask me to believe that this couple didn't have options.

It's a bit much to assume that they actually had a lot of options, especially since we don't know their specific reasoning. How many HOAs do you think have similar restrictions? How many neighborhoods without HOAs are going to be in high-crime areas? Plenty of people want to be near family, relatives that need to be taken care of, etc.

[Broomstick]

Do you think it's actually that simple?

I think I covered that in the rest of my post. I realise people's ability to relocate is somewhat constrained by the labour market, or that parents might not want to make their kids switch schools, but there's a whole country to choose from when looking for a new house. Please don't ask me to believe that this couple didn't have options.

Recent practice over the past couple decades have been for a developer to buy land, construct houses, and then sell all those houses with the requirement to join a HOA already written in stone. That means entire towns and cities are composed of HOA's. It really is hard to find housing without a HOA in some part of the country. Some older communities have converted to HOA's. Moving to a location without one essentially means relocating hundreds of kilometers, not just moving down the road a bit, under such circumstances. Properties without HOA's are more and more becoming either prohibitively expansive (VERY upscale estates) or are in horrible neighborhoods full of crime.

I live in a place without a HOA, but only because the area was largely built prior to 1950, and it's "unincorporated Lake county", meaning it's not within the limits of a city or town. Meanwhile, every subdivision built within the last 25 years around here has a HOA. My block is seen as undesirable for parents with children for simple reasons like the prevalence of bars (which don't bother me, I'm an adult, but I'd worry if I had kids) and gunshops and the like. Not high crime, thank goodness, but without many amenities like city water and sewer, streetlights, and so on.

[Zaune]

Recent practice over the past couple decades have been for a developer to buy land, construct houses, and then sell all those houses with the requirement to join a HOA already written in stone. That means entire towns and cities are composed of HOA's. It really is hard to find housing without a HOA in some part of the country. Some older communities have converted to HOA's. Moving to a location without one essentially means relocating hundreds of kilometers, not just moving down the road a bit, under such circumstances. Properties without HOA's are more and more becoming either prohibitively expansive (VERY upscale estates) or are in horrible neighborhoods full of crime.

I live in a place without a HOA, but only because the area was largely built prior to 1950, and it's "unincorporated Lake county", meaning it's not within the limits of a city or town. Meanwhile, every subdivision built within the last 25 years around here has a HOA. My block is seen as undesirable for parents with children for simple reasons like the prevalence of bars (which don't bother me, I'm an adult, but I'd worry if I had kids) and gunshops and the like. Not high crime, thank goodness, but without many amenities like city water and sewer, streetlights, and so on.

I have to admit I may have underestimated the scale of the problem somewhat, though moving hundreds of kilometres isn't that big a deal in this day and age.

Could you define 'some parts of the country' a bit more clearly, though?

[General Zod]

I have to admit I may have underestimated the scale of the problem somewhat, though moving hundreds of kilometres isn't that big a deal in this day and age.

I'm not sure you're aware of exactly how big a financial investment it is to move to an area where you have no family, friends or connections whatsoever.

[Stark]

Sounds like the US needs consumer protection... oh, what's the point?

Its bizarre to hear stuff like this, when in AU similar housing bodies are restricted in powers, the use of those powers, there's a regulator or ombudsman involved, etc. Seriously, deploying the 'lol you didn't pay gimme yo house' clause it just hilarious.

That said, if the guy was serving and the payments are a constant thing, why did he miss them? Shouldn't he have had his bank shit set up?

[Chardok]

Sounds like the US needs consumer protection... oh, what's the point?

Its bizarre to hear stuff like this, when in AU similar housing bodies are restricted in powers, the use of those powers, there's a regulator or ombudsman involved, etc. Seriously, deploying the 'lol you didn't pay gimme yo house' clause it just hilarious.

That said, if the guy was serving and the payments are a constant thing, why did he miss them? Shouldn't he have had his bank shit set up?

I think it said his wife didn't pay them. but, many times, homeowners are under the assumption that their escrow account (The account set up to pay taxes and insurance by their mortgage company) will pay their HOA dues, and they actually are not.

[Stark]

But if it's a regular payment, they must have either been paying manual or with regular transfers in the past. Why did it change?

[ShadowDragon8685]

But if it's a regular payment, they must have either been paying manual or with regular transfers in the past. Why did it change?

Possibly, the husband was the one who paid the bills, and with him out on deployment she didn't know what to do.

More probably, and as mentioned in the article, she got to be so despondant with him gone that she opened no mail and sank into a funk.

[Zaune]

I'm not sure you're aware of exactly how big a financial investment it is to move to an area where you have no family, friends or connections whatsoever.

I've had to do it myself actually, though admittedly I have no dependents or mortgage and a much stronger welfare safety-net to fall back on. It's not easy or particularly fun, but it's not an insurmountable challenge either.

[Broomstick]

I have to admit I may have underestimated the scale of the problem somewhat, though moving hundreds of kilometres isn't that big a deal in this day and age.

Could you define 'some parts of the country' a bit more clearly, though?

Given the land area encompassed by the US that's a bit difficult, as these things will vary among the 50 states. California and Florida are reputed to have massive amounts of HOA regulation, other states, such as Texas and Massachusetts, have almost none. A city like Chicago or Detroit or St. Louis that's more than a century old will have nearly none within city limits (but because it's in a big city real estate prices will be astronomical). A city with a more recent building boom like Phoenix or Las Vegas will be full of HOA's such that it is almost impossible to locate non-HOA housing anywhere in or even near the city.

Sounds like the US needs consumer protection... oh, what's the point?

We do have consumer protection. The problem here is that some states have better consumer protection than others, so if you live in a place like Texas you can wind up with a shitty deal.

[The Spartan]

I've had to do it myself actually, though admittedly I have no dependents or mortgage and a much stronger welfare safety-net to fall back on. It's not easy or particularly fun, but it's not an insurmountable challenge either.

I can't speak for the rest of the country, but around here the non-HOA properties tend to be either very expensive or in areas that no sane person with a choice would want to live. That or they're way the hell out of town and subsequently require a long commute or the purchasing of a plot of land.

Renting is a toss-up. There's apartments, for example, near my mom's hospital that look nice enough, but, knowing what she knows about the area, I would be crazy to live in. And if I rented in town, to live some place that was reasonably safe and not rundown, I'd likely be spending as much as I do for my mortgage or near enough.

[Flagg]

Do you guys have any actual evidence for there being no homes without HOA for hundreds of miles, or is this just anecdotal?

[Soontir C'boath]

Do you guys have any actual evidence for there being no homes without HOA for hundreds of miles, or is this just anecdotal?

Do you honestly believe that companies should be allowed to write these kind of shitty terms in the contract in the first place?

[General Zod]

Do you guys have any actual evidence for there being no homes without HOA for hundreds of miles, or is this just anecdotal?

Has anyone actually claimed this or are you just making shit up?

[Flagg]

Do you guys have any actual evidence for there being no homes without HOA for hundreds of miles, or is this just anecdotal?

Do you honestly believe that companies should be allowed to write these kind of shitty terms in the contract in the first place?

I already said no, dumbass. I'm against all but their mildest form, IE to keep people from having broken down trucks in their yards and shit.

[Flagg]

Do you guys have any actual evidence for there being no homes without HOA for hundreds of miles, or is this just anecdotal?

Has anyone actually claimed this or are you just making shit up?

I have to admit I may have underestimated the scale of the problem somewhat, though moving hundreds of kilometres isn't that big a deal in this day and age.

I'm not sure you're aware of exactly how big a financial investment it is to move to an area where you have no family, friends or connections whatsoever.

[General Zod]

>snip<

Then you're a fucking moron who can't read. I was addressing the claim that it isn't that big of a deal to pack up and move across the country, not the existence of HOAs.

[Flagg]

>snip<

Then you're a fucking moron who can't read. I was addressing the claim that it isn't that big of a deal to pack up and move across the country, not the existence of HOAs.

Implying that you would need to move hundreds of kilometers away to avoid one. Something I question.

Broomstick also claimed there were entire sections of the Country where you can't buy a house without being in an HOA.

[General Zod]

>snip<

Then you're a fucking moron who can't read. I was addressing the claim that it isn't that big of a deal to pack up and move across the country, not the existence of HOAs.

Implying that you would need to move hundreds of kilometers away to avoid one. Something I question.

Since that point has already been addressed, you're tilting at windmills. You can easily avoid them in some cities, but you either get a shitty neighborhood or one beyond most people's price ranges. Or one several miles out of city limits.