Friday, July 9, 2010

Their Lot in Life

I recently heard a first-hand account from a friend who put in an offer on a vacant short sale lot in the El Dorado Hills area. The bank initially agreed to their offer, but then balked and said they had to pay all the back HOA dues. Back dues were not something they could roll into the cost of their loan, and represented a sizable chunk of money, almost 10% of the offer price. The bank wouldn't budge, they withdrew their offer. The lot goes into foreclosure next month, and to the best of their knowledge the bank has no back up offers.

Seems like a lose-lose-lose situation. Now the HOA get's no $$ from the sale, the bank is likely to lose more $$, and our friends are lotless. When will the madness end?