Foreclosures hurt communities

Foreclosures of units continue to increase. The debtors, often first-time home buyers lured by loose or nonexistent underwriting, usually default on their purchase money mortgage at the same time that they default on paying their share of common expenses.

Foreclosures of units continue to increase.

The debtors, often first-time home buyers lured by loose or nonexistent underwriting, usually default on their purchase money mortgage at the same time that they default on paying their share of common expenses.

As a business proposition, each owner must pay his or her share of expenses or others will have to pay it. We are watching closely the effect these defaults have on condominium communities as a whole, which are themselves victims of the sometimes reckless loan practices which enabled unqualified if well-meaning buyers. Can a community help (not forgive - help) its debtor? The condo is not in the banking or lending business. And when the first mortgage lender is also foreclosing, there are few options other than aggressively to protect the association's interest.

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