Property OwnershipIntermediateArizona Exam

In Arizona, a homeowner's association (HOA) lien for unpaid assessments is generally:

ASuperior to all other liens including first mortgages
BSubordinate to first mortgages but may allow the HOA to pursue collection and foreclosureCorrect
COnly enforceable if approved by ADRE
DUnenforceable unless the homeowner signed a personal guaranty

Why Subordinate to first mortgages but may allow the HOA to pursue collection and foreclosure Is Correct

Answer B: Subordinate to first mortgages but may allow the HOA to pursue collection and foreclosure

Arizona HOA liens for unpaid assessments are typically subordinate to first mortgage liens. However, an HOA may foreclose on its lien under Arizona statute (A.

Exam Tip: Property Ownership

Property ownership questions test the bundle of rights and different forms of ownership. Know the differences between joint tenancy, tenancy in common, and community property, including the right of survivorship.

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