Property Management
A Florida HOA has the right to collect assessments through a lien on the property. Under Chapter 720 F.S., an HOA lien for unpaid assessments:
AHas priority over all other liens including mortgages
BCan be foreclosed but generally has lower priority than the first mortgage✓ Correct
CCannot be foreclosed in Florida
DIs extinguished automatically upon resale
Explanation
An HOA lien for unpaid assessments (Chapter 720 F.S.
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Key Terms to Know
Lien
A financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.
Right of First RefusalA contractual right giving a party the opportunity to match any offer received before the owner can accept it from a third party.
Short SaleA sale of real property where the sale proceeds are less than the outstanding mortgage balance, requiring lender approval.
Earnest MoneyA deposit made by the buyer when submitting a purchase offer, demonstrating serious intent and serving as consideration for the contract.
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