Property Ownership
A Pennsylvania homeowner's association (HOA) in a planned community may foreclose on a unit for non-payment of assessments. Under the PA Planned Community Act, the HOA's lien for assessments:
AHas higher priority than any first mortgage
BIs subordinate to first mortgages but has super-lien priority for 6 months of assessments in some circumstances✓ Correct
CCannot be foreclosed — only a money judgment may be obtained
DExpires after 1 year if unpaid
Explanation
Under the PA Planned Community Act, the HOA's assessment lien is generally subordinate to a first mortgage lien. However, Pennsylvania provides a 'super lien' for up to 6 months of unpaid regular assessments that takes priority over a first mortgage during foreclosure, protecting associations' ability to collect some assessments.
People Also Study
Related Pennsylvania Questions
- In Pennsylvania, a mortgage lien is typically recorded to establish its priority. Priority among mortgage liens is generally determined by:Finance
- Pennsylvania's Homeowner's Emergency Mortgage Assistance Program (HEMAP) provides:Finance
- Pennsylvania's Act 91 Notice of Intention to Foreclose must be sent to a homeowner at least how many days before a foreclosure complaint is filed?Finance
- A buyer takes out a $240,000 mortgage at 6% annual interest. What is the first month's interest payment?Real Estate Math
- Under the PA Planned Community Act, a declarant must provide a public offering statement to a buyer of a unit in a planned community. The buyer has how many days to rescind after receiving the statement?Property Ownership
- Pennsylvania's recording act protects subsequent purchasers who record their deed. This means a later buyer who pays value and records first will generally prevail over:Escrow & Title
- A buyer in Pennsylvania secures a $280,000 mortgage at 6.5% annual interest. What is the monthly interest-only payment for the first month?Real Estate Math
- Under Pennsylvania's Landlord-Tenant Act, the maximum security deposit a landlord may collect in the first year of tenancy is:Property Management
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.
Private Mortgage Insurance (PMI)Insurance required by lenders on conventional loans with less than 20% down payment, protecting the lender — not the borrower — against default.
DeedA written legal instrument used to transfer ownership of real property from one party (grantor) to another (grantee).
EasementA non-possessory right to use another person's land for a specific purpose.
Study This Topic
Practice More Pennsylvania Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Pennsylvania Quiz →