HOA Liens Up In Super-Lien States
Benutech's latest HOA Lien Tracker finds that liens against owners for unpaid dues are increasing at an alarming rate in super-lien states where the liens are considered secured debt that sometimes take precedence over a primary mortgage
Homeowners are not only being hit by rising property taxes and higher insurance premiums, they also are having to contend with increasing homeowner association (HOA) dues. And in some cases, these dues are not being paid.
Benutech, a real estate data provider that recently launched its HOA Lien Tracker, says liens against owners for unpaid dues are increasing at an alarming rate in super-lien states where the liens are considered secured debt that sometimes take precedence over the primary mortgage.
The unpaid dues and resulting liens are often a harbinger of mortgage delinquencies and eventual foreclosures.
In 10 of the 14 super-lien states the company covered, the number of liens increased. In eight of those, they were up by double digits between last year and this one.
In Louisiana, they were up nearly 171%. In Colorado, they have jumped 146%. They have risen by 72% in D.C., 62% in Delaware, 39% in Alabama, 38% in Maryland, 37% in Washington and 34% in Illinois.
At the same time, the number of supper liens has dropped by 90% in Alaska, from 20 in 2024 to just two this year. They are also down 12% in Minnesota, 8% in Florida, and 5% in New Hampshire.