Hello! Long time lurker here. I've bought a handful of foreclosure properties here in Colorado and am running into an interesting scenario with my most recent purchase. As soon as I got it, I reached out to the HOA management company with my deed and started paying my monthly assessments. They informed me that there was roughly $5k of past due assessments from before my ownership. Luckily, it's directly spelled out in our governing documents that assessment debt can't be passed from previous owners to new owners. The debt went away initially (foreshadowing...).

Fast forward about 2 months and I get a notice in the mail for 6 months of assessments from before my ownership. Again, I give them the line and tell them the previous owner is responsible for all assessments during their ownership period. They (HOA manager, HOA president, and HOA attorney) inform me that there's a super lien on the property and that I have to pay it.

Of course I pulled an O&E before purchase and there was only the mortgage lien (foreclosing lien) on the property. The redemption period expired with no other lienholder pursuing any funds (again, no other lienholders recorded). I did another search and there is no lien filed on the property recorded with the county. I asked for a copy of the lien because there's no record of one, and they informed me that the super lien is statutory and does not need to actually be filed or recorded. I guess it's just in their heads? This feels like the time Michael Scott tried to declare bankruptcy by yelling "I DECLARE BANKRUPTCY."

As far as I can tell, super liens are a tool for HOAs to recoup past due assessments through the foreclosure process. They are designed to be filed before the foreclosure and then jump above the foreclosing lien in seniority and either get reimbursed from the foreclosure sale or survive the foreclosure and are passed to the new owner. If they aren't actually filed, there is no way to recoup money through the normal mechanisms. Side note, our governing documents also specifically states that all HOA assessment liens will be junior to the mortgage, so I also think they can't pursue a super lien despite Colorado allowing it.

I have a meeting with an attorney tomorrow (Front Range real estate attorney recommendations?), but I'm genuinely curious if anyone has had any similar experience with this and how you would approach this. It feels like a desperate attempt to pressure someone into paying, but I've been surprised before. I'm trying to stay level-headed and unemotional about it (it's not going to kill my deal regardless), but this doesn't pass the common sense test. That said, it's certainly impacting my project in numerous ways and I will have legal expenses.

I also know that they "didn't know about the sale ahead of time", so I have to imagine that played a role in the lien. They replied to one of my emails with their internal emails still attached :) I do know the county notified them of the sale well ahead of time and documented the notification.

Thanks!

Denver, Colorado

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