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What is a homeowners’ or condominium owners’ association foreclosure?

Under North Carolina law, a homeowners’ association or a condominium owners’ association may file a claim of lien on real property when a homeowner does not pay assessments as required under restrictive covenants (declaration). The procedure for filing and foreclosing a claim of lien is set forth in North Carolina General Statute §47F-3-116 for homeowners’ associations and North Carolina General Statute §47C-3-116 for condominium owners’ associations.

The association, acting through the executive board, may foreclosure the claim of lien in a like manner as a mortgage or deed of trust under power of sale as provided under Art. 2 in Chapter 45 of the General Statutes. An association may also choose to foreclose a claim of lien through the foreclosure by civil action process.

Housing Eviction 

This information applies to All Counties in North Carolina.

Source: https://www.nccourts.gov/help-topics/housing/foreclosures

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