New York Notice of Lien to a Subdivision Lot Owner For Unpaid Assessment

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Description

A subdivision is the development and division of a lot, tract, or parcel of land into two or more lots, plats, sites, or otherwise for the purpose of establishing or creating a subdivision through sale, lease, or building development. The developer will generally file a document called a Declaration of the Covenants and Restrictions of (Name of Subdivision). This Declaration is normally filed in the land records of the county where the subdivision is located, and will contain regulations regarding the administration and maintenance of the property, including payment of assessments by the owners.


This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.

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FAQ

Notify the homeowner before filing a lien. Before a lien can be filed, Florida law requires the HOA to provide a homeowner with a written demand for the outstanding amount and permit him or her 45 days to pay the amount in full.

Because New York is not a super lien state, a bank foreclosure will take priority over a community association's lien and does not require the lender to provide any compensation to the association for unpaid assessments.

Under New York law, the general rule is that liens have priority in the order that they are recorded first in the public land records which is known as the ?first in time, first in right? rule, but there are many exceptions to the general rule.

In a super lien state like Florida, the HOA gets paid first, the lender second, and if there is anything left, other junior lien holders are paid off.

A super lien is not a completely separate type of lien, but rather a level of priority assigned to an existing lien. It means that certain liens, like association liens, will have a level of priority for debt recovery in the event of a foreclosure on a property, ignoring priority normally given to recording dates.

Following a first-mortgage foreclosure, all junior liens (including a second mortgage and any junior judgment liens) are extinguished, and the liens are removed from the property's title. But the second-mortgage debt and creditor's judgment remain, even though they're no longer attached to the foreclosed property.

Homeowners' Associations in New York, or otherwise known as Common Interest Communities, are regulated by the Attorney General's office and must be set up as non-profit organizations. They are governed by NY Not-For-Profit Corporation Law, the Association's Articles of Declaration, and Bylaws.

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New York Notice of Lien to a Subdivision Lot Owner For Unpaid Assessment