Full question:
If time share was foreclosed by HOA, how do you release the Lien initially recorded, when the HOA insists that the Affidavit and recording of the deed is all that is needed to release the lien? We are presently in escrow on another property and it is being jeopardized.
- Category: Real Property
- Subcategory: Foreclosure
- Date:
- State: Hawaii
Answer:
Recording the deed and the affidavit should release the lien. If the HOA is causing issues with the buyer's assurance, you can request that they file a formal release of lien.
According to Hawaii statutes, specifically Haw. Rev. Stat. § 667-38, recording both the conveyance document and the affidavit acts as full satisfaction of the debt owed by the borrower to the foreclosing mortgagee, even if no proceeds are received from the sale, unless other collateral secures the debt.
Additionally, Haw. Rev. Stat. § 667-33 states that once both documents are recorded, the sale is complete, and all junior liens are extinguished. This means that the purchaser gains immediate possession of the property.
If you continue to face challenges, consider consulting a legal professional for further assistance.
This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.