This is unfortunate to blog about but I have had the inside scoop on this "SCAM" lawyers are running on HOA's. Lawyers see HOA's as a gold mine, due to the fact that they can lien your house to get money. This much is fair, and it is necessary to Lien against property owners who refuse to pay dues.
The problem arises when lawyers DO NOT CONTACT property owners until AFTER they lein. Then they tack on exzorbinant fees, so people see a bill that is $3000.00 in back association dues, plue $2000.00 in legal fees for a grand total of $5000.00.
Now in the current economic climate, people are in debt with no equity, which means no consolidation options. SO, now add on the fact that you owe 5 grand (including 2k in legal fees). It's pressure and the typical responce is people GIVE UP and prepare to be forclosed on.
So if you are still with me so far you may be asking yourself, so where is the scam? We live in America... a free market society and lawyers can charge what they wish, if you don't like it hire another laywer, and I would agree. Except for the fact that the lawyers are now partnering with Investors to pick up these properties they helped send into forclosure and that is totally unethical. Worse off ask your board of directors what the average cost of legal fees are for a unit owner.....my guess is they don't know.
