What is the Association’s Next Step after a Sheriff’s Sale?
With the foreclosure climate as high as it is in the State of Michigan, many associations will be the highest bidder at its own sheriff=s sale; but board members and co-owners may be wondering what the next step is.
Normally, the co-owner whose unit as gone to a sheriff’s sale will have a six month redemption period to pay back all monies due and owing to the association together with interest as a result of the sheriff=s sale unless the unit is abandoned which results in a shorter redemption period. That, of course, depends upon the terms of the foreclosure sale and/or judgment obtained. After the redemption period expires, the Association has ownership of the units subject to any prior encumbrances on it but may have to seek a removal of the co-owner from the unit through court proceedings. One is best advised in general to consult with a condominium specialist in regard to one's best remedies.