HOA Foreclosure Sale Preempted By Federal Foreclosure Bar

Mealey's (December 16, 2021, 9:04 AM EST) -- SAN FRANCISCO — A federal district court did not err in determining that a party does not own certain property free and clear of the interest of lender Federal Home Loan Mortgage Corp. (Freddie Mac), which the party obtained through a homeowner association’s (HOA) foreclosure sale because although the HOA had “superpriority” status over certain liens on the property, the state law is preempted by the Federal Foreclosure Bar, a Ninth Circuit U.S. Court of Appeals panel ruled Dec. 8 in affirming....