How to Handle HOA Fees During Probate in Orange County

When a property is in probate in Orange County, the estate is responsible for continuing to pay HOA (Homeowners Association) fees. The executor or administrator must ensure that these fees are paid on time to avoid penalties, interest, or liens, even if the property cannot yet be sold.

Why HOA Fees Still Apply During Probate

HOA fees are tied to the property, not the individual owner. So even if the original owner has passed away, the estate must pay any recurring monthly dues or assessments until the home is legally transferred or sold. This is critical to:

• Avoid late fees or interest

• Prevent HOA from placing a lien on the property

• Maintain access to community amenities or property upkeep

• Keep the property marketable for a future sale

What Happens If the Estate Can’t Pay the HOA Fees?

If the estate lacks immediate funds, the executor can:

1. Use estate funds held in probate accounts (once approved by the court).

2. Request short-term financing if the property is likely to sell quickly.

3. Negotiate with the HOA for payment arrangements or deferrals.

4. Request reimbursement later if an heir fronts the payment.

It’s crucial to communicate with the HOA board early to avoid legal complications. Some associations may be flexible if they know the home is going through probate and a sale is pending.

Can an HOA File a Lien During Probate?

Yes — and they often do. In California, HOAs are legally allowed to:

• File a lien for unpaid dues

• Add interest and collection costs

• Initiate foreclosure (non-judicial)

However, during probate, the court typically prioritizes debts in a specific order, and HOA liens must still follow those legal protocols. A lien may delay the sale but won’t necessarily block it if it’s handled properly through escrow.

Should You Pay the HOA Fees Out-of-Pocket?

In some cases, a family member or heir may decide to cover the HOA dues to avoid complications. If you do this, make sure to:

• Keep detailed records of all payments

• Notify the probate attorney or executor

• Submit a formal claim for reimbursement from the estate

This is common in Orange County where HOA dues can range from $150 to over $1,000 per month depending on the community (e.g., Irvine, Laguna Woods, Huntington Beach).

Can You Sell a Probate Home with Unpaid HOA Dues?

Yes — but it will complicate escrow.

Here’s what usually happens:

Scenario Resolution in Escrow

Dues are current Sale proceeds normally

Small overdue balance Paid off in escrow before closing

Lien has been filed Must be settled or negotiated before close

`Foreclosure has started May require court approval or halt foreclosure

HOA payoff demands are treated like any other lien payoff — your probate realtor and escrow officer will coordinate the correct paperwork.

How The Borges Real Estate Team Helps in HOA-Heavy Probate Sales

In Orange County, especially in condo-heavy markets like Costa Mesa or Mission Viejo, we regularly help executors:

• Calculate and track HOA dues

• Communicate directly with HOA boards

• Clear liens before sale

• Ensure smooth closings even with delinquent dues

We’ve even worked with HOAs to postpone legal action during the probate process while a home is being cleaned, prepped, and listed.

👉 Reach out to us here if you’re dealing with a probate home in an HOA community.

Local Probate HOA Challenges in Orange County

Here are common issues we see in local cases:

• Laguna Niguel: Gated communities require maintenance fees even when vacant

• Anaheim Hills: High monthly assessments can accumulate quickly

• Irvine: Strict architectural rules can add pressure on families to comply during probate

• Lake Forest: Older HOAs can place liens faster than expected

Knowing the HOA's rules is just as important as understanding the probate process.

Summary: What to Know About HOA Fees in Probate

• Yes, you must pay HOA dues during probate.

• Unpaid fees may result in liens or foreclosure.

• You can negotiate or pay from the estate — or front the cost and seek reimbursement.

• Work with a probate realtor experienced in HOA coordination to avoid delays.