Of the two foreclosure methods available to community associations in California, we prefer non-judicial foreclosure for its efficiency and cost benefits. Non-judicial foreclosure tends to get to the point quicker, and as a result, often times leads to matters being resolved much sooner than in a judicial foreclosure. That's not to say judicial foreclosure should never be used. There is indeed circumstances which we recommend proceeding with a lawsuit over a private sale, and each case is throughly reviewed before a course of action is recommend. Properties that are "under water," accounts that have significant compliance issues, or issues with title, are just some reasons we would recommend an association utilize judicial foreclosure over non-judicial.
The idea behind any foreclosure action is to make the association whole monetarily. The purpose is not to take an owners' house, but to elicit payment from a delinquent owner so the association can continue to operate as intended. Foreclosure is serious, and the California Legislature gave community associations the ability to foreclose assessment liens because it understood the importance assessments play in an association's ability to operate.