Homeowners Associations Get Nasty: Foreclose or Sue to Collect Dues

HOA's are getting more aggressive
HOA's are getting more aggressive

The story of Army Capt. Michael Clauer's family, whose Frisco, Texas home was sold out from under them after his wife failed to pay -- or sporadically paid -- their homeowners association dues, has opened the floodgates to reports about how brutal HOAs are becoming. The reports are especially troubling during a recession, when so many homeowners are having trouble paying their bills.

In 30 states, HOAs have the power to foreclose on homeowners who do not pay up, which has made them even more vilified than the IRS!

And now some are resorting to cutting off utilities: A Georgia woman has been living without water for more than a year now, all because she failed to pay her HOA dues.