Hawai'i's super-lien law means an HOA can foreclose ahead of your mortgage. Know your rights and timeline.

HOA delinquency starts the moment your assessment payment is late. Don't wait for a formal notice:

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  Missed payment deadline — Assessments due on specific dates set by your CC&Rs (Covenants, Conditions & Restrictions), whether monthly, quarterly, or annual
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  Grace period ends — Usually 15-30 days after due date (check your CC&Rs)
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  Late fees and interest begin accruing immediately — Even if HOA hasn't sent a notice yet
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  Special assessment issued — For roof repairs, structural work, insurance increases, code upgrades. Can be $5,000–$50,000+ and due within 30-90 days
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  Your mortgage servicer may pay — If your loan has an escrow account, the servicer may pay delinquent HOA dues to protect their security interest. This increases your mortgage debt!

Critical point: HOA debt compounds FASTER than mortgage debt because of unlimited late fees + 15% interest + attorney fees.

Understanding what you actually owe is critical. HOA can add many types of charges:

Since the 2023 Maui wildfires and a tightening global reinsurance market, Hawaiʻi condominium master insurance premiums have jumped roughly 300–500%. Because master insurance is often about 30% of an association’s budget, those increases don’t stay with the AOAO (your building’s Association of Apartment Owners) — they reach you as higher monthly maintenance fees and, increasingly, large special assessments.

Why this becomes a lien — and foreclosure — risk:

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  An insurance-driven special assessment is still an assessment. If you can’t pay it, it follows the same path as any unpaid HOA debt: late fees → lien → possible super-lien foreclosure ahead of your mortgage.
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  Underinsured buildings are hard to sell or refinance. When a building can’t get full replacement-cost or hurricane coverage, lenders (Fannie Mae / Freddie Mac) often won’t finance units there — shrinking your buyer pool and pushing values down right when you may need to sell.
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  Hurricane deductibles can be huge. A master policy’s hurricane deductible can run into the millions — and after a storm, that gap is typically passed to owners as a special assessment.

What you can do as an owner:

• 1
  Check your HO-6 “loss assessment” coverage. This part of your individual condo policy pays your share of a special assessment after a covered disaster the master policy doesn’t fully cover. Many policies start at only $1,000–$50,000 — ask your agent whether you can raise the limit.
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  Ask your AOAO the right questions. Does the master policy carry 100% replacement-cost coverage? What is the hurricane deductible? How healthy are the reserves? Are any special assessments planned? Request the master policy’s declarations page.
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  Budget for the possibility. If your building is underinsured or in a high-risk area, set aside what you can — an assessment you’ve planned for is far less likely to spiral into a lien.

State relief now exists (for associations):

Under Act 296 (2025), the state reactivated the Hawaiʻi Hurricane Relief Fund (HHRF) to offer a layer of hurricane coverage to eligible condo and townhouse associations that private insurers have turned away, and created a Condominium Loan Program of low-interest loans to help buildings complete the repairs insurers require before they’ll cover them. These are association-level programs — so if your building is struggling to stay insured, urge your board to look into them. (New Act 296 loan commitments run through June 30, 2027.)

Unlike most states, Hawai'i gives HOA liens "super-lien" priority for up to 6 months of unpaid dues. This means an HOA can foreclose on your condo even if you are current on your mortgage. Your mortgage lender's lien is subordinate to the HOA's claim for that 6-month window.

This applies primarily to condominiums under HRS §514B. Planned unit developments (PUDs) may have different rules — check your CC&Rs (Covenants, Conditions & Restrictions).

🔴 Critical consequence: If HOA forecloses on super-lien, it wipes out your ENTIRE mortgage. Your lender loses everything.

This is one of your MOST IMPORTANT protections. If you give written notice to the HOA of your intent to cure the delinquency, the foreclosure is PAUSED for 60 days.

⚠️ Critical: You must give notice IN WRITING to activate this 60-day pause. Verbal statements don't count.

Before paying anything, you have the right to demand an itemized accounting of EVERY charge:

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  Request complete payment ledger — Dated entries for each assessment, late fee, interest calculation, attorney fees, costs
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  Verify CC&R authority — Are all fees authorized by your building's CC&Rs? Check the document
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  Challenge errors — Accounting mistakes are common. HOA must prove amount claimed
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  Check payment application — Did HOA apply your payments to the right category? Misapplication is a valid defense
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  Challenge unreasonable fees — All late fees, interest, and attorney fees must be reasonable. Unlimited doesn't mean unlimited UNREASONABLE charges

You may have valid legal defenses. Common ones:

This matters because judicial foreclosure is slower and gives you more time to fight.

💡 Key insight: If most of your debt is attorney fees and late fees, HOA MUST use judicial foreclosure (slower, better for you!).

Your mortgage lender/servicer has a financial interest in HOA delinquency. If you don't pay HOA dues and they're in escrow, the servicer may:

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  Pay the HOA delinquency directly to protect their security interest
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  Add amount paid to your mortgage balance (increases your debt but stops HOA foreclosure)
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  Charge you for the escrow advance plus fees and interest
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  Require you to reimburse the escrow account in future monthly payments

Bottom line: Contact your mortgage servicer if you're delinquent on HOA. They may help. If they pay, understand what gets added to your mortgage.

Gather these documents before contacting the HOA or filing for mediation/arbitration:

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  Mortgage statement & promissory note (shows lender's stake in property)
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  CC&Rs (Covenants, Conditions & Restrictions) (defines what fees are authorized)
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  Complete HOA payment ledger (request from management company or board)
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  All payment receipts and cancelled checks (proof of what you've paid)
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  HOA notices received (delinquency notices, demand letters, intent to foreclose)
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  HOA annual budget & meeting minutes (shows how fees are used and justified)
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  Documentation of hardship (job loss, medical emergency, income reduction, etc.)
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  Proof of correspondence with HOA (emails, letters, dated conversations)

Tip: Get everything in writing. "Verbal agreements" with HOA boards don't hold up. Written payment plans do.

• 1
  Stop the foreclosure immediately. Send written notice to HOA of intent to cure delinquency. This activates your 60-day pause.
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  Request complete payment ledger from HOA. Itemized list of every charge, date, and reason. Verify every line.
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  Review your CC&Rs. Verify all charges are authorized by your building's governing documents.
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  Contact your mortgage servicer. Inform them of HOA delinquency. They may help protect their security interest.
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  Propose a written payment plan to HOA board. HOA must accept reasonable plans. Include current assessments + catch-up over 6-12 months.
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  If HOA rejects plan, request mediation through DCCA. Condo dispute resolution program is designed for this.
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  Get current market valuation. Know your equity position before deciding to sell.
• !
  Do NOT ignore HOA notices. A 6-month super-lien can trigger foreclosure faster than a missed mortgage payment. Every day matters.
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  Contact Barbara. Free options review — understand which path (payment plan, mediation, sale, or other) makes sense for your situation — 808-781-6951.