Right of Redemption After Foreclosure

Tex. Prop. Code Section 209.011 Right of Redemption After Foreclosure (a) A property owners’ association or other person who purchases occupied property at a sale foreclosing a property owners’ association’s assessment lien must commence and prosecute a forcible entry and detainer action under Chapter 24 (Forcible Entry and Detainer) to recover possession of the property. (b) The owner of property in a residential subdivision or a lienholder of record may redeem the property from any purchaser at a sale foreclosing a property owners’ association’s assessment lien not later than the 180th day after the date the association mails written notice of the sale to the owner and the lienholder under Section 209.010 (Notice After Foreclosure Sale) . A lienholder of record may not redeem the property as provided herein before 90 days after the date the association mails written notice of the sale to the lot owner and the lienholder under Section 209.010 (Notice After Foreclosure Sale) , and only if the lot owner has not previously redeemed. (c) A person who purchases property at a sale foreclosing a property owners’ association’s assessment lien may not transfer ownership of the property to a person other than a redeeming lot owner during the redemption period. (d) To redeem property purchased by the property owners’ association at the foreclosure sale, the lot owner or lienholder must pay to the association: (1) all amounts due the association at the time of the foreclosure sale; (2) interest from the date of the foreclosure sale to the date of redemption on all amounts owed the association at the rate stated in the dedicatory instruments for delinquent assessments or, if no rate is stated, at an annual interest rate of 10 percent; (3) costs incurred by the association in foreclosing the lien and conveying the property to the lot owner, including reasonable attorney’s fees; (4) any assessment levied against the property by the association after the date of the foreclosure sale; (5) any reasonable cost incurred by the association, including mortgage payments and costs of repair, maintenance, and leasing of the property; and (6) the purchase price paid by the association at the foreclosure sale less any amounts due the association under Subdivision (1) that were satisfied out of foreclosure sale proceeds. (e) To redeem property purchased at the foreclosure sale by a person other than the property owners’ association, the lot owner or lienholder: (1) must pay to the association: (A) all amounts due the association at the time of the foreclosure sale less the foreclosure sales price received by the association from the purchaser; (B) interest from the date of the foreclosure sale through the date of redemption on all amounts owed the association at the rate stated in the dedicatory instruments for delinquent assessments or, if no rate is stated, at an annual interest rate of 10 percent; (C) costs incurred by the association in foreclosing the lien and conveying the property to the redeeming lot owner, including reasonable attorney’s fees; (D) any …

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