HOA's and foreclosure

[Preston Hamilton]

Ok, I generally think I now a decent amount about shortsales, but I must admit, I'm clueless as to how HOA's are able to force a foreclosure and buy properties for a dollar. I dn't know if this is an Oregon thing or what, but I see it happen often enough that I feel I need to know the ins and outs. Its screwed up some shortsales for me recently, in one example, Litton wasn't working on the shortsale very promptly because they refused to believe the HOA would be able to clear their lien off title. Sure enough, the HOA cleared everyone off title and took posession for a dollar. The homeowner got a letter from the sherrif stating they had six months to buy it back for the amount the property was sold for, plus taxes+fee's etc and is now investigating that on their own.

Anyhow, any information is appreciated.