Delaware HOA Assessments, Liens & Foreclosure (DUCIOA)

25 Del. C. § 81-316 gives the association a lien once an assessment becomes due. The lien is generally junior to a first mortgage, but it "shall have priority over the security interests ... for an amount not to exceed the aggregate customary common expense assessment against such unit for 6 months" — a true super-priority. Unless the declaration says otherwise, interest accrues at "the lesser of 18% per annum or the highest rate permitted by law." The lien is foreclosed "in like manner as a mortgage on real estate," and the judgment "must include costs and reasonable attorney's fees for the prevailing party." A fines-only lien cannot be foreclosed until the association first secures and perfects a judgment.

Delinquent owners face accruing interest up to 18% per year, late charges, suspension of privileges, court costs, attorney's fees, and ultimately judicial foreclosure of the unit under § 81-316.