A house in Missouri was being sold and the owner wanted to negotiate a lower payment to settle the HOA liens because the buyer would not offer him enough money to cover both the HOA dues and the mortgage.(The amount offered actually wasn't enough to cover either amount in full)
The HOA liens was filed prior to the mortgage, which is owned by a private mortgagee, not a bank. The mortgagee had recently filed a new mortgage that replaced prior mortgages, after the HOA had already filed its liens. So I know the liens takes priority over the mortgage at this point.
The HOA agreed to a payout to release the liens that was lower than the total balance on the account.
Does that remaining balance disappear with the liens settlement and release, or does the difference between the amount paid to release the liens and the original account balance remain for the new owner?