This decision holds that securitized mortgages that Freddie Mac or Fannie Mae held in trust for investors became the property of the FHFA when that agency placed the two GSEs into conservatorship.  Following Berezovsky v. Bank of America (9th Cir. 2017) 869 F.3d 923, the decision holds that HERA’s Federal Foreclosure Bar preempts Nevada law granting homeowners associations super-priority liens for unpaid dues.  So a person buying at the foreclosure sale of the homeowner’s association’s lien takes subject to the lien of any deed of trust on the property held by Fannie Mae or Freddie Mac.  The assertion of that lien does not deny due process to the buyer at the homeowner’s association’s foreclosure sale.

Ninth Circuit Court of Appeals (Katzmann, J.); June 25, 2018; 2018 U.S. App. LEXIS 17172