WA SB5686

Expands Washington's foreclosure mediation program to include homeowners associations (HOAs), condominium associations, and other common interest communities, allowing unit owners facing foreclosure for unpaid assessments to access housing counseling and mediation services previously available only to mortgage borrowers

Requires associations to provide delinquent unit owners with a notice of delinquency within 30 days of a past-due assessment, including preforeclosure information in English and the owner's preferred language, with contact information for housing counselors and legal aid

Establishes a mandatory "meet and confer" process where unit owners and associations must attempt to resolve delinquent assessments before mediation referral, with associations prohibited from charging attorney fees during this 30-day period

Creates a new $80 foreclosure prevention fee assessed at closing on residential mortgage loans (excluding reverse mortgages for seniors over 61) to fund the foreclosure fairness account, which supports housing counseling, legal aid, the foreclosure hotline, and program administration

Sets minimum thresholds before associations can foreclose: unit owners must owe at least three months of assessments or $2,000, and associations must wait at least 90 days from delinquency, provide two preforeclosure notices 60 days apart, and obtain board approval for each foreclosure action