QUESTION: What is the individual unit owner's liability/responsibility when the HOA takes out a bank loan?

ANSWER: HOA bank loans are secured by a special assessment against the membership. Individual owners are responsible for their portion of the assessment. However, their obligation could expand if other members become delinquent, are foreclosed upon or declare bankruptcy. When that happens, the association may have no choice but to increase the burden on everyone else via higher dues or special assessments to make up the lost revenue.