Wis. Stat. §703.165
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Condominium Ownership Act — Lien for Unpaid Common Expenses
Establishes the association's lien on units for unpaid common expenses, damages, and penalties. A statement of lien must be filed within 2 years after the assessment becomes due. The lien is prior to all other liens except general and special tax liens, and sums unpaid on a first mortgage recorded prior to the assessment. No super-priority provision — the lien is fully subordinate to first mortgages. Foreclosure must be judicial (same manner as mortgage foreclosure). 10-day notice to owner required before initiating foreclosure. 12-month redemption period applies.
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Statutory Text
Verified Aug 5, 2026 · OTHER
Wisconsin Legislature: 703.165 Home Documents Senate Assembly Committees Service Agencies Docs Options Help 2025 Biennium Statutes Admin. Rules Indices Miscellaneous Archives Home Bill, Rule, and Appointment Histories Senators Representatives Committees Text of Introduced Proposals Amendment Text Acts Veto Messages Enrolled Bills Votes Assembly and Senate Floor Calendars Schedule of Committee Activities Assembly and Senate Journals Committee Records (ROCPs) Legislative Rules All Session-Related Documents Subject Index to Acts Subject Index to Legislation Subject Index to Journals Author Index to Legislation Subject Index to Clearinghouse Rules Miscellaneous Budget Documents Executive Orders Rulings of the Chair Wisconsin Supreme Court Rules Opinions of the Attorney General Town Law Forms Law Districts Session Drafting Files Feeds Preferences Show tree Hide tree Feedback Help Home Senate Home Senators Committees Session Chief Clerk Sergeant at Arms Civics Education Human Resources Assembly Home Representatives Committees Session Chief Clerk Sergeant at Arms Human Resources Schedule Joint Senate Assembly Study Legislative Audit Bureau Legislative Council Legislative Fiscal Bureau Legislative Human Resources Office Legislative Reference Bureau Legislative Technology Services Bureau Up Up 703.163(2)(a) (a) 703.163(2)(a)1. 1. Except as provided in subds. 2. and 3. , this section applies to condominiums consisting exclusively of units that are restricted to residential uses. 703.163(2)(a)2. 2. This section does not apply to a small condominium unless the declarant or the association, with the written consent of a majority of the unit votes, elects to be governed by this section. 703.163(2)(a)3. 3. This section applies to a condominium consisting of both residential and nonresidential units if the declarant or the association, with the written consent of a majority of the unit votes of the residential units and a majority of the unit votes of the nonresidential units, elects to be governed by this section. 703.163(2)(b) (b) This section does not affect a reserve account or a similar account existing on November 1, 2004, or a reserve account or similar account established on or after November 1, 2004, that is not a statutory reserve account. 703.163(3) (3) New condominiums; establishment of statutory reserve account by declarant. 703.163(3)(a) (a) Except as provided in par. (c) , the declarant of a condominium that is created on or after November 1, 2004, shall establish a statutory reserve account when the condominium is created and shall execute a statutory reserve account statement. The declarant shall determine the annual amount to be assessed unit owners for reserve funds after considering the factors under sub. (7) (a) to (e) and, if the condominium is a conversion condominium with more than 4 units, the report prepared under s. 703.33 (2) (cm) 1. 703.163(3)(b) (b) Reserve fund assessments for the reserve account established under par. (a) may first be assessed on a particular unit when a certificate of occupancy has been issued that applies to that unit. The declarant may elect to defer payment of the accrued assessments for a particular unit until the first conveyance of that unit. The declarant may not defer payment of accrued reserve fund assessments for more than 5 years …
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Assessment
| Ref | Requirement |
|---|---|
| May be foreclosed in the same manner as a mortgage on real property | |
| Must mail a written notice to a condo owner ten days before starting a foreclosure | |
| Establishes the association's lien on units for unpaid common expenses, damages, and penalties. | |
| (1)(a) | If a statement of lien is filed within 2 years after the date the assessment becomes due |
Enforcement
| Ref | Requirement |
|---|---|
| No super-priority provision — the lien is fully subordinate to first mortgages. | |
| A statement of lien must be filed within 2 years after the assessment becomes due. | |
| The lien is prior to all other liens except general and special tax liens, and sums unpaid on a first mortgage recorded prior to the assessment. |
Other sections in this chapter
- Wis. Stat. §703.02 — Wisconsin Condominium Ownership Act — Definitions
- Wis. Stat. §703.15 — Condominium Ownership Act — Association of Unit Owners
- Wis. Stat. §703.16 — Condominium Ownership Act — Common Expenses and Common Surpluses
- Wis. Stat. §703.161 — Condominium Ownership Act — Annual Budget
- Wis. Stat. §703.163 — Condominium Ownership Act — Statutory Reserve Account
- Wis. Stat. §703.17 — Condominium Ownership Act — Insurance
- Wis. Stat. §703.20 — Condominium Ownership Act — Association Records; Financial Audits
- Wis. Stat. §703.33 — Condominium Ownership Act — Disclosure Requirements
- Wis. Stat. §703.335 — Condominium Ownership Act — Payoff Statement
- Wis. Stat. §703.365 — Condominium Ownership Act — Small Condominiums
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Legal references last verified April 15, 2026.
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