Yes, it’s possible. If you win the HOA foreclosure, you take title subject to the existing mortgage. You didn’t take out the loan, but the mortgage stays with the property, not the owner.
After the sale, you can request a payoff from the lender and pay it in full, or try to negotiate. If you don’t, the lender can later foreclose and wipe out your interest.
Bottom line: you can pay off the mortgage, but you’re buying the property with that mortgage still attached, so know the payoff before bidding.
If they give you issues with getting payout or talking to you, contact us, we have a solution.