As you’re well aware, there’s been quite an uptick in the emergence of Homeowners Associations (HOAs) in the past two decades.
Bylaws have shifted over this time, whereby some homeowners may find it necessary to consult with their HOA to sort out matters before putting their home up for sale. There are certain questions you can expect your current homeowners to ask when they go to sell their properties.
Why homeowners must contact the HOA before selling their house
Homeowners must reach out to their HOA’s treasurer to ascertain whether they have any outstanding balances or have upcoming costs that they need to cover before listing their home for sale.
A homeowner should also contact the HOA to find out if the community’s bylaws require them to follow particular procedures in transferring your home to its new owner, such as pre-paying any association dues. It’s also critical that your current homeowner inquires whether the HOA requires a pre-closing inspection.
You should expect your current homeowner to inquire whether you require them to be the party that purchases the resale package or if the prospective new homeowner will be the one to do that. This packet generally includes all the restrictions, covenants, and rules new association members must agree to follow.
Some HOAs require homeowners to pay a fee to transfer HOA dues and paperwork into the new buyer’s name. Some HOAs charge a flat rate, while others assess a percentage of the home’s sales price.
Ensuring your homeowners abide by your HOA’s bylaws
Many homeowners opt to live in community associations to give their property a fighting chance of retaining or growing its value. Your homeowners likely understand that you have to implement certain rules to ensure this occurs.
Be upfront with the homeowners in your HOA about the steps they need to take if they plan to sell their property. Reading the legalese in the bylaws can be challenging, so experienced legal assistance can help.