Is it Necessary to Inform Your Homeowners Association When Selling Your House?

Real Estate

As more homes in the US are being built in homeowners associations, it becomes more likely that you will have to deal with one. Therefore, when it comes time to sell, it’s important to let buyers know about your HOA membership. This is required so that the transaction can be completed according to the HOA rules and regulations, and the buyer can be informed about the HOA dues, rules, and regulations they will have to follow.

However, it’s not just the buyer who needs to be informed. It’s also a good idea, and sometimes necessary, to inform your HOA that you are moving. This is because many HOAs have specific rules that must be followed before a sale can be completed, and any outstanding fees that you owe may need to be collected. Even if you don’t owe any fees, you may still need to deal with your board before you can close the deal if you are planning to sell your home in an HOA community.

Depending on what state you live in and whether or not your HOA requires specific procedural action, you may need to follow a few steps regarding transfers of information and payments. You may also need to get a home inspection report if required by your HOA. To find out what your HOA requires, you can check the bylaws. Some states, like Virginia, require you to transfer a homeowner resale package to your buyer. This package should contain all the information your buyer needs to know about your HOA, and they have three days to opt out of the sale transaction for any reason.

Providing a resale packet to buyers may not be inconvenient, but extra fees that your HOA can add to your sale can be. Unfortunately, your HOA may charge you a fee for transferring paperwork from your name to the new homeowner’s name. Some HOAs charge a flat fee for this service, while others charge a percentage of the sale price of the home which can be controversial.

Paying Your Association to Move

Some homeowner associations (HOAs) charge transfer fees and enhancement or foundation fees in addition to regular dues. In Texas, a few associations charge a flat fee and a percentage of the home sale. It’s important to check with your association to see what fees they charge. Before you can sell your home, you must pay off all HOA dues, late fees, and fines. If the association requires a home inspection report before selling, you may have to pay for it. The inspection ensures that your home is up to code; if it isn’t, you’ll have to make repairs before selling. If you violate any HOA rules, you may have to pay fines. The article offers additional related articles and sources for more information.

FAQ

1. Do I need to inform my homeowners association that I am selling my house?

Yes, it is important to inform your homeowners association (HOA) that you are selling your house. This is because the HOA has certain rules and regulations that you must follow during the selling process. They may also have specific requirements for the new homeowners that you will need to inform them of.

2. Do I have to get approval from the HOA before selling my house?

No, you do not need to get approval from the HOA before selling your house. However, you will need to follow any guidelines or rules set forth by the HOA during the selling process.

3. What information should I give the HOA when selling my house?

You should inform the HOA of the sale of your house and provide them with the contact information for the new homeowners. You may also need to provide any necessary documentation or fees that the HOA requires for the transfer of ownership.

4. Will the HOA be involved in the closing process of my house?

No, the HOA is not typically involved in the closing process of your house. However, they may need to provide certain documentation or information to the new homeowners or their representatives.

5. What happens if the new homeowners do not comply with the HOA rules?

If the new homeowners do not comply with the HOA rules, the HOA may take necessary action to enforce their rules and regulations. This may include fines, legal action, or other measures as outlined in the HOA’s governing documents.

6. Can the HOA prevent me from selling my house?

No, the HOA cannot prevent you from selling your house. However, they may have certain rules and regulations that must be followed during the selling process.

7. Do I need to pay any fees to the HOA when selling my house?

You may need to pay certain fees to the HOA when selling your house. These fees may include transfer fees, document fees, or other charges as outlined in the HOA’s governing documents.

8. What happens if I do not inform the HOA that I am selling my house?

If you do not inform the HOA that you are selling your house, you may be in violation of their rules and regulations. This could result in fines or other penalties, and may also cause issues for the new homeowners during the transfer of ownership process.