In a short sale the HOA and the negotiator has to come up with a number. http://www.mypbchomes.com
I would suggest you find out how much the difference ind...and ask your Realtor or your Attorney to offer a portion of what is considered 'due' in your behalf...if you feel the property worth it !
Good luck and focus on your goal!
Marsha Montoya Mayer- Realtor
Paradise Properties of Florida, Inc.
Just thought of a valid threat your attorney or the attorney for the Title company, could communicate to the HOA attorney.
If the closing is delayed past December 31st because the HOA attorney fails to extinguish a lien that is fully satisfied per the Florida statutes then the Buyer shall expect to be reimbursed for the "extra" property taxes that will be owed if he cannot file for Homestead Exemption!
If you are planning to occupy as your primary residence you may lose about $700 by paying that much extra in property taxes next year! You must own and reside in the property by Jan 1st 2011 to get the Homestead discount.
Andrew and Elena Ollick
Latest Post: Housing Has Finally Hit the Bottom
Quite simply, take a step back and let them "duke it out."
The bank as the owner is responsible for providing the new buyer with a clear title.....if the is debt associated with the property or the HOA has put a lien on the property the bank will not be able to close any transaction involving the property until it is resolved.
Your options are minimal and directly controled by the resolution of this issue. On the other hand, if deadlines have not been met by the seller, you can elect to move on and explore other options.
Unfortunately many of the HOA attorneys are a bit sleazy and may attempt to coerce a lender or the buyer to pay them more than is required by Florida Statutes because they know that they have to release the lien for the sale to close. As Antonio and others have suggested, make the HOA attorney an offer to pay them a few hundred dollars. Alternatively if they want you to pay thousands of dollars it may be worth hiring an attorney to at least send a threatening attorney to the HOA attorney that you will pursue them in court to remove their lien. Make sure your attorney also sends a copy of her letter to the Board of Directors because the "volunteer" board of directors for HOAs often rely on often unethical advise from self-serving HOA attorneys. There are certain well known offending HOA law firms and I would bet you're dealing with one of those firms. It may be less hassle to just pay a few hundred dollars.
I got in late on this, but all the answers were great. The Title Company in Florida usually helps resove this. But they do not represent you. Maybe in this case you should consult a Real Estae Attorney to make sure you get a clear title and all fees are paid before you close.
Teddy below has the best answer. I had a similar situation and the closing was on hold for close to a month, the lender was ready to walk away. The buyer offer to pay a portion of the amount in disagreement and the bank agreed to pay the rest, we closed in 2 days. And buyer ended with a great home at a great price.
So if the home is worth it, offer to pay a part of the amount in question. That should get things moving.
Charles Rutenberg Realty.
Myra is right. Any liens or unpaid debts agains the unit would be collected and distributed by the title company. However I think what is happening is that the Bank only wants to pay off a certain amount of the HOA debt. There isn't much you can do unless you agree to pay the difference, which I don't suggest. At this point all you can do is wait to see what the work out.
Best of luck,
â€œYour Best Friend in Real Estateâ€
RE/MAX Masterpiece Realty
1775 SW Gatlin Blvd
Port St Lucie, FL 34953
Craig Fialkowski GRI,CDPE
Realty Elite The Palm Beaches
As long as your contract with the bank has been properly executed by both parties and they are responsible for clear title you have nothing to worry about. Make sure that you are getting an Owner's Title Insurance Policy which hopefully is being paid for buy the Seller. Many times banks are pushing this expense back on the Buyer in their addendum so make sure you have read the document carefully.
The title company will work to resolve the financial issues with the Homeowners' Association and will need a clear estopppel from them before you will be able to close on the transaction.
I hope this information is helpful and the very best of luck with your new home.
Always at Your Service,
Tom Priester e-PRO
"Results Driven Real Estate"
Keller Williams Realty