2. See my response to question 1.
3. Neither you nor your agent should be requesting HOA documents for two reasons:
A) Most lenders require that the escrow officer order HOA documents and then deliver them to the lender and to you. It's a "chain of custody" issue. Lenders don't want you or your agent to have the opportunity to make any modifications to the documents before they get them. Having escrow handle them ensures this.
B) The escrow officer should also be submitting a questionnaire to the HOA, either their form or one provided by the lender, that must be completed by the management company or an officer of the HOA. This form typically verifies the number of owners, owner occupancy, whether or not the HOA is involved in a law suits, etc.
You and your agent may want to discuss this with your escrow officer before you do anything else.
There should be laws regulated how much money can be charged for this, as this is absolutely ludicrous!!!!!
Sorry, but $340 IS excessive for printing documents they already have typed up.
NNJ also won't give agents basic information about the condo complexes they manage, they expect to be paid for it. This information tells an agent whether their buyer's loan has a chance of working with that complex before they show it. So, instead, the buyer's only choice is taking his chances in escrow to know if he can get the loan - after he paid even bigger bucks for an appraisal and inspection out-of-pocket. Reasonable? No.
And, your agent should absolutely be doing the legwork! That's what we DO (or are supposed to do). You can always contact your agent's broker and request an agent who actually earns the commission.
I hope this purchase works out for you!
Cory La Scala, REALTOR
The amount that you are being asked to pay for the HOA docs is not out of line with what I have seen from other HOAs and management companies.
What is â€œreasonableâ€? I guess we will not know the answer to that question until someone sues and the courts give us an answer. I donâ€™t think HOA document fee amounts are reasonable, but that is just an off the cuff opinion. We agree that it costs an HOA money to provide the requested documents. Many HOAs are under extreme financial pressure these days and are looking for ways to balance their books. I think HOA transfer fees and doc fees are treated as a source of income by HOAs and not cost recovery.
In my experience, the escrow company orders the HOA docs, not the buyer or seller or their agents.
Typically, paying up front for the hoa docs is your job - your Realtor can certainly help facilitiate - but is your responsbility.
Sorry - this was probably not what you wanted to hear!!
I can empathize with you as now all of sudden you seem like your name is MR. Bill.
Per the C.A.R. Form Disclosure Regarding Real Estate Agency Relationship,
A Sellers agent under a listing agreement with the Seller acts as the agent
for the Seller only. A Seller's agent : or a subagent of the agent has the
following affirmative obligations:
To the Seller, A Fiduciary Duty of utmost care, integrity, honesty and loyalty in
dealing with the Seller.
To the Buyer and Seller:
(a) Diligent exercise of reasonable skill and care in performance of the agent's duties.
(b) A duty of honesty and fair dealing and good faith.
So as you can see unfortunately the Listing Agent failed to inform you and take
care of your needs as a Seller. The least she could do is to offer to pay for it as
it is was overlooked from someone else besides you the Seller. I hope this helps
and if you ever need anymore properties Sold Call me and I will walk you through
the entire process from the beginning to the end of entire process.
p.s. It is typical that the property management company requests an upfront fee due
to so many deals that cancelled prior to close and they are stuck with the fees etc...
and on that note it is the Agents responsibility to inform you and advise you that's why
we make the big bucks :) to make the very complicated process with hundreds of
moving parts flow easy to make your life easier.
David R. Indermill
Luxury Real Estate Advisor
Re/Max HALL OF FAME
Re/Max La Jolla Ca
1. For HOA's that charge, this fee is in line with others. Is it reasonable? Not in my opinion, no.
2. Since it is in line with other outside managed HOA's I would guess it falls under the reasonable category.
3. I can't speak for how other agencies handle things, but when we come across this situation we will do the legwork but the seller pays.
Also, sellers frequently do this kind of math. My response to that is you don't get paid for what you do, you get paid for what you know. If your agent was good, they covered you on the disclosures end, got the property under contract, probably handled a lot of negotiating in the background that you don't know about, and got your place sold. If it took 6 months would you have paid them more?
Sometimes they are easy, and sometimes they are hard. We have a 4 unit building on the market that we couldn't give away last year and got all 4 in contract in two weeks this year. Trust me, my dollar per hour isn't even close to worth it.