Can a Florida townhome association deny a buyer without giving a reason?

Asked by Flusterd In Florida, Lauderhill, FL Wed Dec 2, 2009

I have a cash buyer for my townhome; he even offered to put up 6 months of maintenance. The association docs say that the Board must approve the buyer. The approval requirements are not in the association documents; At the closing, the title agent discovered that the Board approval document was not present; the Board has denied the buyer, and will not give a reason. What recourse do I have?

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Mark LeMenag…, Agent, Lake Nona Orlando, FL
Sun Aug 14, 2011
Sue the individual HOA Board members for damages. It the reasons for denial are not spelled out clearly, then they haven't got a leg to stand on.
0 votes
Tammy Hayes, Agent, Port Charlotte, FL
Sun Aug 14, 2011
The HOA should be able to give the buyer a reason for the denial. Generally they will do a credit check and background check on the buyer. If there is something they don't like, they do not have to accept the buyer.
0 votes
Gino Herring,…, Agent, Cooper City, FL
Sat Aug 13, 2011
A real estate attorney would be best to answer this question. The association approval should have been one of the first things on the "To-Do" checklist. You have funding status, title search, HOA approval, insurance, etc... The closing agent has the same checklist and cannot transfer title if all the necessary documents (and funding) are not in order.

These days associations are getting a lot tougher on rew residents to their communities. There may be many reasons for this; however, it doesn't make it any easier to purchase. Hopefully you were able to bring the file back to the association and they were able to clear up whatever it was that ultimately caused them to deny your buyer.

Gino Herring, SFR
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