Have your eye on a home in a gated community? Don’t forget to get HOA disclosure documents before closing.
Living in a gated community comes with many benefits. Higher property value, convenient amenities, a sense of exclusivity, and a Homeowner’s Association (HOA) are just a few.
An HOA is responsible for the regular maintenance of a neighborhood’s common areas, such as landscaping, building repairs, and garbage collection. When you purchase a home in a gated community, you also become a member of the HOA and are then responsible for paying monthly fees to the association.
However, just like when you purchase any kind of property, if the previous owner left any outstanding debt, it will automatically become yours. In order to avoid unwanted issues in the future, ensure the seller has paid all of their dues to the HOA. How can you know if they’ve done so? Although it’s a time-consuming and tedious process, it’s possible to get that information with the right records and research.
Requesting HOA disclosure documents involves numerous follow-ups, extensive paperwork, and fees. It can get overwhelming. Here’s how a title company can help.
Why You Should Use a Title Company to Source HOA Disclosure Documents
To save time
Getting the proper documentation that states that the seller doesn’t have any liens can take at least 10-14 days. After you’ve received it, there may also be some back and forth with the association (in the event of any errors, inconsistencies or missing information).
Not only does each HOA have its own procedures for collecting records, so does each state. This makes it extremely challenging to keep track of protocol, resulting in delays and making it more difficult to collect everything that you need.
Searching for documents and repeatedly contacting HOAs for clarifications and updates can turn into a lengthy process. To put it into perspective, it can take so much that title companies will usually have a separate team in charge of their HOA-related matters.
To avoid complications
Not doing the proper research and getting the right paperwork before closing can result in headaches and significant costs. Can you imagine purchasing a home only to learn later on that it’s under litigation and you now have to foot the bill?
Besides taking a lot of time, this process can also get rather complicated and even expensive. Know exactly what you need from the HOA to avoid unexpected fees with each request for supporting documents. You can avoid that frustration and those extra charges by partnering with a seasoned title agency.
Based in Florida, we are well-versed in local rules and regulations. With years of experience and regional expertise, we can help simplify your closing process and minimize delays.
You can search these records on your own, but as professionals, we conduct a detailed search and prepare a Title Report, also known as an Ownership & Encumbrance Report. This report provides valuable information that can defend and protect your rights as a future homeowner.
How to Work With Us
We are an attorney-owned full-service title and escrow company providing services to the entire state of Florida. We combine superior customer service with the legal expertise of our real estate attorneys and industry professionals. This approach creates a stress-free, simplified closing process and offers industry-leading rates.
Whether you’re buying, selling, or refinancing, we’re committed to delivering an exceptional closing experience. Contact us today to set up an appointment!
