An HOA estoppel is a vital document in real estate transactions. It outlines fees, debts, and compliance issues to protect both buyers and sellers during the closing process.
An HOA estoppel aims to protect the buyer and the seller in a real estate transaction.
The HOA Estoppel provides all fees that must be collected upon the successful closing of a resale property.
The Estoppel is also known as a demand statement, certificate of assessment, resale statement, or closing statement, depending on the state. It includes fees like delinquent amounts from the seller, attorney fees for collections, working capital, transfer, reserve fund, and community enhancement fees. Fines for compliance issues may also be listed.
The document also includes… read the rest of the article…………………………….
Reprinted with permission from Community Associations Institute – Michigan Chapter.