Resale Certificate Fee Cap Increased
Condo sellers may soon see the cost for Resale Certificates increase this summer. The fee had been capped at $150 for many years, however, the Washington State legislature passed a bill raising the cap to $275. The change, signed by the governor, will take effect on July 22, 2011.
The Resale Certificate contains the condo association documents (budget/finances, CC&R’s, rules and regulations, bylaws, declarations, insurance, board minutes and may include a reserve study), which is provided to the buyer during the purchase process.
The documents provide important information about the financial health and management of the condo association. The cost of Resale Certificate is normally paid by the seller.
View the passed and signed bill
I was surprised to read that this fee was regulated. Why wouldn’t an HOA, or a POA, be able to charge a fee commensurate with their costs? Seems like a little overreach on the part of regulators. They should let the market dictate what fees are acceptable.
If fees got too high, the condo management would certainly hear about it from the owners association as they’d be taking a lot of heat when trying to resell their condos.