The LLR Residential Property Conditional Disclosure Statement and Addendum (aka the seller disclosure and HOA addendum) requires the seller to disclose HOA fees/costs/charges/assessments.
There are four questions that elicit the seller to disclose all owners association cost/fees/charges/assessments. Yes answers on the seller disclosure require seller explanation, can use additional pages as required.
Sellers should disclose all the owners association charges/fees/costs/assessments or risk the buyer suing the seller for damages (e.g. the undisclosed cost/fee/charge/assessment from the owners association) and the buyer’s attorney’s fees that could dwarf the fee/cost/charge/assessment.
SCR300/310 allow the parties to decide who pays all the owners association transfer fees (e.g. owners associations call transfer fees by a variety of names, there may be many named fees of varying amounts). Parties checkbox.
On SCR310/300, the sellers can agree to pay some of the buyer’s transaction costs which can include the checkbox amount mentioned above this paragraph. Parties agree on a dollar amount or percentage of the Purchase Price.
On SCR310/300, the "ADJUSTMENTS" section #22 can impact owners association issues too. Special assessments approved prior to Closing are the responsibility of the Seller. Special assessments approved after Closing shall be the responsibility of the Buyer. There is a survival section carrying this to post-closing.
Posted by : Byron King on 8/22/18 (This information is only accurate as of 8/22/18. You must contact SCR for updates and changes to this information after 8/22/18 as laws and regulations may change over time. SCR 803-772-5206 or email info at screaltors.org)