I'm currently under escrow and estimate to close on 12/03/09. Couple days ago, I found out that the $345 monthly HOA included a $60 Special Assessment, which expires Dec 2011. This Special Assessment began back to Dec 2006 when the developer was sued for some construction problem and the short fall settlement fee was levied to each unit. The owner of the property I offered decided to pay this fee monthly for 60 months instead of pay upfront the fee. This is a short-sale and I refused to take over this Special Assessement since it happened back to 2006 when I wasn't even there. My agent said that I agree to the $345 HOA when I submited the offer. When I submitted the offer, I assumed the $345 is a regular assessment. My agent shoud research/inform of these disclosures. Am I wrong in this?
Real Estate Attorney
If the agent was familiar with the HOA they might have known about it. However, you had the opportunity to read the minutes of the HOA and look at the financials, but you obviously did not or you would have found this. You are talking about $1440. Tell the agent you will split it with them.
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If you knew the HOA fees were $345 per month, how have you been damaged?
You knew the HOA fee would be $345 when you signed the purchase agreement, and that is what you will have to pay.
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Real Estate Attorney
If you haven'tclosed yet, you have not been damaged. Depending upon the terms of the Purchase & Sale Agreement, you have the right to demand that the seller pay the special assessment or you may cancel the contract and receive a refund of your deposit.
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