We’re starting to see more homes in Roseburg that are part of homeowners associations (HOAs). Maybe people like the added security and improved neighborhood personality it brings. The not-so-great thing about having a house in an HOA is that selling it is a little more involved and more difficult. Besides having to make full disclosure of everything regarding the HOA, sellers are often saddled with other burdensome legalities. Being equipped with knowledge of what lies before you is the best way to proceed, so here are 4 things you should know about selling your Roseburg house in an HOA.
1. Need To Inform All Parties Of The HOA
The first thing you need to be aware of when selling your Roseburg house in an HOA is that you must inform the association of your intent to sell and move. “Out of all [the] things you should know about selling a house when a homeowner’s association is involved,” industry experts maintain, “this is the simplest and most practical one. Even if you’re just thinking about selling, it’s a good idea to run it by the homeowner’s association. That way, you can find out precisely what you need to know well before the day actually arrives.”
In addition, you’ll want to inform your real estate agent, if you have one and inform buyers that your house is in an Association. Buyers are buy on feelings and emotion and finding out late in the game might actually cost you a sale. Early disclosure is the best way to ensure your deal keeps moving forward. Remember, the transaction has to take place under the association’s regulations and terms, so the buyer will eventually find out anyway. Buyers may feel frustrated or lied to if you don’t bring up HOA in the beginning.
2. Standard Home Inspection Procedures For HOA Sale
Another important thing you should know about selling your Roseburg house in an HOA is that inspections will typically deviate a tad from standard procedures. In traditional, non-HOA real estate transactions, the buyer typically sees to the inspection. But when you sell a house in an HOA, this could change.
In this case, the seller also has to arrange for an inspection. In some cases, “[Y]our HOA may require a home inspection report to be generated before you will be allowed to sell your home. The association’s own representative will most likely perform the inspection to ensure everything is up to code. If repairs are needed, they must be completed before you can sell your home.”
3. Moving Fees and Resale Packages
Selling a house in Roseburg with an HOA may involve extra costs and/or fees for moving. “HOAs sometimes charge fees to have a home transferred from one person to another? They usually charge a flat fee but the fee sometimes depends on the selling price of the house. If it’s based on a percentage of the home’s selling price, you can expect to pay somewhere around half a percent to one percent of the total to the homeowner’s association.” Be aware, too, that all your HOA dues have to be paid up before you can sell. Contact your HOA to clarify.
In some HOA’s, you have to deal with a “resale package,” which will cost you time and effort. The HOA will provide you with the resale package, which you or your agent will pass on to the buyer. This is a simple way for the association to make sure the buyer knows about the rules, regulations, and costs and that everyone is on the same page.
4. More Required Documentation
Maybe the most important thing you should know about selling your Roseburg house in an HOA is that required documentation may multiply. Buyers will ask for and you will have to supply, as required by law, more documents than in the sale of a non-HOA home.
Here are some of what you’ll have to come up with: Experts
- HOA CC&Rs, bylaws, rules, and regulations
- Any special restrictions for things like parking and pets
- Minutes of recent HOA meetings, as well as budgets and financial statements
- Statements showing how much you pay in association maintenance fees
- Proof that any improvements were done with association approval
- Copy of HOA master insurance policy
- “Current and planned special assessments against the property (fees above and beyond the regular dues, used for projects benefiting all homes in the association or for major emergency repairs)”
Keeping accurate and thorough records will be key here. Your agent can also be a great asset in sorting through all this. Got questions for me? Just ask: 541-643-1131.
Bottom line, selling your Roseburg house in an HOA is this: it’s more difficult and more legally complex, with more required documents and costs than selling a non-HOA home. Because of this, the expertise of an experienced real estate agent becomes even more important for your HOA home sale success.