Calif. Civil Code §§4528 and 4530
Amended by A.B. 2430
Effective date: January 1, 2015
A homeowners’ association (HOA) is required to itemize and provide to a seller of a separate interest within a common interest development (CID) the cost of providing CID disclosures to a buyer. The HOA may not charge extra for electronic delivery of the disclosures.
The HOA is to provide the itemized cost disclosure prior to delivering the disclosures to the seller.
The seller is responsible for paying the HOA the required disclosure fees. Further, the seller is to provide the buyer:
- current copies of the CID disclosures in possession of the seller, at no cost to the buyer; and
- the itemized statement detailing the fees incurred for each disclosure document provided to the seller by the HOA.
In delivering disclosures to the buyer, the seller may not bundle non-CID disclosures with CID disclosures.
Editor’s note — CID disclosures include the covenants, conditions and restrictions (CC&Rs), bylaws, operating rules, etc.
If the buyers agent and hopefully not acting as dual agency because this can come back to bite him/her, sounds like the sellers might be behind in HOA dues? Unless this is a short sale or REO where the bank can decide to take the loss and cover the additional expenses, I would think a standard seller is still responsible to cover unpaid HOA dues and repairs under the HOA agreement they signed. Though not sure and you should double check and read the HOA terms of agreement. Anyway, I would make sure that escrow discloses full amount owed to the buyers (which should have been on the title report to begin with unless the report was run too early and did not show up back when but now showing up in a new report before closing) and the amount is unacceptable to the buyer, this can be the deal breaker and they may have the choice to walk. Good Luck…
HAVE AN ESCROW OPENED AND THE SELLERS ARE REFUSING TO PAY ANY HOA FEES. I DON’T KNOW WHETHER ESCROW IS AWARE OF THIS RULING. THEY ALSO DO NOT WANT TO PAY EXTERIO REPAIRS AS REQUIERED BY THE PARK.
THIS IS A MANUFACTURED HOME IN A MOBILE HOME PARK.
PLEASE LET ME KNOW ASAP AS THIS IS A SHORT TERM CLOSING.
RAY
Have an escrow open that sellers are not paying any HOA