Confounding Condo Conditions
Being on the Bellevue and Kirkland condo prowl with one of my valued clients, I was reminded again how difficult it can be to find out all the facts before making an offer. One of the listing mentions some “possible future assessment” and the listing agent professes not to know anything more specific.
What to do?
Call the management company. I am still waiting for a call back but I’m not holding my breath. Scour the web, looking for “name of condo + lawsuit” or similar, but to no avail.
You want the information? Make an offer!
To get this elusive information the buyer must make an offer and the seller needs to accept the offer - i.e., the two parties must reach mutual agreement. Only then will the buyer receive the RESALE CERTIFICATE (from the condominium association or authorized agent) The buyer will have a specified number of days to review it. Based on the review the buyer can decline to move forward with the purchase (and get the earnest money back).
What is a Resale Certificate?
Contrary to what some condo owners, condo associations and even condo management companies believe, the Resale Certificate is much more than a form consisting of a few questions and statements. According to the Revised Code of Washington (RCW 64.34.425), it is to include among other information:
“A statement setting forth the amount of the monthly common expense assessment and any unpaid common expense or special assessment currently due and payable from the selling unit owner and a statement of any special assessments that have been levied against the unit which have not been paid even though not yet due…”
“A statement of any anticipated repair or replacement cost in excess of five percent of the annual budget of the association that has been approved by the board of directors…”
“A statement of any unsatisfied judgments against the association and the status of any pending suits or legal proceedings in which the association is a plaintiff or defendant;”
For my clients and your convenience I’ve prepared a PDF file of the complete Resale Certificate requirements as published on the Washington State website. Answers about condominium laws and rules and much more can be found on this Washington State Labor and Industries website.
Tags: condominium association, condominium resale certificate, revised code of washington, special assessment
March 11th, 2008 at 6:04 am
What a crazy Tuesday. Thanks for the Confounding Condo Conditions page. Best Listing agent information I’ve found. My site is http://www.gregorygarver.com if you’re interested.
March 24th, 2008 at 5:13 pm
Hi. Nice post. Jez