How Strong is the Condo Association?
I’ll discuss this year’s legal and forms changes (exciting stuff, I know!) in another post.
But one of the things that did not change this year — and I predict will next year, if not sooner — is the timing of Condo and Townhouse Association disclosures.
At least in Minnesota, Condo and Townhome Buyers get the disclosure package once they sign a contract to purchase.
Then, they have 10 days to review the material — typically, the Association’s Articles and Bylaws (and any Amendments to same), Board minutes, and financials.
What I’ve been finding lately, though, is that Buyers don’t want to wait nearly that long to find out if the Association is financially troubled, or whether there are any legal issues which would cloud their ownership (and impair the unit’s resale value).
Prospective Buyers are requesting — and serious Sellers are providing — this information earlier.
Or at least, some of it (Note: because of the associated expense and confidentiality, it’s still important to use discretion accommodating such requests).