Initial Contribution Fees

We recently discovered that several of the home owners associations are now charging what is called an “initial contribution fee” to buyer’s when settlement occurs. In many market places this has been a common expense for years. So far the fees have been accessed for one full quarter of association dues. Those fees are dependent upon which association and or associations your property belongs too. Read your resale certificate closely as it will be noted there. These fees are required to be added to reserve funds. As financing rules have dramatically changed, higher reserves are greatly smiled upon by underwriters!

Share

Speak Your Mind

*

This site uses Akismet to reduce spam. Learn how your comment data is processed.

All information deemed reliable but not guaranteed. Copyright 2021.



© ©2021 BHHS Affiliates, LLC. An independently owned and operated franchisee of BHH Affiliates, LLC. Berkshire Hathaway HomeServices and the Berkshire Hathaway HomeServices symbol are registered service marks of Columbia Insurance Company, a Berkshire Hathaway affiliate. Equal Housing Opportunity.