Each year our Georgia Association of Realtors (GAR) works very hard to update the GAR Forms that most major Brokerage firms use. The annual release of new or updated forms always has an impact on the Brokers’ clients, whether Buyers or Sellers. Below you will find some of the more significant changes and the impact that they may have.
Community Association Disclosure (CAD or HOA Exhibit)
In years past many agents have overlooked this as an essential element of the contract, leaving it out, or in many cases allowing for the Seller client to fill it out without attention to detail. In the past the consequences were nominal and rarely caused a problem.
However the changes in the (2017 CAD or HOA Exhibit) now carry a potentially large penalty. The form sates that:
IN THE EVENT SELLER FAILS TO DISCLOSE HEREIN (AND AS OF THE BINDING AGREEMENT DATE) THE FULL AMOUNT OF ANY FEES, ASSESSMENTS OR CHARGES DUE AND PAYABLE TO THE COMMUNITY ASSOCIATION OR ITS MANAGEMENT AGENT ON OR BEFORE THE CLOSING, SELLER SHALL BE RESPONSIBLE FOR PAYING SUCH UNDISCLOSED FEES, ASSESSMENTS AND CHARGES AT THE CLOSING.
This includes HOA annual fees, initiation fees, account set up fees and other fees and assessments. The total of these in some cases could surpass a couple thousand dollars. (Don’t let your agent or Broker overlook this)
Van Purser is a licensed Real Estate Broker in Georgia. Since 1981 he has represented hundreds of clients over the years as an investor, and Associate Broker with Metro Brokers, RE/Max and now with his own firm. He sees his role as your Broker as an advocate, always seeking ways to enhance your value and benefits.
He and his wife, Jeanne, who is also a broker, have been happily married since 1977. Van can be reached at 770-623-3313 or by email VanPurser@VanPurser.com.