|
 |
|
"Hindsight 20/20" |
|
| "Tuition paid to the
College of Experience" |
|
This collection of human error has once caused the humbling of it's
author. |
|
They wish to bestow upon you their stories, in the hope that you may
escape their fate. |
|
|
|
|
|
Course
Offerings |
|
|
|
|
|
|
|
|
| Home
Owner's Associations |
|
|
| |
|
| The
Scenario: |
We list a single
family home. A purchase agreement is presented, negotiated
and accepted. The transaction proceeds towards closing. It
is not the smoothest of transactions as the buyer consistently
attempts to re-negotiate some aspect of the contract. The day
of closing the buyer refuses to close after noticing, on the
seller's disclosure, that the seller indicated there was a home owners
association associated with the property. The buyer was
concerned that their large dogs might not be allowed. We took the
initial position that the buyer had signed and accepted the sellers
disclosure and therefore knew that there was an association. If
the large dogs were a concern, they should have written the purchase
agreement contingent obtaining more information. The buyers came
back with the position they were never given an opportunity to review
the articles and regulations of the association and cited the MN
statute that gives the buyer a 10 day right of recession. They
took the strong position that the purchase agreement was void able and
demanded cancellation. Our listing agent went through a time
consuming series of steps to obtain the association documents.
Fortunately, the association did not fall under the MN state of
disclosure, however we did discover an annual fee of $25 that was
assessed on every homeowner for common area maintenance. Being
that this annual fee was so small, the seller had totally forgotten
about it. The buyer and the buyer's agent took the position that
this should have been disclosed and still refused to close. The
seller felt that the listing agent should have asked more questions,
and therefore did not feel responsible. |
| |
|
| The
Tuition: |
The listing agent
contributed $500 of their commissions to the buyer at closing. |
| |
|
|
Hindsight: |
While home owner
associations are more common with town homes and condominiums, there
are a few existing single family home associations. And while
the articles and association documents may not fall under the MN
statue of review and recession, they may still have a small
annual fee that is utilized to maintain a common area such as a
playground, a ball field or monument signage. It is imperative
that the agent(s) investigate any association associated with the
property. In addition to annual fees, there may be restrictive
covenants pertaining to outbuildings, sheds or even the size of dogs
allowed. |
|
Back
To Top |
|
|
|
|
|
| Listing
Exclusion |
|
|
| |
Scenario Coming Soon |
| The
Scenario: |
|
| |
|
| The Tuition: |
|
| |
|
| Hindsight: |
|
|
Back
To Top |
|
|
|
|
|
| Post
Card Mailing |
|
|
| |
Scenario Coming Soon |
| The
Scenario: |
|
| |
|
| |
|
| The Tuition: |
|
| |
|
| Hindsight: |
|
|
Back
To Top |
|
|
|
|
|
| Double
Contingencies |
|
|
| |
Scenario Coming Soon |
| The
Scenario: |
|
| |
|
| The Tuition: |
|
| |
|
| Hindsight: |
|
|
Back
To Top |
|
|
|
|
|
|
