(HOA Disclosure Packet—Continued)
A: Tucker’s Tip #12-2011 discussed the HOA Disclosure Packet and the Virginia Code provisions allowing for the Purchaser to terminate the contract if they are not satisfied with the terms and provisions of the HOA. The Purchaser has three days after “receipt” of the HOA packet to elect to terminate the contract. The question is when does the three days begin to run – upon actual receipt of the HOA packet by the Purchaser, or upon receipt by the Real Estate Agent for the Purchaser?
Unfortunately the three days begins to run upon receipt of the HOA Disclosure Packet by the Real Estate Agent for the Purchaser. Accordingly, know how to locate the Purchaser at all times in order to be able to timely provide the HOA docs to the Purchaser. Lem Marshall has posted a good article on this issue at the VAR website (Summer 2010 – www.varealtor.com).
B: An additional HOA Practice Tip would be to circulate the statement regarding dues and/or other charges (ex: transfer or capital contribution fees) to all necessary parties. In other words, send to the settlement attorneys (Purchaser and Seller) and lender that portion of the HOA Packet which contains financial information required to be prorated or charged at settlement. This will avoid any surprises at the closing table.
Please contact our firm if you have questions or need legal advice.
Tucker Griffin Barnes P.C.