What Is HOA Resale Certificate?
HOA Resale Certificate: A packet from the homeowners association with dues, finances, rules and any amounts owed.
Also called: resale package, estoppel certificate
An HOA resale certificate (also called a resale package or estoppel certificate) is issued by the homeowners association when a home is sold. It's usually ordered by escrow.
What it includes
- Current dues and any amounts the seller owes
- Special assessments, current or approved
- Budget, reserve study and financial statements
- Bylaws, covenants (CC&Rs) and rules
- Insurance coverage
- Pending litigation
Why it matters
Many states give buyers a review period after receiving it, during which you can cancel. Look for underfunded reserves, large planned projects and rental or pet restrictions.
Good to know
Associations charge a fee for the certificate. The contract or local custom decides who pays it.