Ahhhh….the world of real estate has it’s ups and downs. Estoppel fees, you know, when you want a statement from the HOA or COA referencing the Seller to make sure their fees to the Association are up to date. Used to be, t0 obtain this information, the cost was $50 to $100. Now the cost is somewhere from $150 to $1500 and may be more depending on the association. The associations or the management companies have found a new way to increase their bottom line at the expense of the Sellers. So the Sellers have to fund this windfall for the associations, when all it takes is the touch of a button, if computerized, or run your finger down a ledger sheet, either way none of it is worth that much. And if the closing goes past the 30 days, then you have to pay again, in some instances, the same price.
So what can you do? Call your legislators, tell them to put a cap on estoppel fees. The Florida House voted to cap the fees last session, but the Senate didn’t. Call them, write them and tell them what you think. They answer to us, and to no one else.
So my fellow Realtors, be careful out there and be good to each other!
Until Next Monday,