Sanibel Real Estate Blog: Estoppel Fees Capped

One of the new laws in real estate world is the cap on estoppel fees. Previously unregulated, management companies could charge whatever they wanted at closing to seller to give their blessing to the closing.

Here is how the Florida Board of Realtors explains the new law: Cap on estoppel certificate fees – Sellers of properties who live in an HOA, condo association or co-op will have a limit on the amount they’ll pay for an estoppel certificate, a document that informs a buyer if the seller is current with their dues and assessments. SB 398 (Sen. Passidomo, R-Naples) caps estoppel certificate fees at $250 for unit owners who are current in their assessments. Associations may charge an additional $100 for expedited estoppel certificates (delivered within three business days) and another $150 to owners who are delinquent in their assessments. The bill sets the price of estoppel certificates for multiple units owned by the same person and establishes a uniform, statewide format that ensures buyers and closing agents receive the appropriate information needed to close the real estate transaction. This bill also requires certificates to be valid for 30 days if delivered electronically or 35 days if delivered by mail.

Good news for Sanibel real estate sellers! If you are thinking of selling your Sanibel Real estate, check out our website at www.chuckandrews.com or give us call to discuss your property.

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