Does a Resale Certificate for a POA expire?

The HOA Resale Certificate doesn't actually contain an expiration date. However, the lender for the transaction may require that the HOA's Resale Certificate be prepared within a particular timeframe. Therefore these Certificates are typically requested during the escrow period of the contract. If the buyer changes lenders during escrow the second lender may require a new Resale Certificate. Likewise, if one contract terminates and a new buyer is obtained, the second buyer's lender may require a new Resale Certificate.

Hi Sandy. Simple answer, Yes. Typically 90 days. Sellers always think of the deed restrictions they received when they purchased the home and simply want to provide to the new buyer (at no cost to them). I remind them some rules may have been amended and its a good idea to get a new set. AND....the resale certificate needs to be updated as well. The HOAs are required by the state to provide this information within 10 days of notification. Good idea to put 10-14 days for Seller to deliver this information to a Buyer on the contract to give the Seller enough time. If I can be of any assistance, please let me know. Mark McNitt, Bernstein Realty 832-567-4357

Hi Sandy,

A Resale Certificate is specific to a property for a particular transaction as well as the requirements of the specific HOA. Some HOAs require that a property inspection be performed prior to closing (thus, if a prior contract busts out and this was already performed, it will have to be performed again for the new Buyer as things could change between the time of one inspection to another). The Addendum for the Mandatory Membership of a Property in a Property Owner's Association will address everything related to whether the Buyer or Seller pays for certain documents as requested from the Buyer or requested from the Lender or Title Company. I'd be happy to discuss this document further with you as well as the specific HOA requirements of the master planned community / neighborhood that you are interested in.

Hope this helps!

Darby Grimmett / KW / darby@darbygrimmett.com / 936-827-9217

Sandy, Great question! While I do not believe there to be an actual expiration date or time frame on an HOA certificate, each time a new loan is being processed for the potential purchase of a given property a new one may be required by a potential buyer's lender.. The previous cert will very highly likely not be acceptable to the lender in any case, because technically things could change from one day to the next pertaining to HOA information. I.E. a new lawsuit may have been filed, account holdings may have gone up or down, owner occupied versus non owner occupied properties may have changed etc. That being said, I believe that it would be fair to say that the HOA certificate would "expire" once it has been seen and approved by a lender for a specific potential buyer. I hope this helps!