Please also see my June 10, 2009 Update on CIC Packages.
This is a follow up to my November 9, 2007 Resale Packages for Nevada REO Sales.
How much can a Common Interest Community charge for the resale package described in NRS 116.4109?
An association may not charge more than $160 for preparing the certificate furnished pursuant to NRS 116.4109, and copying costs, not to exceed 25 cents per page, to cover the cost of copying the other documents required within the certificate. There can be an additional charge not to exceed $125 if a unit’s owner requests that the certificate be furnished sooner than 3 business days after the date of the request.
I was informed today of an Association charging more than $160; if this has happened to you inform them of the September 2006 ADOPTED REGULATION OF THE COMMISSION FOR COMMON-INTEREST COMMUNITIES LCB File No. R205-05
January 30, 2009 at 2:00 pm
I closed a deal for a property at 7921 Flat Creek LV,NV.
Iron Mountain Ranch HOA charged $160+0.25/page for a total of $192.50.
Was this legit?
January 30, 2009 at 2:02 pm
Try this on:
I asked one property management company late last year why my client was being charged $165 for a resale package when NAC 116.465 limits the charge to $160. After lots of hesitations and background consultation I was told that “NAC 116.465 only applied to the HOA and they were the property managers”!!!!!
Obviously, we didn’t put a transaction at risk over $5, but I wonder how often other property managers think they can put charges (sometimes a lot) on top of the $160 and get away with it.
January 31, 2009 at 12:42 pm
There are 2 HOAs for my client’s REO purchase. The management co. is charging $205 for the documents, $15 for printed copy, $10 for me to pick them up at managements office! That is a total of $240 for each HOA = $460 total to my buyer! Then there will be huge “transfer” fees for each also. It’s outrageous, what can we do? Where’s the ombudsman in all of this?
January 31, 2009 at 2:05 pm
Are they allowed to charge extra for printed packages?
February 2, 2009 at 10:08 am
Darren, I have had 2 ROE sales in the last month and Excellence charged my clients $195 through http://www.getdocsnow.com. These transactions have already closed, what can we do now?
February 2, 2009 at 12:41 pm
As to any monies greater than the $160, I would ask the CIC Manager or Management Company to place in writing why they are charging more. As to those that passed, share this information with the client and I suggest the client write a letter asking an explanation (or email). Whether the statute only applies to the CIC and not management companies is rather a weak argument as the CIC directs the homeowner to the Management company, but it has not yet been ruled upon.
February 2, 2009 at 1:46 pm
Where exactly does it say $160?
“Sec. 12. 1. Except as otherwise provided in subsection 2, an association may not charge more than $160 for preparing the certificate furnished pursuant to NRS 116.4109.”
Found in the “ADOPTED REGULATION OF THE COMMISSION FOR COMMON-INTEREST COMMUNITIES LCB File No. R205-05Effective September 18, 2006″
February 2, 2009 at 5:15 pm
“I was just told that this adoption of the regulation was never signed off by the Governor – therefore not law.” Caryn Grady
Licensed Assistant to Mason B. Harvey, CHTD.
Prudential Americana Group, REALTORS
ANSWER:
Regulations, also known as codes, are not signed by the Governor, only statutes are. Statutes and Codes together make the trye complete law, but in hierarchy statutes trump codes. Codes and the instruction from the Legislature to the agencies to pass codes, allows the legislature to get finer, more detailed instruction to the public on certain topics. The Nevada Administrative Code Code or NAC as it is called is an extension of the statutes and assists in literally administering laws. The statute, NRS 116.4109(3)(b) Resales of Units, gave the Commission the power to, “adopt regulations establishing the maximum amount of the fee that an association may charge for preparing the certificate.” They did so in September 2006.
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From: Mason Harvey [mailto:mbhoffice@earthlink.net]
Sent: Monday, February 02, 2009 3:48 PM
To: Darren Welsh
Subject: HOA Resale package
February 18, 2009 at 10:00 am
Copying costs? YES. The association may charge, “the unit’s owner a reasonable fee, not to exceed 25 cents per page, to cover the cost of copying the other documents furnished pursuant to subsection 3.” So, lets assume the “other documents” mean all of the certificate, yes it can be charged. Which is quite a lot if you think about it, CCRs can be 100 pages, that’s 25 dollars more.
February 18, 2009 at 3:53 pm
I contacted Excellence on bahalf of my buyer and informed them they were only supposed to charge $160.00. After a few emails and some back and forth, they have aggreed to refund my client the $35.00 for the amount over teh $160.00
February 18, 2009 at 3:53 pm
I contacted Excellence on behalf of my buyer and informed them they were only supposed to charge $160.00. After a few emails and some back and forth, they have agreed to refund my client the $35.00 for the amount over the $160.00
June 11, 2009 at 5:04 am
[...] is a follow up to Nevada CIC Charges for Resale Packages from January 30, 2009 which was a follow up to the REO and Resale packages from November 9, [...]
September 22, 2009 at 12:30 pm
My client lives in Mountain’s Edge. His HOA “full” package on GetDocsNow.com is charging $160 plus $93.75 (375 pages @.25) totaling $253.75. It lists all the documents, but states in small print to the side that this package does not include a HOA certificate/questionnaire. Isn’t that what the $160 is for? Do you have any insight to this?