If you are buying a condo soon, a new law is going to help you make better decisions on the financial health of the condo. Effective today, home buyers will receive resale certificates where the homeowners’ association must state whether or not the association has had a reserve study.
The revised law encourages the homeowners’ association to conduct a reserve study and create a reserve account to fund major maintenance and repairs.
If the association does not have a reserve study, the resale certificate must include a warning that the lack of a reserve study poses certain risks for the purchaser. Read news here.