HOA Fees Hidden in Lakewood Ranch
Beware of Hidden HOA Fees in Lakewood Ranch
Quick Answer
HOA fees in Lakewood Ranch can sometimes be hidden or unexpectedly high, impacting your budget and overall deal. Florida Statute 720 governs homeowners’ associations, requiring disclosure of fees, but these can still be overlooked or underestimated during initial negotiations. For example, a buyer might discover additional fees during the estoppel process, which can add hundreds of dollars monthly. Discovering these fees late can lead to financial strain or even force a buyer to back out of the deal. Call me at 941.400.8735 or reach out directly to Michael Renick – I’ll share my approach with you.
What Actually Breaks Deals in Florida
HOA Fee Surprises
The problem with hidden HOA fees often emerges during the estoppel process, governed by Florida Statute 720, which mandates the disclosure of financial obligations. In one transaction, a buyer was shocked to learn of a special assessment that nearly doubled their expected monthly costs. This late discovery forced the buyer to renegotiate the contract terms, risking their deposit and delaying the closing.
We started to talk to a couple who lived in one property, and they told us to call their realtor. One of the first things he said was that he wanted to get to know us, our desires, and our likes and dislikes. We ended up looking at three-bedroom properties instead of two, and the one we chose was beautifully renovated and move-in ready. I appreciated that he was patient and let me work through my decisions without pressure. It was a very professional experience, and he was not only technically competent but also emotionally supportive. He took the time to really get to know us, which is not something you always get from realtors.
– Verified Customer, Customer Review
Insurance Binding Denials
Insurance issues can also derail deals, especially in coastal areas like Lakewood Ranch. During underwriting, insurers may deny coverage due to outdated building codes or lack of wind mitigation, a common issue in Florida. I’ve seen deals collapse when buyers couldn’t secure insurance, leaving them unable to meet lender conditions and risking their earnest money.
Where It Usually Blows Up
Hidden HOA fees typically surface during the final stages of the transaction, often when the estoppel certificate is reviewed. This timing is brutal because buyers have already committed significant resources, and backing out means losing deposits and incurring additional costs. When these fees are discovered late, buyers may face unexpected financial burdens or be forced to walk away, losing both time and money.
I had been looking for a local condo for over a year and was very unhappy with the service. I had worked with three agents from three different national chains. None of the three seemed to know the market very well, took the time to understand what I’m looking for, and most importantly rarely followed up when they told me they would. I have never experience such a lazy approach to working with a buyer. Things changed when I met Mike and part of his team at their St. Armands office. The first thing Mike did was apologize for the poor service…even though it wasn’t his fault. I already knew that I found someone who help himself accountable. What a breath of fresh air! After spending about 30 minutes with me understanding what I was looking for, Mike introduced me to Eric. Between the two of them, they found five condos for me to look at. Each of the five, met my criteria. They actually did listen. I’m excited because we plan to submit an offer later today. The market analysis they prepared was thorough and easy for me to understand. I cannot recommend more highly any other realtors to work with. Thank you Mike and Eric! JS
– schroder4, Zillow Review
What I Tell Clients Before They Risk Money
- Review HOA Documents Thoroughly: Always request and review the HOA’s financial statements and meeting minutes.
- Understand Insurance Requirements: Verify insurance needs early to avoid last-minute denials.
- Check for Special Assessments: Ask about any planned or ongoing special assessments that could affect costs.
- Consult a Real Estate Attorney: Have a professional review all documents to catch hidden fees.
- Plan for Unexpected Costs: Set aside a contingency fund for any surprise expenses.
Let’s continue this conversation.
Call me at 941.400.8735 or schedule a 15-minute call. I’ll tell you what I would look for.
Call 941.400.8735 or Schedule a Call
Questions Clients Actually Ask
What are estoppel certificates?
Estoppel certificates are documents provided by the HOA that outline the current status of fees and assessments. They are crucial for understanding any outstanding financial obligations before closing a deal.
How can insurance issues affect my purchase?
Insurance binding denials can prevent you from securing a mortgage, as lenders require proof of insurance. This can lead to contract termination if not resolved promptly.
What To Do Right Now
Request a comprehensive breakdown of all HOA fees and assessments before making an offer.
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