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MarleneP (New Jersey)
Posts: 7
Posted:
If a homeowner sets up a family trust and transfers title of his home to the trust, would the association still have the right to charge a $1,000 "membership transfer fee"? The Master deed was amended to require that "successors in title shall be required to pay a one-time fee of $1,000," but this homeowner already paid the $1,000 fee when she first purchased the home. It doesn't seem right that she should have to pay it again because she transferred title to a trust. She still lives in the home and nothing else has changed. Aren't boards given the authority to grant waivers for special circumstances, if not specifically in the governing documents, then by the laws governing incorporation or common law? Thanks for any advice/comments.
GlenL (Ohio)
Posts: 5,491
Posted:
You should check with the HOA attorney over whether or not the BOD has the right to waive the fee, it depends on how the documents are written.

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MaryA1 (Arizona)
Posts: 388
Posted:
Malene,

Technically title is being transferred therefore a title transfer fee can be charged. However, because of the circumstances, the BOD may be receptive to waiving the fee. I suggest you ask them!
LynetteB (Texas)
Posts: 141
Posted:
Google transfer fees in your state. There has already been changes in legislation that prohibits certain types of transfer fees, or that only allow a maximum amount. Some are allowed only if the transfer fee is going directly to the POA and not a developer or other 3rd party.
For our POA we have a $300 transfer fee that goes to the POA and in the situation you described above, we would not waive the fee.
If your POA is not self managed, in any type of transfer, the management company, or lawyers, or anyone else with their hands in the pot will likely be charging there own fee, so some of the $1000 could be going to them.

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