Agent Williams is handling the sale of a townhome in Alpharetta Crossing HOA. The association charges a transfer fee of $150 and requires board approval for all sales. How should Williams advise his clients about these requirements?
Correct Answer
C) Both the transfer fee and board approval requirement should be disclosed to buyers before contract
Both the transfer fee and any board approval requirements must be disclosed to buyers before contract execution as they affect the buyer's rights and costs. A is incorrect as reasonable transfer fees are generally permitted. C is incorrect as board approval requirements are material and must be disclosed. D is incorrect as these requirements exist in the governing documents regardless of contract language.
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More Ga Community Association Questions
Buyer Johnson is purchasing a townhome in Brookhaven Commons HOA. The association's governing documents include restrictive covenants from 1985 that contain language now considered discriminatory. How should the listing agent handle this disclosure under Georgia law?
A resale certificate for a Georgia condominium unit shows a reserve fund balance of $200,000. However, the association has borrowed $150,000 from the reserves to cover operating expenses. What disclosure concern does this raise under the Georgia Condominium Act?
A homeowners association has been using money from its capital reserve fund to cover routine operating expenses for the past two years, and the reserve fund is now depleted. A prospective buyer asks about the association's legal obligations regarding reserve funds. Under Georgia law, what is the status of HOA reserve fund regulation?
The Kennesaw Condominium Association board wants to create new rules about pet ownership. Under the Georgia Condominium Act, what authority does the board have to make such rules?
At Piedmont Partners in Woodstock, a licensee raises a state-law issue. Example 19 is under review. The office is debating the claim that HOA and condominium questions may be answered interchangeably because both are just forms of neighborhood organization. It is comparing that claim with the rule that boards, managers, and owners have different roles, so a manager does not automatically have the same authority as the board. The review topic is manager/board/owner roles, governing-document interpretation, and management-agreement basics. Which statement is correct?
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- → A unit owner in a Georgia condominium wants to know what rights she has to attend meetings of the association's board of directors. Under the Georgia Condominium Act and typical condominium governance provisions, which statement is most accurate?
- → A condominium association charges a transfer fee and a document preparation fee when a unit is sold. Under the Georgia Condominium Act, what standard governs the transfer-related fees an association may charge?
- → Developer Karen is transitioning control of the Roswell Condominium Association to the unit owners. Under the Georgia Condominium Act, when must this transition of control occur for a non-expandable condominium?
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Previous Question
Buyer Chen is purchasing a condo in Atlantic Station. During the review period, she discovers the association's reserve fund is significantly underfunded for upcoming major repairs. The seller claims this wasn't disclosed because no formal assessment has been levied yet. What are Chen's rights under Georgia law?
Next Question
A Georgia condominium seller requests a resale certificate from the association, but the association takes 21 days to deliver it. The purchase contract includes a 10-day document review period that began when the contract was executed and has already expired. What is the most likely outcome regarding the buyer's review rights?