I knew it was coming. I just didn’t realize how massive the damage would be. It’s huge.
Some close friends just sold their HOA home in Highlands Ranch, Colorado. Before they could sell their house they had to come up with $10,000 at closing, much of that for a Transfer Fee. The Realtor didn’t warn them (they rarely do). Despite me writing Neighbors At War, and doing this blog nightly, these friends just didn’t understand what was coming. It’s hard for younger folks to listen to the ‘old man.’ I’m embarrassed to say that at their age I never listened to my own ‘old man’, either.
But these friends had counted on that $10,000 to help with the down payment for a new house (again, in an HOA!). In their position I would be seething with bitterness.
Dear Readers, Colorado Realtors stood silent when Homeowners Rights advocates tried to convince State Legislators that Transfer Fees are fundamentally unjust and illegal. Just three years ago the state passed a law which actually declared transfer fees to be illegal (except in Homeowners Associations). Why the exception for HOAs? Well, just a single HOA lobbying group takes in 55 billion dollars a year. How in Hell does an insider industry group NOT use that kind of money to ‘buy’ legislation?
Shame on the corrupt HOA lobby. Shame on the greedy legislators. Shame on the Realtors who stood silent when they could have made a difference.
I really think our rising movement should take aim at Realtors. They make 7% on a home sale. On a $400,000 house that’s $28,000. All homeowners should begin demanding that Realtors agree IN WRITING that they will pay the cost of all transfer fees. You don’t agree? You don’t get the listing.
Maybe those Realtors will join us at the Legislature next year.
I have been in the HOA and Condo Industry for over 25 years. I have never ever experienced a charge of over $500 for a transfer fee. The average transfer fee is $125.00 with the HOA and Condo company I founded in Florida.
My book, which is being edited, targets real estate agents, title companies, attorneys, management companies, and State Laws.
Do you have a copy of the closing documents from a title company, which are usually owned by an attorney? I would like to see a copy of the closing costs associated with the transfer fees you mention.
Please don’t use the word “rape” to describe
something financial. We all know what rape
is and it is just crass for a man to equate
having to pay money to rape. I hope you never
have to know the difference, but this is a
cruel jibe to those who do.
I agree with you and have now changed the title. Sometimes in my efforts to be provocative I wander over the edge. Please accept my apology.