Revised Code of Washington requires, with limited exceptions, that a unit owner must furnish to a purchaser before execution of any contract for sale of a unit, or otherwise before conveyance, a resale certificate, signed by an officer or authorized agent of the association and based on the books and records of the association and the actual knowledge of the person signing the certificate.
Where do I get the resale certificate?
Request it from your association. We will provide you a blank copy of the form for the association to complete for free when you submit a flat fee MLS listing through our website. It costs only a one-time fee of $95.
Once I request the resale certificate from the association, how long do they have to provide it?
Within 10 days.
Can the association charge a fee for providing the resale certificate?
Yes, up to $275.
What are the exceptions to providing?
- A sale when delivery of a public offering statement is required.
A conveyance by gift, devise, or descent;
A conveyance pursuant to court order;
A conveyance by a government or governmental agency;
A conveyance by foreclosure;
A conveyance of all of the units in a common interest community in a single transaction;
A conveyance to other than a purchaser;
An agreement to convey that may be canceled at any time and for any reason by the purchaser without penalty;
A conveyance of a unit restricted to nonresidential uses, except and to the extent otherwise agreed to in writing by the seller and purchaser of that unit.
What type of information is in the resale certificate?
As of this writing, the following:
- A statement disclosing any right of first refusal or other restraint on the free alienability of the unit contained in the declaration;
- With respect to the selling unit owner's unit, a statement setting forth the amount of any assessment currently due, any delinquent assessments, and a statement of any special assessments that have been levied and have not been paid even though not yet due;
- A statement, which must be current to within 45 days, of any assessments against any unit in the condominium that are past due over 30 days;
- A statement, which must be current to within 45 days, of any monetary obligation of the association that is past due over 30 days;
- A statement of any other fees payable to the association by unit owners;
- A statement of any expenditure or anticipated repair or replacement cost reasonably anticipated to be in excess of five percent of the board-approved annual budget of the association, regardless of whether the unit owners are entitled to approve such cost;
- A statement whether the association does or does not have a reserve study prepared in accordance with RCW 64.90.545 and 64.90.550;
- The annual financial statement of the association, including the audit report if it has been prepared, for the year immediately preceding the current year;
- The most recent balance sheet and revenue and expense statement, if any, of the association;
- The current operating budget of the association;
- A statement of any unsatisfied judgments against the association and the status of any legal actions in which the association is a party or a claimant as defined in RCW 64.50.010;
- A statement describing any insurance coverage carried by the association and contact information for the association's insurance broker or agent;
- A statement as to whether the board has given or received notice in a record that any existing uses, occupancies, alterations, or improvements in or to the seller's unit or to the limited common elements allocated to the unit violate any provision of the governing documents;
- A statement of the number of units, if any, still owned by the declarant, whether the declarant has transferred control of the association to the unit owners, and the date of such transfer;
- A statement as to whether the board has received notice in a record from a governmental agency of any violation of environmental, health, or building codes with respect to the seller's unit, the limited common elements allocated to that unit, or any other portion of the common interest community that has not been cured;
- A statement of the remaining term of any leasehold estate affecting the common interest community and the provisions governing any extension or renewal of the leasehold estate;
- A statement of any restrictions in the declaration affecting the amount that may be received by a unit owner upon sale;
- In a cooperative, an accountant's statement, if any was prepared, as to the deductibility for federal income tax purposes by the unit owner of real estate taxes and interest paid by the association;
- A statement describing any pending sale or encumbrance of common elements;
- A statement disclosing the effect on the unit to be conveyed of any restrictions on the owner's right to use or occupy the unit or to lease the unit to another person;
- A copy of the declaration, the organizational documents, the rules or regulations of the association, the minutes of board meetings and association meetings, except for any information exempt from disclosure under RCW 64.90.495(3), for the last 12 months, a summary of the current reserve study for the association, and any other information reasonably requested by mortgagees of prospective purchasers of units. Information requested generally by the federal national mortgage association, the federal home loan bank board, the government national mortgage association, the veterans administration, or the department of housing and urban development is deemed reasonable if the information is reasonably available to the association;
- A statement whether the units or common elements of the common interest community are covered by a qualified warranty under chapter 64.35 RCW and, if so, a history of claims known to the association as having been made under any such warranty;
- A description of any age-related occupancy restrictions affecting the common interest community;
- A statement describing any requirements related to electric vehicle charging stations located in the unit or the limited common elements allocated to the unit, including application status, insurance information, maintenance responsibilities, and any associated costs; and
- If the association does not have a reserve study that has been prepared in accordance with RCW 64.90.545 and 64.90.550 or its governing documents, the following disclosure: