What is an HOA resale package? Everything you need to know

What is an HOA resale package?

An HOA resale package is a set of documents that a homeowners association (HOA) provides to a buyer when a property is sold. In Pennsylvania, this package typically includes the resale certificate (which details outstanding fees, special assessments, and legal issues), along with governing documents, financial statements, and HOA rules. Sellers must request it from the HOA, which usually has 10 days to provide it, often for a fee. This package helps buyers understand the community’s financial health, obligations, and restrictions before closing.
 

What is an HOA resale certificate?

The resale certificate includes any past due payments to the association, pending violations, unpaid violations, unpaid special assessments, and fees that are due on closing. It also includes information about the association as a whole: pending litigation, amounts in the reserve fund and planned capital expenditures for the upcoming year. Some HOAs also include the type of voting that the association uses and other state-specific information. In Pennsylvania, Title 68 of the Consolidated Statutes defines what is required on the certificate. Buyers typically have a statutory window of up to five days during which they can rescind the purchase after receiving the resale certificate if they’re not comfortable with its contents.

The purpose of the resale certificate is to offer protection to both the buyer and the seller, as well as the homeowners association. Should the seller have any outstanding dues, it will become the buyer’s financial obligation to pay those debts after some time. It gives sellers the opportunity to fully disclose their financial position with the HOA. At the same time, it reduces financial risk for the association.
 

What are governing documents?

A resale package also includes the HOA’s governing documents: the master deed and bylaws, articles of incorporation, and rules and regulations. If one is available, a plat map of the community may be included. Some states also require board meeting minutes and a copy of the reserve study. Other financial documents are often included in this section. A very small number of associations don’t distribute copies of their financials, instead requiring buyers to come in person and review them in the office.
 

When are HOA resale packages ordered?

Generally speaking, the resale package is ordered by either the buyer or seller after the purchase contract is signed. Sometimes, the seller will have much of the information, such as governing documents, available and share that with the buyer ahead of the contract being signed. Some realtors and listing agents know to contact the property management company and ask for things like monthly fee amounts so that they can let clients know as they show the property. They don’t have access to all of the information about the unit, like account balances.
 

What is the purpose of an HOA resale package?

The purpose of an HOA resale package is to protect both the buyer and the seller. The seller receives proof of their balance with their association, while the buyer can clearly understand what their fees will be and if there is an upcoming special assessment. If, for example, the seller has back dues or unpaid violations, then the buyer is aware and those issues can be negotiated at closing.
 

How does the buyer get a resale package? Who requests that?

In Pennsylvania, the seller is required by law to provide the information to the buyer, so typically either the seller or their agent requests the package. In some cases, other parties involved in the transaction — such as the buyer, seller, realtor, closing agent, lender, or attorney — can request the package. This makes it important for sellers to confirm the process with their HOA early to avoid delays.
 

How long does it take to get a resale package?

That depends on a few things. In the state of Pennsylvania, the standard resale processing time is 5–10 business days. We understand how much anxiety buyers have around the process: they’ve gotten down to the wire and they may see this as another delay. But it does take time to review documents and accounts, do research on pending litigation and architectural modifications. It’s not instantaneous, but it’s for your protection.
 

How do self-managed communities handle resale packages?

In self-managed communities, resale packages are typically prepared by a board member, clerical staffer, or the community manager they’ve hired. While this approach keeps things in-house, it also puts full liability on the person creating the documents. Mistakes can cause financial discrepancies at closing, and the responsibility for correcting them falls on the association.
By contrast, a professional property management company like FirstService Residential can take on that liability by reviewing every detail multiple times before submission. This not only reduces risk but also removes the administrative burden from the board, allowing them to focus on running the community — not managing paperwork.
 

How much do resale packages cost?

Resale packages generally cost between $175 and $300, though costs vary by community. This cost is an investment in peace of mind and transparency, and it reduces your liability if the seller hasn’t made all association payments and isn’t upfront about it. In Pennsylvania, debt goes with the property, so if the seller hasn’t paid dues in a year and the buyer doesn’t know that, that debt may become the buyer’s responsibility.
 

Is it difficult to order the resale package?

HOA resale packages might sound complicated, but they don’t have to be. And they are an important tool in closing negotiations and for the peace of mind of everyone involved in the transaction: the seller’s obligations are taken care of, the buyer knows all about the community they are joining and the association board knows that it has been paid everything it is owed. Getting that information is vital to a smooth real estate transaction.

In communities managed by FirstService Residential, all someone needs to do is go online with the buyer’s name, seller’s name, purchase price, anticipated closing date and unit address.

For more information about how working with a professional property management company can make dealing with resale packages and other financial items easier on your board, contact FirstService Residential, North America's leading community association management company.