Rhode Island resale certificate: A guide to what it is, how to get it, and how it’s used

What is a Rhode Island resale certificate?

A Rhode Island resale certificate is a condo association document that helps a seller disclose key unit and association information before a sale. It includes items like assessments, unpaid fees, reserves, budgets, insurance, and known violations. Under the Rhode Island Condominium Act, sellers must provide it in covered resale transactions before contract signing or conveyance.
 

What information is included?

A Rhode Island condo resale certificate typically includes key financial, legal, and operational information, such as:

• Current common expense assessments: The amount of the monthly common expense assessment for the unit.
   
• Unpaid amounts due from the seller: Any unpaid common expenses or special assessments currently due and payable from the selling owner.
   
• Fees payable by unit owners: Other fees or charges that unit owners may be required to pay.
   
• Capital expenditures: Any capital expenditures anticipated by the association for the current fiscal year and the next two fiscal years.
   
• Reserve fund information: The amount of any reserves for capital expenditures and any portions of those reserves designated by the association for specified projects.
   
• Operating budget: The association’s current operating budget.
   
• Financial statement: The association’s most recent regularly prepared balance sheet and income and expense statement, if any.
   
• Insurance information: Condo insurance coverage provided for the benefit of unit owners.
   
• Pending legal matters: Any unsatisfied judgments against the association and the status of any pending lawsuits in which the association is a defendant.
   
• Known violations: Whether the executive board knows of alterations or improvements to the unit or its assigned limited common elements that violate the declaration, plus any known health or building code violations involving the unit, its assigned limited common elements, or any other portion of the condominium.
   
• Restraints on sale: Whether anything limits or affects the sale, such as a right of first refusal.
   
• Leasehold information: If the condo is affected by a leasehold interest, how much time is left on that lease and whether it can be extended or renewed.

View the full Rhode Island statute about what’s inside a resale certificate here.
 

Are resale certificates required?

Generally, yes, for Rhode Island condos covered by the Rhode Island Condominium Act. The seller must provide the buyer with the required resale certificate and association documents before the contract is signed, or otherwise before the unit is conveyed.

The requirement generally applies to Rhode Island condos created after July 1, 1982, and older condos for events occurring after that date (R.I. Gen. Laws § 34-36.1-1.02(a)(2)).
 

Do HOAs use resale certificates?

Rhode Island’s resale certificate requirement is tied to condos under the Rhode Island Condominium Act, so it may not apply to every non-condo HOA in the same way. However, many HOAs still provide similar resale information during a sale, such as account balances, unpaid assessments, violations, fees, insurance details, and governing documents.

Boards should check their governing documents and consult qualified legal counsel to confirm what is required for their community.
 

How to get a resale certificate

In Rhode Island condo sales, the unit owner usually requests the resale certificate from the condo association, board, or property management company. The association must provide the certificate within 10 days after a request by the unit owner (R.I. Gen. Laws § 34-36.1-4.09(b)(1)).

In practice, sellers often work through their real estate agent or closing attorney to make the request early in the transaction. That helps avoid last-minute delays, especially if the certificate needs input from accounting, management, the board, or legal counsel.
 

How much does a Rhode Island resale certificate cost?

For Rhode Island condos, the association may charge a resale certificate fee, but the fee is capped at $125 for an electronic or physical certificate (R.I. Gen. Laws § 34-36.1-4.09(b)(2)). For non-condo HOAs, costs may depend on the community’s governing documents, management agreement, and any applicable resale or closing procedures.
 

How to use a resale certificate

Buyers use the resale certificate to understand the unit’s financial position and the broader condition of the condo association. It can show whether the seller owes unpaid assessments, whether unpaid special assessments are currently due from the seller, whether lawsuits or judgments exist, and whether the board knows about certain violations or issues.

The certificate also protects buyers. Rhode Island law says the buyer is not liable for any unpaid assessment or fee greater than the amount set forth in the resale certificate. That makes accuracy important for the association and meaningful for the buyer.
 

Buyer review and cancellation rights

A buyer has time to review the resale materials. Rhode Island law makes the contract voidable by the purchaser until the certificate has been provided and for five days after the certificate is provided, or until conveyance, whichever comes first (R.I. Gen. Laws § 34-36.1-4.09(c)). This gives the buyer a chance to review the association’s disclosures before fully committing to the purchase.
 

Penalties for condo associations

If an association fails to provide the certificate within 10 days after a written request, it may face a civil penalty of $100 to $500 per occurrence (R.I. Gen. Laws § 34-36.1-4.09(b)(3)).
 

Tips for buyers and sellers

1. Request the certificate early

   Sellers should request the resale certificate before contract signing when possible, or otherwise as early as possible in the transaction. Rhode Island condo associations have a response deadline, but waiting until the last minute can still create closing stress if records need review or follow-up.
    

2. Review the numbers carefully

   Buyers should look closely at monthly assessments, unpaid amounts, special assessments, reserve information, and any fees due at closing. Sellers should also review the certificate for accuracy so any questions can be addressed before closing day.
    

3. Look beyond the unit balance

   A resale certificate is not just about whether the seller is current on payments. It can also show broader association issues, including budgets, reserves, anticipated capital expenses, insurance, lawsuits, and known violations. Buyers should review the full package, not just the amount owed.
    

4. Ask questions before the review period ends

   Buyers may have a limited time to review the resale materials and decide whether to move forward. Use that window to ask questions, share the documents with the right professionals, and clarify anything that seems unclear or concerning.
    

5. Keep the closing team aligned

   Sellers, buyers, agents, attorneys, lenders, and the association should all be working from the same information. Effective communication helps prevent last-minute surprises about assessments, credits, fees, or documents needed before closing.

How a property management company can help

A professional property management company can make the resale certificate process smoother by keeping account records current, coordinating document requests, tracking the 10-day response period, gathering required association information, and helping boards respond consistently. Management also helps reduce the burden on volunteer board members, especially in communities with frequent sales or complex financial records.

For buyers and sellers, that support can mean fewer delays. For boards, it means the association is better prepared to provide accurate information when a resale request arrives.
 

About FirstService Residential

As North America’s leading property management company, FirstService Residential serves Rhode Island communities with local expertise backed by national resources. With over 35 years of experience across the state, our teams support boards and owners with recordkeeping, financial management, resident communications, banking and insurance programs, and 24/7 customer care teams. This way, our clients can focus on long-term goals instead of day-to-day administration.

To learn more, contact our Rhode Island team today.

This information is provided for general informational purposes only and is not intended to constitute, and should not be relied upon as, legal, regulatory, financial, or operational advice, or as a representation or guarantee of any specific services, capabilities, or outcomes. Property management needs, regulatory requirements, market conditions, and available services vary by jurisdiction, property type, and community. FirstService Residential provides services through locally based affiliates and associates, and services and results may vary by community, region, contractual terms, and applicable law.