Why do I need an “Estoppel Letter” to sell my property?

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–  www.TimeshareTitlePro.com – 

An estoppel letter is a legal document provided by the seller’s timeshare management company, homeowner’s association, or condominium association. The estoppel letter states the current owner’s financial standing in regards to the owner’s maintenance fees or association dues. It will show any past due balances, current fees due, and lists any future special assessment dues.

The management company or association normally charges a fee to prepare the estoppel letter and by law they have 15 business days to provide the letter after requested. The estoppel letter preparation fees can range from zero to $500.00 and is regulated by the State of Florida. Many companies and associations will charge an additional rush fee if the letter is needed before the 15 days, as well as an update fee if the closing is delayed beyond the good through date.

Why do I need an estoppel letter? Any property being sold with title insurance will require an estoppel letter so the title agent can clear the title of any encumbrances created by the seller. Thus, giving the buyer clear title, with no hidden encumbrances to worry about.

TIP: If association dues are not paid, an association may have the right to place a lien on your property!

If you or someone you know is selling property or needs help with the process of selling their property, give us a call at (904) 342-2370 or email us at closings@timesharetitlepro.com. We hope we can help you in anyway possible and we will be happy to explain how title insurance further.

Check out our website at www.TimeshareTitlePro.com!

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