Frequently Asked Questions About Resale Packages
What is a Resale Package?
Condominium and homeowner associations are governed by a series of documents that detail the responsibilities of the homeowner and the community to provide services. Anyone purchasing a home in a community is entitled to have those documents prior to the purchase of their home. The resale package is the method selected by the Maryland legislature to assure that new homebuyers are aware of their obligations and status of the community.
A resale package is a packet of vital information provided to those purchasing a condominium or a home in an association. The package includes a complete set of recorded documents that govern the community such as the
Articles of Incorporation, Declaration, By-laws and in most cases, the rules, regulations, and architectural guidelines of the community. This package also contains a disclosure certificate that gives the buyerinformation regarding any special assessments or other fees applicable to the property as well as information on any pending litigation matters, known physical problems with the property and any architectural compliance issues. Also included is a master insurance certificate, current budget and a profit & loss statement for the community.
Where do I find the information to provide to the perspective buyer of my home?
You may already have some of the information that is required. When you purchased your home, you should have been provided the recorded documents. If this is not the case, you can usually purchase a copy from the land records department of your county or city. The recorded documents are also available from American Community Management in addition to the other information required in the package as detailed in the first paragraph above.
Why should I purchase a resale package?
It is a legal obligation of the seller to provide this information; should you not make it available the potential buyer could void the contract of sale. Your complete obligation is detailed in the Maryland Annotated Code.
(Article No. 11-135 of the Maryland Condominium Act and Article No. 11-B-106 of the Maryland Homeowners Association Act, Real Property, Maryland Annotated Code.)
If the seller does not provide the buyer with a resale package, can the sale take place?
Yes, if both the buyer and the seller agree to proceed without a resale package; however, you run the risk of the buyer canceling the contract as stated above.
When should a resale package be ordered?
Some of the information in the resale package is time sensitive especially the information that pertains to the financial condition of the community; therefore, it is not a good idea to purchase the resale package months
in advance. State Law requires that the packet of information be provided no later than 15 days prior to closing for a condominium and within 20 days of entering into a contract of sale for a home in a homeowners association.
Does the package expire?
No, however the resale disclosure certificate portion of the package is only valid for thirty (30) days from the date of preparation.
Where do I get a resale package?
American Community Management provides unit owners selling their units with resale packages for a minimal fee. A seller my also ask their legal advisor or any other available source for the packet of information. Homeowner Association documents are available in the land records depository.
How much do resale packages cost and who is
responsible for the cost?
Resale packages are not a community expense. The seller of the home is responsible for the cost. American Community Management offers the following options when purchasing a resale package. ACM prepares two different resale packages: a full package that includes the community documents and amendments, and our Update package that does not include the documents and the amendments. Go to the "Resale Request" under the "Owner Services" to purchase a resale package and a list of the various options available for your purchase of the package.
How do I pay for the resale package?
The Resale Coordinator at American Community Management will begin compiling the resale package when your payment is received via money order, certified check, or credit card. A 5% convenience fee will be added for those payments made by credit card. (Mastercard, Visa, American Express or Discover) Please refer to the Member Services section of our website and click on the Resale Request option to purchase a resale package.
