A Recent Update to the Condominium Act Limits Charges for Document Transactions | Bright Law, PLLC

A Recent Update to the Condominium Act Limits Charges for Document Transactions

The NC Condominium Act governs the way HOAs and governing boards monitor condominium complexes and their tenants. Every year, the legislature reviews this act and makes alterations to account for changes in the community and the real estate market.

A Recent Update to the Condominium Act Limits Charges for Document Transactions

This year, one of the most significant alterations to the NC Condominium Act involved limiting charges for document transactions. The revised act states that HOAs can only impose “reasonable charges” when preparing statements for unpaid assessments. These charges must be provided within 10 to 24 days after the condominium owner receives the request.

More specifically, every statement or request cannot exceed $200. Additional expedite fees can also not exceed $100 if they are made within 48 hours of closing. Both of these charges can be collected by the actual association, the association’s agents, or the association’s managers.

The NC General Assembly has already submitted these changes to the governor’s office for signature and approval, and they are now law. These caps on HOA fees may come as a real relief to condo owners, as HOAs can no longer legally charge absurd amounts for statements and unpaid assessments. HOA companies should make sure they apply these changes from this point forward to prevent legal issues with tenants.

If you have any questions about the NC Condominium Act and how it applies to an upcoming condo purchase, especially with this recent update, please feel free to reach out to us at Bright Law, PLLC. Our firm wants to ensure you feel comfortable, confident, and informed about your impending real estate purchase.