A buyer's expected housing costs changed dramatically once paperwork from the neighborhood's homeowners association arrived.
While they told the r/FirstTimeHomeBuyer subreddit that the townhouse had been listed with $32 monthly dues, the documents showed the real fee was much higher.
Here's what to know
"The listing agent listed the townhouse's HOA fee as $32/mo, when in reality it was $102/mo," the original poster wrote.
The buyer said they still intended to move forward because the higher dues were not enough to sink the purchase, but they described the discrepancy as misleading.
"When my realtor addressed this mistake, the listing agent basically just told us to deal with it," the OP continued.
Commenters largely agreed that the buyer had limited leverage. One person half-seriously brought up the idea of asking for trimming off $840 to account for the first year difference.
TCD Picks » Quince Spotlight
💡These best-sellers from Quince deliver affordable, sustainable luxury for all
"It's probably not worth it," they wrote. "But technically in some states you can use any HOA terms as a reason to back out or renegotiate,"
More background
HOA fees are not optional. They directly affect a home's monthly carrying costs, and buyers cannot negotiate those dues with the association after closing.
Several commenters noted that the incorrect number may not have been an intentional lie.
"They usually can default with old MLS info," a Reddit user wrote. "Also, the seller themselves could have lied or the HOA just went up."
Reviewing the rules early can help clarify how much authority an HOA has and what comes with working with HOAs. With that due diligence, homeowners will likely also learn what the true fees might be.
"Incorrect info happens all the time, but hard to prove malicious intent," another commenter wrote. "As the buyer, it's good you verify all the info like you have, then make a decision."
What can be done?
Before closing, the buyer could always try to negotiate or walk away from the deal if the revised costs no longer make sense. Another person advised filing a complaint with a real estate licensing authority or the agent's broker if they believe the listing was negligent or deceptive.
"Maybe $32 HoA fee should have been a red flag, because why would it be [so] low," a Redditor thought. "Either way, you found out before you closed and if the only inaccuracy or problem is a difference of $70, I would consider myself lucky."
Where can I learn more?
Buyers dealing with surprise HOA costs may want to see how similar disputes have played out for other homeowners.
• At one condo building, an HOA imposed an outrageous EV surcharge for a Tesla Model Y.
• One homeowner was stunned by a hefty fee for installing solar panels under HOA rules.
• After years of dues, one resident questioned steep maintenance fees and vague lawn requirements.
• Another homeowner called it a ridiculous requirement when the HOA demanded extra home insurance.
Get TCD's free newsletters for easy tips, smart advice, and a chance to earn $5,000 toward home upgrades. To see more stories like this one, change your Google preferences here.
