Welcome!




Expand Your Education with These Courses from
A Consumer Advocate Approach to Real Estate: Course 1.
Effective Presentation Skills for Sales Professionals: Skills for Sales Success: Part Five.
Negotiating Skills: Skills for Sales Success: Part Six.
Territory Management: Skills for Sales Success: Part Eight.
Bundle 3: CIPS Institute (US Version).

Real Estate Q&A: Condo Rules Will Dictate Profit Division from Sale

Have a comment on this article? Share on Facebook!

By Gary M. Singer

condo_complex_modern(MCT)–Question: A family member of mine lives in an eight-unit condominium. A developer has offered to buy the building, and it was our expectation that the owners would split the money evenly because all the units are the same size. But some of the owners say they deserve a larger share because they’ve renovated their units. What does the law say about this?  – Anonymous

Answer: As with most questions related to condominiums, the first step is to check the condo documents to see what they say on the subject. Deals to terminate the condo and sell to a developer generally must be approved by 80 or 90 percent of the owners. Also, any mortgage lenders that will not be paid off in full need to approve the transfer.

The method of calculating each unit’s share may also be in the condo documents. If not, the owners will need to agree to share the money based on size of the units or fair market value. A simple solution might be to check with an appraiser to see how much a renovation increased the fair market value of a particular unit. Values typically are determined by location and size — so a renovation may not make much of a difference, leaving nothing for the owners to argue about.

Gary M. Singer is a Florida attorney and board-certified as an expert in real estate law by the Florida Bar.

©2014 Sun Sentinel
Distributed by MCT Information Services

Want instant access to great articles like this for your blog or newsletter? Check out our 30-day FREE trial of REsource Licensed Real Estate Content Solutions. Need easy stay-in-touch e-Marketing solutions too? Try Pop-a-Note for 99 cents!
Join RISMedia on Twitter and Facebook to connect with us and share your thoughts on this and other topics.




Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>

Copyright© 2014 RISMedia, The Leader in Real Estate Information Systems and Real Estate News. All Rights Reserved. This material may not be republished without permission from RISMedia.

Content on this website is copyrighted and may not be redistributed without express written permission from RISMedia. Access to RISMedia archives and thousands of articles like this, as well as consumer real estate videos, are available through RISMedia's REsource Licensed Content Solutions. Offering the industry’s most comprehensive and affordable content packages. Click here to learn more! http://resource.rismedia.com

Our Latest News >>