ESCROW DEMANDS

California Civil Code § 1368 allows the Association and/or the managing agent to charge a transfer fee in connection with the transfer of ownership in a Common Interest Development. The following explains the transfer fees charged by Valencia Management Group.

The cost for a complete Resale Package is $225.00 ($250 for Association's with Litigation) plus a delivery fee from CondoCerts of $29.00. We process all requests within three days of receipt of payment by CondoCerts. The fee noted above covers the various tasks performed by our Escrow and Accounting Departments, including:

• Completing the demand statement from the escrow holder, including:

• The status of the seller’s account
• Current and approved changes in the assessment for the unit/lot
• Association insurance declaration pages
• Information regarding litigation involving the Association
• Copies of the Associations Governing Documents
• Copies of both the Budget and Year-end Financial Review
• Alleged violations of the governing documents
• Setting up the new owner(s) records in the Association’s files

• Purging, as appropriate, the seller’s records
• Key/Key Card transfer form (if needed)
• Properly crediting all funds received through escrow to the seller and buyer

Throughout the course of an escrow there is a high level of contact between our firm and the various agents involved in the transaction. These can include the listing and selling agents, escrow companies, appraisers, and lenders. Our staff supplies prompt courteous attention to all of the parties involved in the transaction, however, as this is not part of our management contract, we must charge a fee to perform these tasks. This fee covers our cost of personnel, overhead, postage, and copying.

The responsibility for the transfer fees is determined in the contract governing the sale of a lot/unit and is negotiated between the parties. Neither the Association nor Valencia Management Group determines which party is responsible for these fees.

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