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Condominium Bylaws, Indentures, Declarations and Rules
When buying a condominium, the first thing an experiended buyer will ask is "can I get the indentures and bylaws?" This is because buying Condominiums involves some very important details that are NOT invovled when buying single family homes.
Condominium owners usually own the interior space of their unit, and also a percentage of the association. This is also known as membership. The overall expenses of the whole association are managed by a condominium board, and / or a managment company, and each owner pays their percentage of the total fees. The association is governed according to a set of documents known as the Condominium Conditions and Restrictions (CCR's), and also known as Declarations and Indentures. A part of these documents are known as the bylaws and / or building rules. These documents are legal in nature and establish how the condominiums are run, who is responsible for what, and what is and is not allowed. Usually these documents are prepared by an attorney prior to the establishment of the association, as working democratically as an association to establish the declarations would be almost impossible. Often times these documents can be complex, and it may be helpful to have an attorney review them for total understanding and protection.
The most important thing, and the reason for this discussion, is that anyone buying a loft or condominum should pay close attention to what is said in these documents, because the use of the condominium is controlled by the collective documents and knowing the contents BEFORE closing is vital.
The process of buying a condominium, loft or villa, usually requires that an offer be made and accepted prior to the seller ordering the documents for the buyers information. In St. Louis, there is a condominium rider to the sale contact that mandates what the seller is to provide for the buyer. Once the process is in motion, the buyer receives the CCR's and has an opportunity to 'inspect' them at roughly the same time they have a building inspector take a look at the unit itself. It is vitally important that the buyer understands and reviews the declarations and bylaws within the contingency period. If the buyer does not find the Condtions and Restrictions, or any of the financial information provided acceptable, they can terminate the contact and get their earnest money back for a different property.
The Realtors at Premier Realty Exclusive are condominium specialists that know how to help buyers navigate the sometimes complex world of condominiums with regards to condominiums declarations, indentures, bylaws and rules. Contact us today to discuss your goals of condo living!
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