Question:
Hello, I purchased and mortgaged a Condo at a vertical unit in South Carolina. As part of that purchase and closing on the mortgage I was required to acknowledge and sign the deed and obviously all previous mortgages had they existed was required to be settled.
Now that I am an owner I have been informed that the HOA of the entity has outstanding long term debt that was not assigned to the previous owner of the apartment and is a general debt of the HOA and I own my ownership percentage of that debt even though neither the previous owner nor the HOA (who had to acknowledge my purchase of the apartment in writing) disclosed that debt to me.
Can you tell me am I responsible for that share of debt or is it still the responsibility of the previous owner and HOA?
– James
Answer:
Hi James,
According to the South Carolina Residential Property Condition Disclosure Act Section 27-50-40(9), the seller must provide a disclosure statement including whether the property is subject to an HOA. This may or may not include the duty to disclose the HOA’s outstanding debts. For further guidance, kindly consult a lawyer.
Disclaimer: We are not lawyers. The information provided on this website does not constitute legal advice.
