HOA Transfer Reports.
Thinking about selling your Cherry Point home? Even with the rise in interest rates, our Cherry Point Neighborhood is a very desirable section of the Denver real estate market and homes continue to sell robustly.
As you recall, HOA membership is mandatory. The original 1956 Covenants and Building Restrictions, as revised and approved in 2019 (“Covenants”), make each household a member of the HOA. Likewise, the Covenants apply to all households.
Unfortunately, the “voluntary” dues aspect seems to confuse realtors and title companies alike. Even though the Covenants are filed of record with the City and County of Denver, realtors and title companies frequently ignore the binding nature of the Covenants. This sometimes ends in disappointment to our new homebuyers.
One of the services your HOA board provides is covenant review and compliance. This is done to preserve the character and integrity of our neighborhood. Over the past five years, the Architectural Review Committee has reviewed more than 60 submissions for items ranging from new roofs, paint, fences, outbuildings and full remodels.
To alleviate new buyer concerns about possible covenant violations that may become the new buyer’s problem, the Board instituted a review process for sellers in 2021. When you sell your house, the Architectural Review Committee (“ARC”) members will review the exterior of the property to confirm the absence of covenant violations, or the presence of non-conforming items, and provide your title company with a written report. The fee for this report, added to the closing costs, is $250 for delivery within ten days and $350 for expedited returns. This fee is a small fraction of the amounts charged by many HOAs. We are only looking for covenant compliance issues. We do not inspect any element of construction or do any other review.
Our goal is to assure that all of our new neighbors understand the Covenants and are not surprised by issues when they join our neighborhood.
There are hundreds of realtors and dozens of title companies here in Denver that serve the real estate profession. The HOA and ARC volunteers simply cannot educate them all. We need your help as the Seller to make this a part of educating the agents on both the Buyer and Seller position.
If you are making any changes to your exterior (e.g., roofs, adding a shed, changing the color of exterior paint and similar) you must send an application to the ARC. You can accomplish this by emailing a request for approval to ARC.
The review may take a while and, depending on the scope of your changes, the ARC may want to see drawings and elevations. The ARC members volunteer their time and attention to these matters. They are available to help whenever they can.
If your annual dues are current, the review is performed without charge. If you are not current in your dues, a $75.00 fee will be imposed before approval is granted. Remember, all changes must be in compliance with the Covenants!
Where can I find the CPHOA Covenants?
To review our CB&Rs you can find them here and recorded at the City of Denver Clerk and Recorder’s office at reception number 2019100599.