A huge share of Houston-area neighborhoods have a homeowners association attached to them, and most of the time it's a non-issue. But when an HOA's paperwork isn't in order — or nobody thinks to request it until the week of closing — it can genuinely delay a sale. Here's what's worth checking before you list.
What Is a Resale Certificate, and Why Do You Need One?
A resale certificate is a document from the HOA (or its management company) confirming the property's standing — outstanding dues, any violations on record, pending special assessments, and the association's governing documents. Texas law requires this be provided to a buyer, and most title companies won't close without it.
Resale certificates can take anywhere from a few days to a few weeks to process depending on the HOA's management company, so requesting it early — ideally before or right when you list — helps avoid a last-minute scramble.
Transfer Fees: Who Pays?
Many HOAs charge a transfer fee when ownership changes hands, separate from the resale certificate fee itself. Texas law caps what HOAs can charge for these, but the exact amount and who's responsible for paying it — buyer or seller — is often negotiated as part of the contract rather than fixed by default. Knowing the fee upfront avoids a surprise at the closing table.
Unpaid Dues and Assessments
If there are unpaid HOA dues or an active special assessment on the property, that typically has to be resolved — usually paid out of sale proceeds at closing — before the association will sign off. This is exactly the kind of detail the resale certificate surfaces, which is part of why requesting it early matters: it gives you time to address anything outstanding instead of discovering it during the closing process.
Rental Restrictions and Other Covenants Buyers Ask About
Buyers — especially investors — will often ask about rental caps, leasing restrictions, architectural approval requirements, and other covenants in the HOA's governing documents. Having these on hand and easy to share with your agent ahead of time can prevent a promising buyer from stalling out over a question that could've been answered on day one.
A Simple Pre-Listing HOA Checklist
- Confirm the HOA's current management company and contact information
- Request the resale certificate as early as possible — don't wait until you're under contract
- Ask about the transfer fee amount and who typically pays it in your community
- Check for any unpaid dues or pending special assessments on the account
- Pull the current governing documents (CC&Rs, bylaws) in case buyers or their agents ask
This article is provided for general informational purposes and isn't legal, financial, or tax advice. Every situation is different — for guidance specific to yours, consult a licensed attorney, CPA, or other qualified professional alongside our team.