Requires condominium associations to charge a reduced fee to update a condominium resale certificate after issuance of the initial certificate.

Plain-English Summary

When someone sells a condominium in Rhode Island, the condominium association is required to provide a resale certificate — a document that gives the buyer important financial and legal information about the property and the association (such as fees, rules, and any outstanding debts). Under current law, associations can charge a fee to prepare this certificate, but there are limited rules about what happens if that certificate needs to be updated after it is first issued.

This bill would require condominium associations to charge a lower, reduced fee for any updates made to a resale certificate after the original certificate has already been prepared and paid for. In other words, if a sale is delayed or if information changes and the certificate needs to be refreshed, the association could not charge the full original fee all over again — they would have to offer a discounted rate for the update.

This bill primarily affects condo sellers, buyers, and condominium associations across Rhode Island. Sellers and buyers could benefit from lower costs during the transaction process, particularly in situations where deals take longer to close or require certificate updates. Condominium associations, on the other hand, would have less flexibility in setting their own fees for this service.

The bill was introduced in the Rhode Island Senate and referred to the Senate Housing and Municipal Government Committee. It has been scheduled for a hearing but was recommended to be held for further study, meaning it has not yet advanced through the legislative process.