Assessments Buying Condominium Financial Legal

Inherited Mysterious Condo Loan


T.S. from outside of Connecticut writes:

Dear Mister Condo,

When we bought our condo we didn’t have any idea about a loan that was taken out to do some improvements. We have been paying on this loan for 8 years, every time we try to request documentation on the loan, our request goes unanswered. In June, a letter was sent out to all owners giving you an option to pay off the balance of your loan within 30 days or your monthly charges will go up but they still have not produced any documentation on the loan. What is your advice on how to proceed? Thanks in advance for your assistance.

Mister Condo replies:

T.S., an association loan such as you have described is a public record of the association. As such, you or any other unit owner of the association can view it. There may be a small document handling fee for viewing this record but it must be made available. Also, the previous owner should have disclosed the loan to you before you purchased the unit. My best advice for you is to hire an attorney to see if your rights were overlooked at the time of closing. Did you use an attorney for your closing? If so, a proper review of the association’s documents by your attorney should have revealed this loan. Speak with an attorney and protect yourself. Good luck!

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