Are HOA dues prorated when you move in?
By OurHOA · General information · Revised
A purchase agreement may split dues between buyer and seller at closing. The move-in date, closing date, and association billing schedule are not necessarily the same.
Use the contract and transfer date
Ask the closing professional whether your agreement prorates regular assessments and which date controls. Moving your belongings into the home may occur before or after title transfers. Do not assume the physical move-in date determines the amount. Request the calculation before signing, including which party is assigned the closing day.
Check a simple example against your actual terms
Suppose June dues are $300, the month has 30 days, and the agreement assigns June 16 through June 30 to the buyer. An actual-day calculation assigns $150 to each party. If the seller already paid the full $300, the buyer’s $150 may reimburse the seller through closing. This example assumes that convention; it is not a mandatory formula for every sale.
Do not confuse reimbursement with a new HOA payment
Ask whether a line on the settlement statement pays the association or adjusts money between the parties. Confirm the association’s paid-through date and next bill. Otherwise, you could reimburse the seller for a prepaid period and then mistakenly pay the association for it again. If the dues were unpaid, ask where the payment to bring the account current appears.
Verify special assessments and other charges separately
Request a list of approved assessments, remaining installments, credits, and transfer-related charges. Ask how each is allocated under the agreement rather than applying the regular-dues formula to everything. Florida’s statutory estoppel form illustrates the information a closing statement may need, but other jurisdictions use different documents and rules. A proposed project is also different from an approved assessment.
Arrange the first payment after closing
Ask the association for the new owner’s account setup, accepted payment methods, due date, and amount. Keep the closing calculation and current ledger for comparison with the first bill. If the bill appears to repeat a closing payment, provide the reference and request reconciliation before submitting a duplicate. Do not assume that receiving keys has completed the association’s billing setup.
Sources
These guides are general education for HOA boards and residents, not legal, tax, or financial advice. Rules vary by state and by your community's governing documents - check with a professional for your situation.