Completing a board application can be a tiring process, delays in obtaining information can make it doubly exhaustive. Although all board package requirements are different, the items below are generally always requested. Knowing this upfront and focusing your early efforts on obtaining these, can help you avoid delays later! Do wait until you have a signed contract first, as the information below should be dated in the same relative timeframe for when you will submit your application.
#1 Reference Letters:
Obtain all reference letters (professional, personal and bank). Since you are relying on others to provide this information, many times there could be unforeseen delays. Therefore, request these ASAP. Reference letters must be submitted from each applicant, they should be unique, written in English, with signature and contact information. Bank reference letters should be in US Dollars. Note: Married couples can usually provide shared personal reference letters (when addressing the couple) and shared bank reference letters (on joint accounts).
#2 Employment Verification Letters:
Take the initiative to request an employment verification letter which should be signed and include your annual salary, bonuses, start date and position. Many employers now use the online verification system (www.theworknumber.com), however it is not acceptable by all management companies and will need to be checked if it is a welcomed form (if not, you will have to obtain a letter the traditional way). If you are self-employed, a CPA letter will have to be provided in lieu of the employment verification letter.
#3 Homeowners Insurance Certificate:
The next item you should concentrate on is your Homeowners Insurance. Buyers generally want to explore their different options and get multiple quotes. Start this process early. Additionally, a common pitfall is that the insurance requirements submitted in the application, do not meet the condominium’s policy requirements. Ensure you have a breakdown of the condominiums monetary thresholds and who should be named as ‘additionally insured’ (generally the Management Company and the Condominium). You may ask, “How do I insure something I do not own yet?” Well, your insurance provider can give you an “effective start date” and adjust as necessary. Typically you can use the closing date as outlined in the sales contract.
#4 Financial Statement:
Your financial statement should be as current as possible. The numbers input on your financial statement should match your bank, brokerage, 401k statements etc. These very statements will need to be provided as well and should be the most recent. (Note: Some boards require 1-3 months/quarters worth of statements and figures must be in US Dollars; if they are not, they will need to be translated and converted (typically by a CPA)).
#5 Tax Returns:
Generally board applications will require your last 2 years Federal Income Tax returns in full with supporting schedules. If you are in the process of completing your tax returns, try to do so expediently so the most recent ones can be provided. If they are not, this generally raises questions and causes unnecessary delays.