POINT OF SALE Inspections – General Information
NOTE: AS OF FRIDAY, MAY 13TH, 2016, THE CITY OF BEDFORD ENACTED A TEMPORARY FREEZE ON ALL POINT OF SALE INSPECTIONS. THE CITY WILL STILL PERFORM A POS INSPECTION ON A VOLUNTARY BASIS UPON WRITTEN REQUEST. POS THAT WERE DONE PRIOR TO 5/13/16 STILL NEED TO FOLLOW PROCEDURE.
• SELLER OBLIGATION:
Owners of residential or commercial real estate, including single-family and 2-family dwellings, duplexes, apartments, and condominiums and all commercial and industrial properties are required to obtain a Certificate of Inspection (Point of Sale) prior to entering into an agreement to sell or convey an interest in such property (including sales through Land Contracts).
Point of Sale inspection for single-family dwelling $50; two-family dwelling $75; apartment, office or commercial building $25 per suite, office, store or unit (minimum $75, maximum $200)
• ESCROW REQUIREMENTS:
If all violations listed on a Certificate of Inspection are not corrected prior to transfer of title, an escrow account must be established through a financial institution (bank/title company) and funds in an amount not less than $100 and equal to 100% of the estimated cost of repairs, must be deposited.
• ESCROW DETERMINATION:
The amount to be held in escrow shall be determined by submitting to the Building Department a written estimate for repair of each violation. The amount deposited into escrow shall be 100% of the approved estimate.
• CITY ESTIMATE:
If the party establishing the escrow (seller or buyer) can demonstrate to the City that, after a good faith effort, he/she is unable to obtain a written estimate, the City may establish the amount of the escrow with the understanding that such determination is non-negotiable.
• ESCROW NOTIFICATION:
Once the estimate has been approved the Building Department will submit an escrow hold letter to the financial institution holding the funds for the appropriate signatures.
• CERTIFICATE OF TRANSFER:
If the City accepts the escrow amount, or if all violations have been corrected, a Certificate to Transfer will be issued and provided to the title company as a condition of title transfer.
• ESCROW DISBURSEMENT:
Funds held in escrow shall be disbursed only upon written authorization of the City. The City may authorize one or more partial releases if it is determined that substantial progress has been made in correcting the violations and that sufficient funds remain in escrow to correct the remaining violations.
• ESCROW AGENT OBLIGATION:
No person, firm or corporation acting in the capacity of an escrow agent in any real estate transaction shall transfer title or disburse funds from any sale unless the provisions of Chapter 1311.18 of the Building and Housing Code of the City have been satisfied.
• FAILURE TO COMPLY:
Any person violating any provision Chapter 1311.18 of the Building and Housing Code will be guilty of a misdemeanor of the first degree and shall be punished as provided in Chapter 1311.28 of the Building and Housing Code of the City.