Mass. Gen. Laws Ann. ch. 183A, § 4(5) (West 2013) requires, in relevant part, that “each mortgagee holding a recorded mortgage upon a [condominium] unit shall give written notice of the mortgagee’s name and mailing address to the organization of unit owners,” in order for the mortgagee to receive notices concerning changes affecting the unit, such as:
1. The granting of any easement or other interest in the condominium;
2. The granting or designation of a limited common area;
3. The addition of units or land to the condominium;
4. The selling, conveying, leasing, or mortgage of any rights or interest created as a result of Clause 3; and
5. The taxing of other action by the organization of unit owners as provided for under Massachusetts law.
To accommodate mortgagees in this regard, we will now be providing Cx15381 on a generic basis in all Closing packages, for loans secured by a condominium unit located in Massachusetts. A determination of whether the loan is secured by a condominium unit is made based on Document Trigger 1182 “PUD/Condo” when it equals “Condo.”
Cx15381 is formatted as an official notice, which lenders can mail separately to the condominium association. It not only provides the name and address of the lender, but also requests that the association send the lender notice of any of the foregoing changes in the condominium.
This document will be available on October 11, 2013. If you have any questions or concerns about these changes, please contact Client Support at 1.800.497.3584.
October 4, 2013