What is an estoppel certificate and why does my buyer want one?

An estoppel certificate is a signed statement, often from an HOA or a tenant, confirming the current status of dues, fees or a lease so a buyer knows exactly what they are inheriting before closing. A buyer wants one because it locks in facts that a seller's own description might get wrong or leave out. Joel Boss requests this document on any sale involving an HOA or existing tenant so nothing surfaces as a surprise after closing.