Issues That May Be Unique To Living in South Florida
Around 900 people move to Florida every single day, according to the latest U.S. Census information. For many new Florida residents, moving here means they will be buying a new home.
These new Floridians need to be aware of issues in residential real estate that may be unique to Florida and new to them.
Florida Residential Real Estate Law
Florida real estate professionals (realtors, brokers, agents) are governed by state law in a highly regulated industry. Fraud and deception, as well as incompetence, have been a big problem in the past in our residential real estate market. Legislation is on the books to try and keep these concerns to a minimum.
Additionally, the closing process and those involved in the residential sales process are also regulated. From the inspector to the surveyor to the closing agent, each has specific legal duties under Florida law that they are to obey. These regulations may be very different from other state laws and regulations.
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Here are some home buying tips for these new Florida residents:
1. Get Written Answers to Questions
Before beginning any house hunt, new Florida residents should know to get written answers to their questions for either their seller or the seller’s realtor. This is easy enough to do; just send an email with your question and make sure you get a written response.
2. Contingent Approved Disclosure Statement
Here in Florida, the seller may be required to provide the buyer with a Disclosure Statement. The buyer can make the real estate contract contingent upon (1) his or her receipt of a Seller Disclosure Statement and (2) his or her approval of the disclosure statement.
3. Licensed Inspection
It’s wise to make sure that the home or condo is safe, habitable, and has no hidden dangers or damage. As a buyer, you can hire a licensed inspector to conduct an inspection of the property. These inspectors are licensed by the State of Florida. The seller can be required to address the issues shown in the inspection report.
Warning: the inspection will only reveal things that are within an inspector’s normal scope of work as defined by law.
4. Real Estate Lawyer
Florida real estate professionals are happy to act on behalf of buyers. However ,they are not allowed to practice law in the State of Florida, or to give the appearance of doing so. It is wise for a new Florida resident to hire a Florida real estate lawyer to represent them from contract to closing. Relying on a Florida real estate agent to represent you is risky, no matter how friendly and knowledgeable they may seem.
5. Rain and Flooding
Particularly in South Florida, neighborhoods and communities are prone to flooding, not only during hurricane season but during heavy rainstorms. Buyers should ask both the seller and the seller’s relator if (a) the neighborhood or (b) the home floods during rain or is in a flood zone.
You can enter a residential address at FEMA.gov to check if the property is located within a high risk flood zone for purposes of flood insurance.
6. Mold
Mold is a tremendous threat to any Florida residence. The tropical climate combined with our nearest to assorted waterways (Atlantic Ocean, Gulf of Mexico, internal rivers and wetlands, etc.) creates a humid environment that encourages mold growth.
Mold is a danger that many new Floridians may not appreciate. It’s wise to ask if the home has had any issues with mold before purchasing the property.
7. Pre-1980s Plumbing
If the Florida home was built before 1980, then the new Florida resident needs to know that plumbing standards were different in the 1970s and earlier. It is wise before buying an older home to get a plumber to inspect the pipes for things like cast iron pipes or tree roots growing into the lines. The seller should answer questions about any experiencing issues with the plumbing, too.
8. Iguanas
Before you move to South Florida, you may never have come into contact with an iguana, much less seen one in your back yard. However, iguana populations are flourishing here. Iguanas can destroy plant life, crack foundations, harm pets and people, and be a general nuisance.
Ask the seller about past experience with iguanas and ask the relator about the history of these animals in the local neighborhood.
For more about iguana management, see the Broward County Iguana Management Page.
9. Septic Tanks
Septic tanks were once very popular in South Florida. They were seen as a safe and effective means of dealing with residential sewage. However, today septic tanks are known to cause large algae blooms which are environmentally toxic. Buyers of Florida residential properties should ask if the property has a septic tank or if it is on city sewer system; and if there was a transition, then the buyer should investigate to make sure the septic tank was properly abandoned.
10. Condo Lawsuits
Unlike other parts of the country, living in a condominium is very popular here in South Florida. Our coasts are lined with beachfront condo towers. Before buying a Florida condo, new residents need to learn about the particularities of condo ownership in Florida. Condominiums are governed under specific and details laws and condo boards must operate according to regulation.
Ask if there is a lawsuit pending against the condo association. Investigate if the condo association has adequate monetary reserves for repairs and damage to the property. Learn about the resident requirements about owing pets or renting out the place.
11. Termites
Besides mold issues, termite damage is a common issue that Florida sellers notoriously fail to disclose to buyers. It is wise for a buyer to get a termite inspection done before closing, as well as asking the seller about prior issues with termites.
For particulars on the three kinds of termites native to South Florida and the signs of termite infestation here, see the Broward County Termite Warning page.
12. Illegal Conversions
Particularly in older homes, there may be add-ons. New bedrooms, bathrooms, or man caves can be added to the original family dwelling. However, under Florida law all changes to the land’s improvements (home, garage, pool, etc.) need to be approved by the local government.
Buyers need to confirm whether or not there has been an Illegal conversion or illegal addition to the property before closing. Performing a municipal lien search will help here, including a check with the county building department.
13. Flipping
Flipping, or buying and renovating a “Fixer Upper,” is very popular in South Florida. In fact, several Florida cities were among those who made the 2017 list of “25 Best Cities for Flipping a House” published by Time Magazine.
New residents need to investigate any home they are purchasing to learn if it is being “flipped.”
Sellers who are “flippers” will have recently purchased the home, and will likely know little or nothing about its history. Flippers are much less likely to know of past or existing problems with the place, which makes inspections and disclosures so much more vital to the new buyer.
Also, in Florida it can be difficult to obtain mortgage financing if the flipper bought the home within 90 days of the new sales contract with the buyer being signed.
14. Leaking Swimming Pools
Florida’s weather means that home owners can enjoy backyard swimming pools most of the year. However, many Florida pools have serious seeping or leaking issues. Before buying a home with a swimming pool, the buyer should ask the seller and the seller’s realtor if the pool leaks. There should be an inspection of the pool finish, as well, to find any underwater pool cracks and underground leaks.
15. Encroachments
Buyers in Florida need to know that property boundaries are established by Florida law, not the seller. It is very important to get a property survey by a licensed surveyor to learn things like who owns the fence and is it encroaching on the seller’s property? (See, e.g., Miami-Dade County’s Fence and Hedge Ordinance.)
Surveys will also reveal if there are any structures encroach upon the property, and if there is an existing structure encroaching upon a neighbor’s property. Common encroachments in Florida homes include brick pavers and pool decks.
16. Land Title Issues
Clear title is very important for any closing and buyers need to make sure they have purchased their new home without any title problems. It’s important to get an owner’s title insurance policy to prevent title issues including:
- Errors in Chain of Title
- Undiscovered Liens
- Foreclosure
- Easements
- Survey Issues
- Forged Documents
- Unsatisfied Mortgages
- Construction Liens.
Florida Real Estate Lawyer Can Help Buyers
Buyers who are new to Florida will discover that a Florida real estate lawyer can be a tremendous help as they search for and purchase their new Florida home. Florida laws are different than many other states (and countries), and new residents can be surprised or even overwhelmed about how different the Florida home buying process can be.
It is easy for unscrupulous sellers or incompetent real estate professionals to take advantage of a buyer who is a newbie to the Florida real estate marketplace. Having an experienced Florida real estate lawyer protects these buyers and can help them not only negotiate with sellers, realtors, and lenders, but the lawyer can present demands, file claims, and instituting litigation to protect their rights.
Most Florida real estate lawyers, like Larry Tolchinsky, will offer a free initial consultation to answer your questions.
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