LOCAL INFO • Market Updates • Sellers • June 22, 2022

What is the Coastal Construction Control Line?

by Gina Larouche

CCCL: What is the Coastal Construction Control Line?
https://floridadep.gov/water/coastal-construction-control-line/content/locate-coastal-construction-control-line-cccl

What is the Coastal Construction Control Line?
In order to protect, preserve, and manage Florida’s sandy beaches and coastal system, the Legislature adopted the Florida Beach and Shore Preservation Act, contained in Parts I and II of Chapter 161, Florida Statutes. The Coastal Construction Control Line (CCCL) Program, one of three interrelated components of the Statewide Beach Management Program, protects the beach and dune system from imprudent upland construction which could weaken, damage, or destroy the integrity of the system.

The CCCL is a Jurisdictional Boundary – Not a Setback Line
The CCCL is a line of jurisdiction, defining the landward limit of the Department’s authority to regulate construction. The CCCL is not a setback line or line of prohibition. New construction as well as additions, remodeling, and repairs to existing structures are allowed seaward of the control line; however, such structures and activities, unless exempt by rule or law, require a CCCL permit from the Florida Department of Environmental Protection.

Is Your Homesite Within the CCCL?
The Florida Department of Environmental Protection has an interactive map where you can find out if your homesite is within the CCCL. To use the map, click on the link below to go to the CCCL map. Start entering your address in the search box at the top-right of the screen. As you type, your address should show up in a list below the search box. Once your address shows up in the list, click on it.

> CCCL Map
> Instructions on How to Use the CCCL Map (PDF)

Location of the CCCL
The control line represents the landward limit of the significant damage to upland structures from water forces from a one-hundred year coastal storm. Structures located seaward of the CCCL are expected to be impacted by the high winds and storm surges which accompany such severe storms and therefore should be designed and built to withstand those forces

CCCL Program Administration
Chapter 62B-33, Florida Administrative code, provides the design and siting requirements that must be met to obtain a coastal construction control line permit. Approval or denial of a permit application is based upon a review of the potential impacts to the beach dune system, adjacent properties, native salt resistant vegetation and marine turtles.

Code officials and design professionals are required to comply with the building code requirement for both the CCCL and flood hazard areas, and must ensure that the more restrictive provisions prevail.

Helpful CCCL Links
> CCCL Permitting Documents
> CCCL Permitting Contacts
> CCCL Rules & Regulations
> Florida Beaches & Coastal Systems

Helpful CCCL Publications
> Homeowner’s Guide to the CCCL Program (PDF)
> Frequently Asked Questions About the CCCL (PDF)
> How to Determine if Your Property if Seaward of the CCCL (PDF)
> Coastal Construction Items of Concern (PDF)
> Coastal Armoring Policy and Guidelines (PDF)

Sellers • June 22, 2022

Sellers Property Disclosure …

by Gina Larouche

Florida, like many other states, now requires sellers of homes and other residential properties to make certain disclosures to buyers about the property’s condition and history.

This is a shift from the traditional legal principle of “let the buyer beware,” which basically made it the buyer’s responsibility to inspect the home and discover whether there are any unacceptable conditions or defects before closing the deal. However, in an ever-increasing number of states, courts and lawmakers have held that sellers are in the best position to know all material facts relating to their properties, especially those that are not visible to the naked eye, and should disclose these to the buyer – or face legal liability.

How Florida Sellers Must Make Disclosures to Prospective Home Buyers
Florida law provides that, with some exceptions, you (as a home seller) must disclose any facts or conditions about your property that have a substantial impact on its value or desirability, and that others cannot easily see for themselves (This comes from the court case of Johnson v. Davis, 480 So.2d 625 (Fla. 1985)).

To assist sellers in making all relevant disclosures, the Florida Association of Realtors® provides a standard form, which covers many common property characteristics about which buyers want to know. (This is separate from the standard contract that is used in most residential real estate transactions to bring about the purchase and sale of the home.)

The categories covered on the standard Florida disclosure form include, for example:

whether any actual or potential claims, complaints or court proceedings affect the property
whether the property is subject to the rules of a condominium or condominium association
whether any disputes have arisen regarding the property’s boundaries
whether the property contains any past or present sinkholes (a frequent hazard in Florida)
whether the property contains any environmental hazards such as asbestos, lead, mold, Chinese drywall (another hot-button problem in Florida), and others
whether any infestations or damage have occurred from wood-destroying organisms such as termites and carpenter ants, and
whether there are any problems with essential components of the home, such as the roof, plumbing, electrical wiring, major appliances, HVAC, and more.

Some sources claim that, as a seller, you may make disclosures either verbally or in writing. Florida law does not definitively direct sellers either way. However, if you make oral disclosures without any written confirmation, you may have a difficult time proving later that you made them, which is especially problematic if the buyer purchases the property and later finds problems with the home. As a common sense and good business practice measure, it is best to make your property disclosures in writing.

Florida statutory law also requires that you present the buyer with a property tax disclosure summary (Fla. Stat. § 689.261). This summary may be included within the standard disclosure form described above or as a separate document, as long as it contains the language required by the statute. The language essentially states that a buyer cannot assume that the amount of property taxes currently paid by the seller will remain the same after the sale.

Florida Home Sellers Need Only Disclose What They Know About
Don’t worry that you will be expected to know or learn about and disclose every minute detail of your home’s condition. As the seller of a home in Florida, you have the benefit of laws declaring that you will not be held responsible for property defects of which you have no actual knowledge. (This comes from the court case of Jensen v. Bailey, 76 So.3d 980 (Fla. 2nd DCA 2011).)

If you sell a Florida property, and the buyer later claims in court to have discovered a defect that you did not properly disclose, that buyer must be able to demonstrate that:

You knew about the property defect.
The defect has a substantial impact on the value of the property.
The buyer did not, upon purchase, know about the defect.
The defect would not have been easy for the buyer to detect.
You did not tell the buyer about the defect

Florida Home Sellers Are Not Responsible for Defects They “Should Have Known” About
Florida homeowners are required to disclose only those property defects of which they have actual knowledge.

For example, in the Jensen case mentioned above, the sellers had stated in their written disclosures that no additions or alterations to the property violated building codes. After the purchasers moved in, however, they discovered that several alterations made to the master bath, kitchen, and bedroom did not comply with building codes. The buyers sued. The court ruled for the sellers, finding that they didn’t apparently know about the violations, having (like many homeowners) left compliance matters to their contractors.

As in the above case, Florida courts have attempted to protect home sellers from fear of being sued every time they sell their properties. Sellers in Florida are not expected to guarantee to buyers that their properties are defect-free, which would be an impossible promise to make in most cases.

Facts About the Property That Sellers Need Not Disclose
There are a number of property conditions that Florida sellers (and their agents) are not required to disclose, no matter how unappealing these may be to some buyers. As a Florida seller you are not (under (Fla. Stat. § 689.25) required to disclose:

that the property has been inhabited by a person infected with HIV or AIDS, or
that a murder or suicide has occurred or is suspected to have occurred on the property

You are fortunate to have the benefit of this law, as these conditions might very well be a dealbreaker for some buyers, or a basis for them to demand a drastic reduction in your asking price.

But what if the buyer asks about these issues? Florida law merely states that you are not required to disclose these conditions, and does not indicate how you should answer if asked. As a practical matter, silence (for example, “The law does not require me to disclose such information”) is probably the best policy; or honesty if it won’t impact the privacy of previous inhabitants. If a buyer asks and you make a misleading or false statement, the buyer might seek legal relief against you on such grounds as misrepresentation.

How Federal Guidelines Affect Florida Real Estate Transactions
A few federal regulations also govern real estate disclosures in every state. For example, if your home was built prior to 1978, you must disclose any known existence of lead-based paint. (The federal lead disclosure requirements are found at 42 U.S.C.A. §§ 4851-56.)

According to the Environmental Protection Agency (EPA) website, you must also provide an EPA-approved pamphlet addressing lead-based paint hazards. Further, you must include language in the real estate contract entitled “Lead Warning Statement” declaring that you have met all notification requirements.

If Selling Your House “As-Is,” You Still Need to Disclose
If the buyer agrees, you also have the option of selling your home “as-is.” That means that the buyer agrees to take the property in its existing condition without your having to make any further repairs or improvements to it.

However, a so-called “as-is” clause does not relieve you from your disclosure duties under Florida law. You will still need to advise buyers of all material defects that you know about concerning the property.

source:
https://www.nolo.com/legal-encyclopedia/florida-ho…
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Lawsuits regarding nondisclosure of a home’s problems are becoming more prevalent. Historically, the rule of “caveat emptor” or “buyer beware” was the prevailing standard in residential transactions. However, the law has evolved and Florida now requires sellers of residential property to make certain disclosures to buyers about the property’s condition and history. An increasing number of sellers and sometimes their real estate agents are finding themselves on the hook for nondisclosure. Therefore, it is important for both home sellers and real estate agents to be familiar with the disclosures required.

Florida law provides that, with some exceptions, a home seller must disclose any facts or conditions about the property that have a substantial impact on its value or desirability, and that are not easily observable to a buyer. This has been the standard since the Florida Supreme Court decided the case of Johnson v. Davis, 480 So.2d 625 in 1985.

Although not required by Florida law, it is well advised that property disclosures be made in writing together with proof of delivery to the buyer. Although some required disclosures are included in the prevailing residential real estate contract forms, disclosures relating to the specific property are normally made by separate disclosure form. Types of issues or property conditions required to be disclosed include:

whether improvements have been made without building permits;
whether the property contains any environmental hazards such as asbestos, lead, mold, Chinese drywall;
whether any infestations or damage have occurred from wood-destroying organisms such as termites and carpenter ants;
whether there are any problems with essential components of the home, such as the roof, plumbing, electrical wiring, major appliances, HVAC;
whether any actual or potential claims, complaints or court proceedings affect the property;
whether the property is subject to the rules of a condominium or condominium association; and,
whether any disputes have arisen regarding the property’s boundaries.

The good news for sellers in Florida, home sellers are not responsible for defects they “should have known” about. Rather, Florida sellers are required to disclose only those property defects of which they have actual knowledge. This standard was determined in the case of Jensen v. Bailey, 76 So.3d 980 (Fla. 2nd DCA 2011). In this case, the Court recognized that sellers should not be expected to guarantee to buyers that their properties are free of all defects. Instead, to make a claim against a seller, the buyer must be able to demonstrate that:

the seller knew about the property defect;
the defect has a substantial impact on the value of the property;
the buyer did not know about the defect at the time of purchase;
the defect was not readily observable or easy for the buyer to detect; and,
the seller did not disclose the defect to the buyer.

It is important to note that selling a home in “As-Is” condition, does not relieve a seller from the disclosure duties under Florida law. The “As Is” condition means only that the buyer agrees to take the property in its existing condition without the seller having to make any repairs.

Bottom line: Sellers are well advised to carefully review their property disclosures to any prospective purchaser. A little extra caution at this stage of any potential transaction can limit a seller’s liability exposure and help avoid a lawsuit post closing.

source:
http://www.legalscoopswflre.com/due-diligence/resi…

Market Updates • June 22, 2022

Florida’s 2018 profile of International Real Estate Buyers …

by Gina Larouche

Florida’s 2018 profile of international real estate activity

This is a fascinating overview of 2018 Real estate activity in Florida from Foreign Buyers….. courtesy of Florida Realtors Association.

ORLANDO, Fla. – Oct. 22, 2018 – Florida Realtors® has released its latest report on the state’s foreign buyer and seller transactions, the 2018 Profile of International Residential Real Estate Activity. The one year-report – from August 2017 through July 2018 – found a small slowdown in international activity within the state, due mainly to a tight home inventory and rising property values.

In many areas, foreign buyers compete with U.S. buyers for the same properties, and solid U.S. employment growth boosted the domestic competition. In addition, mortgage rates remain relatively low compared to historic values, and the large supply of buyers, both foreign and domestic, had to compete for a relatively small number of homes for sale.

A stronger U.S. dollar also made Florida homes more expensive for foreign buyers from selected countries, notably Venezuela and Brazil. When asked about challenges faced by their international clients, Realtors surveyed said top objections included “Cost of property,” “could not find property,” and “exchange rate.”

South Florida remains the preferred location for international business. While foreign buyers purchased property across the state, most foreign buyers were concentrated in five metropolitan areas:

Miami-Fort Lauderdale-West Palm Beach (54 percent)
Orlando-Kissimmee-Sanford (9 percent)
Tampa-St. Petersburg-Clearwater (9 percent)
North Point-Sarasota-Bradenton (5 percent)
Cape Coral-Fort Myers (5 percent)
Size of Florida’s international market, 2017-2018

Foreign buyers purchased $22.9 billion of Florida’s existing detached single-family, townhomes and condominiums – a five percent year-to-year decline from $24.2 billion.
In dollar value, foreign buyers made up 19 percent of the market (21 percent in 2017).
In number of sales, foreign buyers purchased 52,000 of Florida’s existing homes – a 15 percent year-to-year decrease (61,300 one year earlier)
As a percentage of all sales, foreign buyers made up 13 percent in the latest report – 15 percent in the year before.
Average cost of foreign-purchased home: $286,500 compared to $259,400 in 2017, or about a 10 percent increase.
Overall, foreign buyers paid about 20 percent more that the median price of a Florida home.
Characteristics of Florida’s foreign buyers

68 percent primarily reside in another country; the rest are recent immigrants (less than two years in the U.S.) or visa holders.
Latin American and Caribbean buyers accounted for 36 percent of Florida foreign buyers, followed by Canadians (22 percent), Europeans (19 percent) and Asians (11 percent).
Most foreign buyers – 67 percent – made an all-cash purchase (72 percent in 2017).
71 percent purchased residential property for vacation, residential rental or both (68 percent in 2017).
Slightly more than half of foreign buyers preferred townhouses or condominium (53 percent), while 43 percent purchased a detached single-family home, 3 percent purchased residential land and another 3 percent purchased other types of properties.
Nearly half of foreign buyers purchased in a suburban or small town/rural area.
93 percent visited Florida at least once before purchasing a property.

This is a fascinating overview of 2018 Real estate activity in Florida from Foreign Buyers….. courtesy of Florida Realtors Association

LOCAL INFO • Market Updates • June 22, 2022

Canadians !

by Gina Larouche

As a fellow Canadian,

I know how your winters can be and how we cherish a wish for a warm winter get-a-way close to home….

For years now, we Canadians have been buying up Florida real estate and businesses. I am here to help you through the many phases of a Florida real estate purchase.

Florida Real Estate Info for Canadian Buyers – Real Estate Fees

Before you buy Florida real estate, you will want to know the majority of expenses you will face in a U.S. real estate transaction. In Florida, most of the expenses in a real estate transaction are the responsibility of the seller, not the buyer.

As a Canadian buyer, you should allow approximately 5% of the purchase price to cover legal, title insurer and notary fees, title insurance premiums, transfer taxes, property taxes and mortgage loan fees (if applicable).

DEPOSIT. When you submit a formal offer to a seller, you will also need to offer a deposit. For your deposit amount, you will need to make a check payable in U.S. Dollars. Most Florida real estate contracts require at least 1-2% earnest money to ensure that you are a serious buyer. Your deposit will be held and credited to you at the close of escrow when the real estate property transfers to you.

ESCROW. As a buyer, your most significant fee is escrow. Once a seller has accepted your offer, we will “open escrow” with a neutral 3rd party escrow service. The escrow service provider is charged with (1) safeguarding all monies put on deposit and (2) ensuring the timely completion of all paperwork needed to transfer the property fully and legally to you. Your escrow amount will depend on the size of your Florida real estate purchase. Prior to agreeing to an escrow service provider, you are entitled to know your approximate fees.

LOAN FEES. If you apply for a home loan in the U.S., your fees are determined by the lender. Prior to signing for a home loan, you are entitled to receive an estimated closing costs statement which details your fees. Expect to put at least 30% down if you are using a U.S. lender to finance your purchase.

INSURANCE. If you apply for a home loan in the U.S., you will need to provide proof of sufficient insurance to protect your asset.

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Canadian Buyers – Real Estate Process

FINANCING. For Canadian buyers, paying cash for U.S. properties is highly recommended. If you need a loan, your next best best is working with a lender in your own country. However, if needed, we can direct you to U.S. lenders loaning to foreign nationals. Generally, Canadians have to put down 30% or more to receive U.S. financing.

PURCHASE CONTRACT. Once signed, a real estate purchase contract is binding. However, contingency clauses allow you or the seller to withdraw under specific circumstances.

TITLE INSURANCE. Once a contract is signed, a title insurance company needs to scrutinize public records to insure the property against any third party claims.

HOME INSPECTION. After your offer is accepted, you have a certain period of time to schedule a physical inspection of the property. We always recommend an inspection.

U.S. NOTARIZATION. Generally, if you are buying with cash, you will not have to notarize anything. However, if you are financing your purchase with a loan, your loan documents will need a notarized signature by a U.S. notary. Most Canadian buyers go to the nearest U.S. consulate for U.S. notary services. We can help you locate a notary close to you.

UTILITIES: We will provide you with a list of the Florida utility providers so that you can set up utilities in your name prior to closing. Simply let the utility companies know the approximate date of the sale.

Canadian Buyers – Real Estate Taxes

In Florida, annual property taxes amount to approximately 1.5% of the property’s value. All real estate rental income is subject to tax in Florida.

Canadian Buyers – Passports, Visas, Residency in the U.S.

When buying property in Florida, Canadian buyers will need to obtain the right passports and visas.

PASSPORT. Canadian citizens must obtain a passport to visit the U.S. for business or pleasure without a visa for up to 90 days per year.

B2 VISA. Canadian citizens wishing to stay between 90 days and six months must hold a B2 visa.

FLORIDA GREEN CARD. To live and work in Florida, you will need a Florida Green Card through the Immigration and Naturalization Service.

If you are a Canadian citizen interested in buying property or a business in Florida, contact Gina today to discuss your particular circumstances.

As a Canadian transplant of 18 years, I understand the uncertainty of moving to another country and buying far from home, that is why I offer Property Management Services for your Investment or Second home purchase.

Canadian or Any Foreign Seller, please review the FIRPTA rules for selling US real estate: FIRPTA

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LOCAL INFO • Market Updates • June 17, 2022

Taking Title in Florida …

by Gina Larouche

NOTE: This article is no substitute for consulting with an Attorney on the best way for you to take Title.

HOW YOU CAN TAKE TITLE
Title to real property in Florida may be held by individuals, either in Sole Ownership or in Concurrent Ownership. Concurrent Ownership or “Co-Tenancies” of real property occurs when title is held by two or more persons. Generally, there are four variations as to how title may be held in Florida. Below is a brief summary referencing the more common examples of Sole Ownership and Co-Ownership.

I. SOLE OWNERSHIP
The simplist form of ownership:

A man or woman who is not married.
A Married Man/Woman, as His/Her Sole and Separate Property (must be non-Homestead property)
No creditor protection

II. TENANCY IN COMMON
A title is the evidence of a person’s right of ownership and possession of the land. Sometimes, someone other than the record owner has a legal right to or an interest in the land. If such a right can be established, this adverse person can make claim to the land.

A. No Right of Survivorship: There is no right of survivorship between tenants. Thus, each tenant in common can make a testamentary transfer of his interest; if a tenant in common dies, his interest will pass under the intestacy statutes or by will to his heirs.

Example: A and B take title to Greenacre as tenants in common. They have equal shares (1/2 each). A dies, that it will, leaving only one relative, a son, X. Title to Greenacre is now: 1/2 undivided interest in X, and 1/2 undivided interest in B.

B. Unequal Shares: Tenants in common may have unequal shares. There is no right of survivorship between tenants. Thus, each tenant in common can make a testamentary transfer of his interest; if a tenant in common dies, his interest will pass under the intestacy statutes or by will to his heirs.

Example: A and B hold title to Greenacre as tenants in common, with A holding and undivided 1/4 interest and B a undivided 3/4 interest

C. Presumption Favoring: In Florida, so long as the Co-tenants are not husband-and-wife, there is a rebuttable presumption in favor of tenancy in common.

D. No Creditor Protection: If the property owned is non-homestead in character, than creditors of one co-tenant can levy on that co-tenant’s undivided interest to satisfy the debt owed to the creditor.

III. JOINT TENANCY WITH RIGHT OF SURVIVORSHIP
As Joint tenancy with right of survivorship two or more people own a single unified interest in the real property.

A. Survivorship: Each joint tenant has a right of survivorship. That is, if there are two joint tenants, and one died, the other becomes sole owner of the interest that the two of them had previously held jointly.

B. Possession: Each joint is entitled to occupy the entire premises, subject only to the same right of occupancy of the other tenant(s).

C. Equal Shares: Since the joint tenants have identical interest, they must have equal shares. Thus, one joint tenant cannot have a one fourth interest, say, with the other having three-forth interest.

D. Granting a Mortgage: Since Florida is a “title theory” state, if one joint tenant mortgages his or her interest, the grant is treated as a conveyance which destroys the joint tenancy. As a result, the lender will have a mortgage on an undivided 1/2 interest in the property: the other joint tenant will be unaffected.

IV. TENANCY BY THE ENTIRETY
This form of concurrent ownership can only exist between married persons. Like Joint tenancy with right of survivorship, both the husband and wife have identical interest.

A. No Severance: A key feature of the tenancy by the entirety is that it is not subject to severance. So long as both parties are alive, and remain husband-and-wife, neither one can break the tenancy. No convenience, will be good without Joiner of both spouses.

B. Survivorship: Most significantly, each spouse knows if he or she survives the other, the survivor will get a complete interest.

C. Protection Against Creditors: The entirety estate cannot be pierced by creditors of one spouse alone. For a creditor to Levy upon entireties property to satisfy debt, the creditor must be a creditor of both the husband and wife.

D. Divorce: If the parties get divorced, the tenancy by the entirety fiction ends. The parties are then treated as owning separate “undivided” interests (usually as tenants in common).

The preceding summaries are a few of the common ways to take title to real property in Florida and are provided for informational purposes only. There are significant tax and legal consequences on how you hold title. We strongly suggest contacting an attorney for specific advice on how you should actually vest your title.

LOCAL INFO • Market Updates • Sellers • June 17, 2022

Closing Costs

by Gina Larouche

HELPFUL CALCULATORS

Closing Costs Calculator

Sellers Closing Costs Calculator

Title Insurance Calculator

Closing Costs are the costs paid by Buyers and Sellers at the closing for various services rendered by the lender, the realtor, the title company, and any other services incidental to the sale. The following are examples of charges to Buyers and Sellers. The lists are examples only. Actual charges will vary.

Buyer costs:
1. Loan Related Costs:

Loan application – determined by your Lender
Loan Origination Fee – determined by your Lender
Appraisal Fee – determined by your Lender
Credit report – determined by your Lender
Escrow Account Fee – determined by your Lender
Interest Payment – determined by your Lender
Mortgage Broker fees – determined by your Lender
Mortgage Insurance Premium – determined by your Lender
Escrow Fee’s – determined by your Lender
Points (optional) – determined by your Lender
Intangible Tax -There is a tax on all mortgages in Florida. This tax is called and intangible tax. The tax levied is $2.00 per $1,000. (.002 x mortgage amount) This is a one time tax levied upon creation and recording of a mortgage instrument. http://www.sarasotaclerk.com/default382e.html?Page…
State Doc Stamps on Mortgages – The State of Florida also levies doc Stamps on all obligations to pay money. This of course applies to mortgages. The Doc Stamp fee is equal to $0.35 for each $100.00 of value or $3.50 per $1,000.00. (.0035 x amount) https://www.deeds.com/recorder/florida/sarasota/ http://www.sarasotaclerk.com/default382e.html?Page…
Title Insurance – If you are financing your purchase, your lender will require that you purchase title insurance insuring the mortgage given at the closing. (see Title Insurance Calculator above). A simultaneous policy can be issued insuring the buyer (Usually for $250-500 more). The policy will protect the buyer and lender from:
-False impersonation of a seller or other persons previously in title;
-Forgery and fraud;
-Improperly executed Deeds;
-Deeds executed without a required spouse’s signature;
-Undisclosed heirs or descendants of former owners of your property;
-Survey matters; and
-Liens appearing after closing but prior to recording of instruments.

Buyers Title Fee’s:

Home Inspection fee’s – between $400 to $700 (2022) Basic Home Inspection
Four Point (4PT) Inspection – this is usually combined with Wind Mitigation cost approx: $175-300 and done at same time as Home Inspection.
Wind Mitigation Report – Required by Insurance company (see 4Pt)
Homeowner’s Insurance & Hazard Insurance (must be prepaid either minimum 3months to one year at closing) – Quote required or use Sellers insurance company
Flood Insurance – Check FEMA/County Flood Zone if Required
Rental/Tenant Insurance – if Investment Property
Courier fees – as per closing agent’s schedule of fee’s
Wire fee’s – as per closing agent’s schedule of fee’s
Closing Agent or Attorney’s fee – approx. $425 to $725 (2022)
Title search – approx $75-125
Transfer Taxes & County Recording Fee’s – the deed must be recorded in the official records of the county in which the property is located. The recording fees are $10.00 for the first page of a document and $8.50 for each additional page. Most Deeds are less than 2 pages. The average Mortgage is 16 to 30 pages. (Manatee costs: https://www.manateeclerk.com/Departments/Recording…) (Sarasota County Costs: http://www.sarasotaclerk.com/how-do-i/look-up/fee-schedule ) for example in Sarasota:
Documentary Stamps
a. Deeds: Documentary stamps must be placed on any deed or other like instrument conveying any interest in real property (land) at the rate of 70 cents per $100.00 property valuation. A 70 cent stamp must be placed on any gift of property or any deed with a property valuation of less than $100.00.
b. Mortgages: Mortgage Modifications: Documentary stamps must be placed on these instruments at the rate of 35 cents per $100.00 consideration.
Property Taxes – This is the one closing cost that is often prorated between the buyer and seller. If the seller has already paid the annual property taxes, the buyer typically reimburses the seller for the period in which the buyer will be occupying the property. Likewise, if the taxes have not yet been paid, the seller typically reimburses the buyer for the period in which the buyer occupied the property.
Survey. Evidences whether the property has been altered. If the property is in a flood zone, an elevation certificate will also be required. The price of a survey can vary depending on the size and location of the property but typical ranges from $450 to $1500. (2022)

The Kinds of Inspections a Buyer can choose to have for their Home (most depend on size of home/amenities):

Mold Inspector w Lab results: $500-1500. depending on size of home and amount of samples taken
Roofing Contractor Inspection: $ 200-500 depending on size of roof
AC technician: $ 100-250 (the general inspector will examine the basic functioning of AC)
Pool Contractor Inspection: $ 200-500 depending on Pool size and Equipment
Pest: $50-100
Gas: $100-300
Irrigation: $150-300 depending on system size
Dock: $200-1000 – depending on size
Seawall: $200-1000 – depending on system size

Other Closing Fee Factors:

CDD’s: A community development district (CDD) is a local, special-purpose government framework authorized by Chapter 190 of the Florida Statutes as amended, and is an alternative to municipal incorporation for managing and financing infrastructure required to support development of a community. CDD fees are different from HOA fees in that they are incorporated into your annual property tax bill.

“Capital Contribution” a One time fee: Many communities impose a capital contribution (sometimes called an initiation fee) on new owners. This is a one-time, nonrefundable fee paid by the buyer at closing. These fees usually go into a special account used to fund capital improvements and repairs in the community.

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Seller costs:

Title Examination or Search Fee: Prior to closing on a home, a search of the public records must be done to look for outstanding liens, judgements, and unsatisfied mortgages. This is to ensure that there are no claims made against the property. The fees associated with a title examination run between $200-400. A chain of title is also performed during the title examination. A chain of title looks back throughout the history of the property, from the current owner to the original owner. This is to verify that ownership was transferred correctly to each new owner. A seller should be delivering a property to the new buyer free of any liens and judgments. We call this a marketable title.
Municipal Lien Search Fee: to search Municipal data basis for any outstanding liens from others: vendors or utilities against the property.
Real Estate Broker fees – standard 6% of Selling Price.
Repairs – if negotiated in contract and completed
State Doc Stamps on Deeds – The State of Florida levies a tax on all deeds. The Doc stamp Tax is equal to $0.70 for each $100 of value or $7.00 per $1,000.00. (.0070 x amount) – Documentary stamp tax or also known as excise tax, imposed by the state of Florida is charged to the seller upon transfer of ownership. The amount you pay depends on how much you sold your home for and what county the home is located in.
Loan Payoff – balance of your mortgage owing to lender
Loan payoff fee’s – set by the Lender
Title Defects – Any costs associated with clearing title defects. These costs may include obtaining and recording documents such as Affidavits, Satisfactions or Releases.
Line of Credit: If you have a line of credit, that usually has to be paid off in addition to your primary mortgage. If the lender that provided you with the line of a credit has attached a lien to your property, that lien must be satisfied at the time of closing
Escrow Fee’s – if Any
Property taxes, prorated to title transfer – Property taxes in Florida are paid in arrears (1 year behind). The bills are sent in November. That tax bill is for last year taxes. So, when you go to sell your home, you pay up until the time that you owned your home. For instance, if you are closing on the sale of your home on July 30th, you will be paying from January 1st to July 29th. The buyer is purchasing your home on July 30th and is the rightful owner on that day, so they start to assume taxes. You will be crediting the buyer taxes that you didn’t pay to the state from January to July 29th. That amount is credited to the buyer at closing.
Closing Agent or Attorney’s fee – approx. $400 to $800 (2017) – This is a fee that is charged by the title company or Closing Attorney as a cost of closing the transaction. This fee can vary between title companies/Attorney’s offices depending upon where you are located. This fee can be split between the buyer and seller OR totally paid by the buyer or by the Seller. So, this may be an expense that you might pay. This is clarified in your purchase agreement and negotiated as such. In most regions, it comes down to local customs on who pays this fee.
Courier fee – In addition to paying off your mortgage, there will be a fee to overnight or wire the payoff to the lender(s). Depending on how many mortgages you are paying off, you can expect to be charged between $50-$75 per payoff.
Buyer credits – these are Credits that a Seller may give a Buyer in the Purchase Agreement, that are itemized at closing.
Estoppel Fee’s – set by your HOA – By definition, an estoppel certificate is “[a] signed statement by a party (such as a tenant or mortgagee or your HOA Manager) certifying for another’s (buyers) benefit that certain facts are correct, as that a lease exists, that there are no defaults, and that rent is paid to a certain date.
Repair Costs: paid out of escrow
Home Warranty Fees: Some sellers may offer a home warranty on their home. This can be a benefit to a seller if some of the major components of the home are past their useful life, such as the air conditioner or water heater. This is a totally optional expense but may separate you from other sellers in your marketplace and give you a competitive advantage. Depending on which company you choose and coverage, a one-year policy can run $375-$600
VA Loans Pest Inspection: Some loans require the seller to pay for the pest inspection. For example, a VA loan currently requires the seller to pay for the pest inspection. A pest inspection usually runs between $100-$150.

Actual closing costs will vary from one transaction to another. You may not need to courier documents, and you may not be paying for repairs at all, or through escrow. And not all Buyers ask for credits from the Seller at closing. When buying a home in Sarasota County, you will receive a “Good Faith Estimate” (GFE) of closing costs within three days of submitting your loan application. The estimate is based on the loan officer’s prior experience and is required to be within an acceptable range so you’re not stunned when you arrive at the closing appointment. Lenders must give Buyers a “Good Faith Estimate” when they apply for a loan. The Good Faith Estimate is broken down into sections. The 800 and 1100 sections are the ones to concentrate on when you compare costs. The 800 section denotes the lender fees. For example, 801 is the loan origination fee, 804 is the credit report fee, and 808 is often the broker’s fee. The 110s contain title fees. If you see “administrative” or “doc prep” or “miscellaneous”, you should question it.

Foreign Owners:
How will a U.S. real estate purchase affect my taxes?
A foreign property owners’ tax liability in his home country will vary depending upon where the purchaser is from and whether that country has a tax treaty with the United States. Consult a tax attorney familiar with your home country’s treaty to get answers to tax-related questions. The United States government requires that foreign nationals pay U.S. income taxes (state and federal) on any net income (rental revenues less expenses) received from rental property. If tax returns are not filed in a timely fashion, a tax of 30 percent of the gross rental income may be assessed. Even if you’re incurring losses in the early years of your investment and you don’t owe any taxes to the government, you still must file your tax returns in a timely manner or be subject to financial penalty.

Foreign Sellers:
Foreign real property owners are subject to certain withholding requirements when selling their U.S. property. In a real estate transaction involving a foreign seller, the Foreign Investment in Real Property Tax Act (“FIRPTA”) requires ten percent of the gross sales price be withheld from the sales proceeds received at closing. This withholding is remitted to the Internal Revenue Service as a deposit on the income tax liability generated from the sale. When the actual tax resulting from the sale is reported on the seller’s tax return, the withholding will be applied and the seller will either remit a sum to satisfy the outstanding balance or will receive a refund of any excessive withholding.

The withholding requirement does not apply to sales of real property that do not exceed $300,000 if the purchaser intends to make personal use of the property as a residence for at least fifty percent of the time the property is in use, for at least two consecutive years following the date of purchase. This exception is not available to business entities, trusts, or the sale of unimproved property.

Excellent Source FIRPTA

============================================

Other Important Questions:

Q. As a cash purchaser do I need a survey and title insurance?
A. Although neither a survey nor title insurance are required under Florida law, we highly recommend that you obtain both. Title insurance is paid only once (unlike most types of insurance) and remains effective for the entire time that you own your property.

Q. What is a 1031 Exchange and under what circumstances may a seller benefit from one?
A. A 1031 exchange is a vehicle under the Internal Revenue Code that allows a seller to use the proceeds from the sale of investment property for the purchase of replacement investment property. As long as the rules are strictly adhered to, the procedure allows a seller to defer the payment of capital gains taxes.

———————————-

On average the buyer typically is responsible for paying for the title search and insurance, legal fees and recording fees, amounting to an additional 1 percent to 2.50 percent of the total cost of the transaction. For example: On a $300,000 home, that amounts to another $3,000 to $7,000.

Excellent Source of Information
http://www.deedclaim.com/florida/florida-documenta…

Great Legal Q & A regarding closings:
http://www.sarasotaclosings.com/Real-Estate-FAQ.sh…

HUD (US Department of Housing and Development)
HUD Closing Guide

LOCAL INFO • June 17, 2022

2017 Schools & School Ratings Info

by Gina Larouche

2017 Sarasota Schools Maintain A Average and grow !

Manatee School District

Sarasota School District

Florida State School Accountability

In 2015: 11 Sarasota County schools ranked among best in state, see article: http://www.heraldtribune.com/article/20150209/ARTI…

Great Schools Website

Niche Ratings for School District

school-apple-on-desk-1498677238-1797-3

By Elizabeth Djinis Updated Jun 28, 2017 at 4:48 PM

Staff Writer

The number of A schools increased in both Sarasota and Manatee

The Sarasota County school district retained its ‘A’ rating from the Florida Department of Education for the 14th year in a row, according to data released Wednesday. This year, the district received an A with 63 percent of possible points, one percentage point more than the cap for receiving an A grade.

Twenty-eight of the district’s schools earned A’s, while 14 earned B’s, seven C’s and one, the Suncoast School for Innovative Studies, earned a D. Last year, no district school received a D.

“It’s days like today where you have to make sure you celebrate where you are,” said Sarasota School Superintendent Todd Bowden, who succeeded Lori White in March. “You cannot allow the expectation that you’re going to be an A overshadow the achievement of attaining the A. I don’t want this feeling to ever get old.

“We had performance data for a couple of weeks now and we had done some predictive analysis so we were fairly confident we were going to keep an A. But there certainly is no better feeling than hear it from the state.”

Manatee County earned an overall “B″ grade, and perhaps the best way to assess the achievement is to examine the bottom of the list: For the first time since 2009 the district did not have an “F” school, a notable accomplishment among, many according to Superintendent Diana Greene.

But the final results could have been even better for Manatee. There were 11 “D″ schools, but nine were within three points or less of being rated a grade higher, according to Greene. For example, to reach “C″ status a school had to score 41 percent. Oneco Elementary came in with 40.4 percent.

Manatee had 14 “A″ schools, with five remaining at that level from 2016. The number of “A” schools nearly tripled from a year ago and this was yet another pleasant surprise for Greene, who, before Wednesday predicted there would be 10. Among the “A” schools were Lakewood Ranch High — the only county high school at that level — and Team Success, a Title I school. The majority of students in Title I schools qualify for free or reduced-priced lunches.

“It takes all of us,″ Greene said. “And with all of us working together we can continue to improve our district. The schools and the community have embraced what they need to do to help every child and we are going to continue to do that by rolling up our sleeves and doing the hard work.″

Bowden said he was especially pleased to see the “tremendous gains” in three of north Sarasota County’s four Title 1 elementary schools, particularly Alta Vista, which jumped from a C to an A.

“The work’s not done,” he cautioned. “We’re not seeing high levels of achievement in every subgroup and so we’re going to take the day to celebrate and we’re going to go back to work in the morning. I will always go to that lowest quartile of students in reading, although we are seeing gains there. But we’ll continue to focus our efforts.”

Sarasota was one of 11 districts in Florida to receive an ‘A’ rating, according to the FDOE report, but that is a steep rise from last year, when the district was one of only three in the state with an A.

School Board Chairwoman Caroline Zucker said she was “very thankful to our teachers for putting in such hard work,” particularly in categories such as special education and English as a second language. She also singled out the B grade earned by Emma Booker Elementary, which was a D school just two years ago. “I think you have to give a lot of credit to the reading program there,” she said.

Last year, spurred by teacher requests and a unique front-end cost-sharing alliance between the Sarasota Classified Teachers Association and new School Board member Eric Robinson, the Title 1 school instituted a specialized reading program called Direct Instruction, or SRA. Robinson called from vacation in Italy to weigh in.

“Frankly, I was shocked” over Booker’s improvement, Robinson said. “I think it’s SRA, I think it’s people listening to the teachers, and the partnership with the union. I think if you listen to teachers and respond to them, good things can happen in the education system.”

SCTA executive director Barry Dubin offered a reminder that SRA wasn’t added to Booker’s curriculum until two months into the school year. “So they got a late start and look how well they did. Emma is the poorest school in the district by far, and its holding its own. Obviously we’re happy with that.”

The district’s lone D grade went to a charter school, which can expect some scrutiny, said Bowden of Suncoast School.

“I don’t think today is the day to do it, but I’ll be reaching out to them in the not too distant future to schedule a meeting and ask the question, ‘What’s your plan?’ and to see if there’s any assistance the district might offer,” Bowden said. “If I’m not comfortable they have a plan in place, we’ll be happy to help them formulate one.”

In Manatee County, Harllee Middle School and Visible Men Academy improved from “F” to “C″ schools while Tillman Elementary made a quantum leap, going all the way from an “F″ to a “B.″ Greene called all three improvements “amazing.″

Another notable jump was taken by Rogers Garden-Bullock Elementary, a “D” school, but one that improved 40 points from 2016 according to Greene, and “that’s not easy to do,″ she added.

Greene gave credit to everyone from the students to the teachers to the administrative staffs. She also said the community played a major role along with grade-level reading programs, including those funded by the Patterson Foundation.

“There are so many people involved that a newspaper article can’t begin to tell how many people to say thank you to,″ Greene said.

Overall, 81 percent of Manatee County schools earned either “A″ “B” or “C” grades and 22 schools improved their grades from a year ago. Greene said the goal next year is for the county to be rated an overall “A.”

“We are shooting for it,″ Greene said. “We are shooting for it because we know we can.″

http://www.heraldtribune.com/news/20170628/school-grades-sarasota-county-maintains-rating

LOCAL INFO • Market Updates • Sellers • June 17, 2022

Title Insurance

by Gina Larouche

Title Insurance Calculator
Old Republic – National Title Insurance Company

using calculator based on sale price………
$300,000 Title Insurance cost: $1600.00
$350,000 cost: $1850.00
$400,000 cost: $2100.00
$450,000 cost: $2350.00
$500,000 cost: $2600.00

TITLE
What is a title?
When you purchase a home, you are really purchasing the title to the property-which is the right to occupy and use the space. That title may be contested based upon past rights and claims asserted by others. These types of claims can cause you to lose money or even worse… lose your home.

What is a title search?
A title search is a detailed examination of the historical records concerning a property. These records include deeds, court records, property and name indexes, and many other documents. The purpose of the search is to verify the seller’s right to transfer ownership, and to discover any claims, defects and other rights or burdens on the property.

What kinds of problems can a title search reveal?
A title search can show a number of title defects and liens, as well as other encumbrances and restrictions, which include (but not limited to) unpaid taxes, unsatisfied mortgages, judgments against the seller and restrictions limiting the use of the land.

Are there any problems that a title search cannot reveal?
Yes. There are some “hidden hazards” that even the most diligent title search may never reveal. For instance, the previous owner could have incorrectly stated his or her marital status, resulting in a possible claim by a legal spouse.

Other “hidden hazards” include fraud and forgery, defective deeds, mental incompetence, confusion due to similar or identical names, clerical errors in the records and many more.

These defects can arise after you’ve purchased your home and can jeopardize your right to ownership. “Title insurance” protects your right to ownership.

TITLE INSURANCE
What is title insurance?
Title insurance is your policy of protection against loss if any of these problems — even a “hidden hazard” —results in a claim against your ownership.

How does title insurance protect my investment if a claim should arise?
If a claim is made against your property, title insurance will, in accordance with the terms of your policy, assure you of a legal defense — and pay all court costs and related fees. Also, if the claim proves valid, you will be reimbursed for your actual loss up to the face amount of the policy.

How much does title insurance cost?
The cost of title insurance varies based on the purchase price of the property. Unlike other insurance premiums, which must be paid annually, a title insurance premium is paid one time only at settlement. The premium is figured based on the purchase price as follows; up to $100,000 = $5.75 per thousand, over $100,000 = $5.00 per thousand (ex: $100,000 = 575.00; $200,000 = $1,075.00).

Who pays for title insurance?
In Florida it varies per county and can be negotiated in the contract. The seller generally pays for the title insurance and chooses the title/closing company in most Florida counties. The buyer generally pays for title insurance and chooses the title/closing company in the following counties; Sarasota, Collier, Miami Dade and Broward. Request a free, no obligation title insurance quote now by clicking here.

THE CLOSING

What is a closing?
Closing, which is also known as “settlement” or “escrow” is the event where the title to a property is transferred from seller to buyer. Closing is typically held in the title company’s office and involves the completion of all the necessary paperwork to finalize the agreement between buyer and seller. In addition, all financial issues are settled at closing —closing costs — and the necessary documents are signed and filed with local authorities, which successfully transfers the title.

What are closing costs?
Closing costs are all costs required to close the real estate transaction. They can include (but are not limited to) surveying fees, property taxes, title insurance, attorney fees, closing agent fees, recording fees, points, loan origination fees, private mortgage insurance (PMI), and the balance of your down payment.

Prior to closing, you should review your final HUD-1 Settlement Statement to ensure that all the calculations are correct and that you have been given all the credit for deposits and other agreed upon buyer and seller credits. Also recheck all lender, title, and escrow fees to make sure they are accurate.

ATTORNEY’S OPINION
What about an attorney’s opinion?
An attorney’s opinion is based on a search of the public records. So, once again, even the most exhaustive search of these records may not reveal everything. Unlike a title insurance company, an attorney is not liable if you should suffer loss because of “hidden hazards” in the title.

Sellers • June 17, 2022

Open House Timeline: Countdown to a Successful Sale …

by Gina Larouche

Open House Timeline: Countdown to a Successful Sale
An inviting open house can put your home on buyers’ short lists.

Get ready for your open house — stress-free — by starting early and breaking down your to-do list into manageable chunks. Use this timeline of 35 tips and your house will stand out from the competition on open house day.

Four Weeks Before the Open House

Ask your parents to babysit the kids the weekend of the open house. Then book a reservation for your pet with the dog sitter or at the kennel. Having everyone out of the house on the day of will help you keep your home tidy and smelling fresh. Plus, no dogs and no kids equal more time for last-minute prep.
Line up a contractor to take care of maintenance issues your real estate agent has asked you to fix, like leaking faucets, sagging gutters, or dings in the walls.
De-clutter every room (even if you already de-cluttered once before). Don’t hide your stuff in the closet—buyers will open doors to size up closet space. Store your off-season clothes, sports equipment, and toys somewhere else.
Book carpet cleaners for a few days before the open house and a house cleaning service for the day before. Otherwise, make sure to leave time to do these things yourself a couple of days before.

Three Weeks Before the Open House

Buy fluffy white towels to create a spa-like feel in the bathrooms.
Buy a front door mat to give a good first impression.
Designate a shoebox for each bathroom to stow away personal items the day of the open house.

Two Weeks Before the Open House

Clean the light fixtures, ceiling fans, light switches, and around door knobs. A spic-and-span house makes buyers feel like they can move right in.
Power-wash the house, deck, sidewalk, and driveway.

One Week Before the Open House

Make sure potential buyers can get up close and personal with your furnace, air-conditioning unit, and appliances. They’ll want to read any maintenance and manufacturer’s stickers to see how old everything is.
Clean the inside of appliances and de-clutter kitchen cabinets and drawers and the pantry. Buyers will open cabinet doors and drawers. If yours are stuffed to the gills, buyers will think your kitchen lacks enough storage space.
Put out the new door mat to break it in. It’ll look nice, but not too obviously new for the open house.

Week of the Open House

Buy ready-made cookie dough and disposable aluminum cookie sheets so you don’t have to take time for clean up after baking (you can recycle the pans after use). Nothing says “home” like the smell of freshly baked cookies.
Buy a bag of apples or lemons to display in a pretty bowl.
Let your real estate agent know if you’re running low on sales brochures explaining the features of your house.
Clean the windows to let in the most light possible.
Mow the lawn two days before the open house. Mowing the morning of the open house can peeve house hunters with allergies.

Day Before the Open House

Make sure your real estate agent puts up plenty of open-house signs pointing in the right direction and located where drivers will see them. If she can’t get to it on the Friday before a Sunday open house, offer to do it yourself.
Put away yard clutter like hoses, toys, or pet water bowls.
Lay fresh logs in the fireplace.

Day of the Open House

Put checkbooks, kids’ piggybanks, jewelry, prescription drugs, bank statements, and other valuables in the trunk of your car, at a neighbor’s house, or in your safe. It’s rare, but thefts do happen at open houses.
Set the dining room table for a special-occasion dinner. In the backyard, uncover the barbeque and set the patio table for a picnic to show buyers how elegantly and simply they can entertain once they move in.
Check any play equipment for spider webs or insect invasions. A kid screaming about spiders won’t endear buyers to your home.
Clean the fingerprints off the storm door. First impressions count.
Put up Post-It notes around the house to highlight great features like tilt-in windows or a recently updated appliance.
Remove shampoo, soap, toothbrushes, and other personal items from the bathtub, shower, and sinks in all the bathrooms. Store them in a shoebox under the sink. Removing personal items makes it easier for buyers to see themselves living in your house.
Stow away all kitchen countertop appliances.

One Hour Before the Open House

Bake the ready-to-bake cookies you bought earlier this week. Put them on a nice platter for your open house guests to eat with a note that says: “Help yourself!”
Hang the new towels in the bathrooms.
Put your bowl of apples or lemons on the kitchen table or bar counter.
Pick up and put away any throw rugs, like the bath mats. They’re a trip hazard.
30 Minutes Before the Open HouseOpen all the curtains and blinds and turn on the lights in the house. Buyers like bright homes.
Light fireplace logs (if it’s winter).
Didn’t get those cookies baked? Brew a pot of coffee to make the house smell inviting.

During the Open House
Get out of the house and let the REALTOR® sell it! Potential buyers will be uncomfortable discussing your home if you’re loitering during the open house. Take advantage of your child- and pet-free hours by treating yourself to something you enjoy — a few extra hours at the gym, a trip to the bookstore, or a manicure.

SOURCE:
https://www.houselogic.com/sell/successfully-sell-…

LOCAL INFO • Market Updates • June 17, 2022

Florida Taxes and more …

by Gina Larouche

For Professional Tax Guidance contact your Certified General Accountant …. below is a laymens helpful guide…

Florida Taxes

Florida Residents enjoy some of the lightest tax burdens in the country. Florida residents do not pay personal income tax, inheritance tax, or gift taxes. These tax breaks by themselves bring many people from higher tax states to Florida every year.

You are considered a Florida resident when your primary residence is in Florida. Filing a declaration of domicile, registering to vote, or qualifying for homestead exemption in Florida can establish residency. Obtaining a Florida driver license does not establish residency, it only indicates an intent to establish residency.

Real Estate Transfer Taxes
Documentary stamp tax (also know as Doc Stamps) is levied on documents that transfer interest in Florida real estate. This tax is paid to the Clerk of Court at the time the deed is recorded. This tax is typically paid by the property owner at closing and is based upon the SALE PRICE of the property. The tax rate is $0.70 (seventy cents) per $100 of value. For example, a seller would pay $1,750 in Documentary Stamp Taxes for a home that they sold for $250,000.

Documentary stamp tax is also levied on the amount of the mortgage. This tax is typically paid by the BUYER at closing. The tax rate is $0.35 (thirty-five cents) per $100 of mortgage. For example, a buyer who is purchasing a home for $250,000, and who is financing $200,000 of the purchase, would pay $700 in Documentary Stamp Taxes.

Tourist Tax on Rentals Properties for less than 6 months and 1 day stay.
Sarasota Tourist Tax: 13%
Manatees Tourist Tax: 13%

Buying Merchandise
Sales Tax; Florida’s sales tax rate is 6 percent. Each retail sale, storage fee, admission charge, use charge, or rental is taxable, along with some services. There are some items that are specifically exempt. Some counties impose a sales surtax in addition to the 6 percent state tax. The county tax rates range from .25 to 2.5 percent. These taxes are only levied on the first $5,000 of the purchase price. This $5,000 limit does not apply to services or commercial rentals. Consumers must pay all sales taxes to the seller at the time of purchase.

Here are the sales tax rates of Sarasota-Area Counties:

Manatee County…….. 6.5%
Sarasota County…….. 7 %
Charlotte County……. 7 %
Hillsborough County…. 7 %
Pinellas County……… 7%

Use Tax; Unless specifically exempt, items purchased out of state is subject to a 6% tax when brought into Florida within 6 months of the purchase date. Examples of taxable purchases include purchases made by mail order or the Internet. Items purchased and used in another state for 6 months or longer are not subject to use tax when the items are later brought into Florida.

No use tax is due if the out-of-state merchant charged sales tax of 6 percent or more. If the merchant charged less than 6 percent, you must pay the difference to equal 6 percent.

Property Taxes
Ad Valorem (Property) Tax; If you purchase real estate in Florida, you will pay ad valorem or “property” tax based on the taxable value of the property. Ad valorem taxes are assessed by each county’s property appraiser and collected annually by the county’s tax collector’s office. The property tax is NOT BASED ON THE PURCHASE PRICE.

A homestead exemption on assessed value is available to homeowners who meet certain requirements. On average, a homestead exemption reduces the property taxes by $600 to $700 per year. Having a homestead also “freezes” the taxes on a property for as long as the homeowner maintains the exemption (which renews automatically each year). State law prohibits property assessments from increasing more than 3% per year for properties protected by a homestead. Properties not homesteaded are capped at 10% per year.

Certain exemptions are also available to blind persons and other physically challenged residents.

For more Sarasota information on Florida’s Homestead Exemption, CLICK HERE.

To apply for a Manatee HOMESTEAD EXEMPTION, CLICK HERE

Motor Vehicle Registration and Taxes
Florida’s 6 percent use tax is also due on motor vehicles brought into this state within 6 months from the date of purchase. Use tax does not apply if a like tax equal to or greater than 6 percent has been paid to another state. To qualify for exemption from use tax on motor vehicles, you must provide documents to prove that the vehicle was used outside Florida for at least 6 months.

The full amount of use tax (6 percent) applies and is due on any motor vehicle imported from a foreign country into Florida, regardless of when it was purchased or if any taxes were already paid on the vehicle in another country. The tax is calculated on the value of the vehicle when it was brought into Florida, not on its original sales price.

Other Taxes and Fees
The State of Florida does not impose personal income, inheritance, or gift taxes. There are some other taxes and fees that Florida residents may be required to pay, such as: convention development tax, communications services tax, local option tourist tax, fuel, gross receipts tax, tire fee, lead-acid battery fee, Lemon Law fee, or rental car surcharge.

What is the Coastal Construction Control Line?

Sellers Property Disclosure …

Florida’s 2018 profile of International Real Estate Buyers …

Canadians !

Taking Title in Florida …

Closing Costs

2017 Schools & School Ratings Info

Title Insurance

Open House Timeline: Countdown to a Successful Sale …

Florida Taxes and more …

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