Are you currently interested in buying residential property in the State of Florida? If you are, you have come to the right place! Purchasing a home or apartment may stand as one of the most important dreams for many individuals. In addition, the idea of living in Florida is sought out by many because of our weather, variety of beaches, beautiful homes, and lucrative market.
However, acquiring this type of property can sometimes become a complex and tedious venture due to the significance of certain legal issues pertaining to real estate law.. Furthermore, each state in our nation imposes a set of real estate laws. As a result, your purchasing negotiations can fail if you are not educated on these mandates.
Having these points in mind, we have to establish the reality that you cannot pursue your goal as a property owner on your own. Additionally, real estate prices may often fluctuate. For these reasons, we would like to tell you that there are a set of trained professionals who can easily help you. Real estate attorneys can guide you throughout the whole process of your negotiation. Moreover, these legal experts will make sure your rights are protected when purchasing a home.
Today, we will discuss the bases of residential real estate law in Florida, how to properly search for the right property, and the advantages of hiring a real estate lawyer for your negotiation.
What Is Real Estate Law?
This area of the law is governed by federal and state mandates. Although the term “real estate” is usually associated with buildings and houses, these also refer to the structures or other assets attached and belonging to the property. Some examples of these are:
- Trees,
- Fencing,
- Bodies of water,
- Animals.
Real estate also covers monetary interests, benefits, and other property rights that are legally tied to the property in value and time. Principles like rights to the airspace above the land, land drilling in the ground and rights to live on the property are some of the most common
Residential real estate is an area developed for people to live in. As a result, it cannot be utilized for commercial or other industrial purposes. These laws vary from location to location but do restrict the amount of buildings that can be built on a single block.
Residential areas form the vast majority of potential properties. For example, single-family houses, multi-family houses, condominiums, townhouses, vacation homes house millions of Americans . Even more so, residential real estate is also perhaps the most important financial investment that an individual can ever make. This is because apart from living in these spaces, their property can increase their income either by selling or renting it to others.
Types of Home Ownership in Florida
- Fee Simple Absolute: In this type of ownership, the individual with a title in fee simple holds all the possessory rights in the property. Additionally, owners may do whatever they wish with the land. If an owner of a fee simple dies, the land will pass on to the heirs. For that reason, there are no limitations on the inheritability of the property.
- Joint Tenancy with Right to Survivorship: This is an arrangement by at least two people. Homeowners thus possess an equal right to the property’s assets. Individuals are also granted survivorship rights if another account holder dies. In other words, this means that when one partner or spouse dies, the other receives all of the assets of the property.
When a married couple or business parteners own an asset that is titled “Joint Tenancy with Right of Survivorship”, both of them are responsible for this asset. This means that all tenants enjoy the positive attributes and share liabilities equally.
Individuals who possess a property under this title must have equal shares of the home with the same deed. For example: Two people have 50/50 shares or three people have 33/33/33 shares.
- Tenancy in Common: This is an arrangement where two or more individuals share ownership rights in a property. Each independent owner possesses an equal or different percentage of the total home. Additionally, the tenancy in common partner has the right to leave their property’s share to any beneficiary as a portion of their estate. Contract terms for tenants in common are provided in the deed, title, or other legally binding property ownership documents.
- Tenancy in The Entirety: This refers to a form of shared property ownership that is exercised only by married couples. A tenancy by the entirety allows spouses to jointly own properties as a single legal entity. As a result, each partner holds an equal and undivided interest in the home. Florida is a state that permits married couples to hold assets as tenants by entireties. However, the creditor of one of the spouses may not attach the tenancy by the entirety of assets unless both are indebted to the creditor.
Key Steps to Purchase a Home
- Determine How Much You Can Afford: Lenders usually suggest people to seek homes that cost no more than three to five times their annual household income. This helps homeowners if they plan to make a 20% down payment, and have a moderate amount of other debt. However, it is important to determine how much you can afford depending on your financial situation.
- Get Prequalified and Pre-Approved for Credit for Your Mortgage: Before you look for a home, it is vital to determine how much you can spend. That is why it is important to apply for a mortgage. In order to do so, you are required to provide key financial information to your mortgage banker. For instance, your income and the amount of savings you have will be required.
After reviewing these documents, the lender will tell you how much the bank can lend you. As a result , you will be able to determine the price range of the properties that you should be looking for. On the other hand, if you would like to be pre-approved for credit, you can provide your financial documents to your lender. These can include a W-2 form, paycheck stubs, and bank account statements.
- Seek a Home and Make an Offer: It is important to visit a variety of homes. Make sure you check out some details of each property such as :
- Plumbing.
- Test the switching system.
- Open and close doors and windows to make sure they are in good condition.
Subsequently, you can work alongside your real estate agent to negotiate a fair offer based on the value of the other homes in the neighborhood. Once you and the seller have reached an agreement, the home will go into escrow. An escrow is the period of time it takes to complete all of the remaining steps in the home buying process.
- Work Alongside a Mortgage Banker to Select Your Loan: Lenders have a wide range of priced loan programs. That is why it is important to carefully choose the best option to pay for your mortgage. Some homeowners expect their monthly payments not to increase while others are interested in keeping these as low as possible. As we mentioned before, select the loan program that satisfies your needs the most.
- Have The Home Appraised: Lenders assign you with an appraiser that will create an estimate of the value of the home that you are interested in.
- Coordinate The Paperwork: You and the lender will also arrange a title company to manage all of the paperwork. It is imperative to determine that the seller is the rightful owner of the home that you are purchasing.
- Finish The Deal: You will be required to sign all the necessary paperwork, including your loan documents. Nonetheless, it usually takes two days for your loan to be funded after the paperwork is returned to the lender. Once the check is delivered to the seller, you can move into your new home.
Benefits of Hiring a Florida Real Estate Attorney
- Real estate lawyers can assist you with consultations, representation, and many other legal services that allow you to take part in property development and investment.
- Real estate attorneys in Florida can also help you with title searches. A title search is a crucial aspect of the purchasing process because it allows you to pick the best party to negotiate with. You wouldn’t want to do some business with an untrustworthy individual. For instance, if the person selling the land does not have the legal right to conduct the business, the entire negotiation can be voided.
- Filing and comprehending paperwork can be very difficult. You will be required to sign several documents as well. For that reason, your real estate lawyer can help you understand the process of filing these documents.
- Real estate attorneys can represent you in disputes if there is any contract breach at the time of the negotiation. Furthermore, these legal experts can assist you in the following manners:
- Claims concerning statutory schemes,
- Condominium disputes,
- Damage to property,
- Mortgage enforcement and foreclosure.
Hire a Florida Real Estate Lawyer Right Now!
You have now learned about the process of buying a residential property in the State of Florida. As you can see, the journey of investing in residential real estate in Florida can be quite tricky if you are not legally represented. That is why we would like to tell you that you will be able to acquire the best legal expertise at the offices of HomeOwners Claim Denied. These highly trained experts will represent you throughout the entire process of purchasing the house of your dreams! Call us at (954)-953-5073 right now!