Buying a Home in Florida This Summer: Legal Issues Buyers Should Know Before Closing

If you are planning to buy a home in Florida this summer, it will be important to ensure that you are making informed decisions throughout the buying process. This includes not only choosing a home that meets your family’s needs and that you can comfortably afford, but also addressing the various legal issues that can arise before, during and after closing. Failing to address these issues can lead to complications that could have been avoided—and this can make the homebuying process much more costly than necessary.

Here are five examples of legal issues buyers should know before closing:

Issue #1: Title Defects and Impairments

In the majority of circumstances, when buying a home in Florida, you should receive “clear title.” This means that there should not be any issues with the title to the property that interfere with your ownership rights. If you do not receive clear title, this could compromise your exclusive ownership of the property, restrict your use of the property and/or lead to costly legal issues post-closing.

Issue #2: Homeowners’ Association (HOA) Restrictions

Many homes in Florida are subject to homeowners’ association (HOA) restrictions—and these can be extremely restrictive in some cases. Before you close on a home in a neighborhood that has an HOA, you should carefully review the HOA’s covenants, conditions and restrictions (CC&Rs) to make sure you know what you are allowed to do, what you aren’t allowed to do and what you will be legally required to do as a homeowner.

Issue #3: Contract Terms with Lenders, Inspectors and Others

As you go through the buying process, you may enter into contracts with various parties. These include your mortgage lender and home inspector, among others. It is important to review the terms of these contracts carefully. These contracts are almost always heavily one-sided; and, if you don’t know the terms to which you have agreed, you may find that you are lacking legal rights you were expecting.

Issue #4: Unpaid Taxes and Liens on the Property

While unpaid taxes and liens might show up on a title search, they also might not. These are potential issues that can lead to post-closing complications as well. If the current owner has incurred any liabilities that “run with the property,” this is something you will want to know before you close.

Issue #5: Insurance Coverage

As insurance rates continue to rise, ensuring that you will have adequate insurance coverage is another key consideration. Not only will this be important for managing your finances, but it has important legal implications as well. Failing to maintain all required forms of insurance coverage (i.e., homeowner’s insurance, windstorm insurance and flood insurance) can put you in default under your mortgage; and, in the event that you need to rely on your insurer, you will want to know that you have the necessary coverage in place.

Schedule a Call with a Florida Real Estate Lawyer at Douglas Law Firm

Are you preparing to buy a home in Florida? If so, our lawyers can help ensure that you are making informed decisions focused on the future. To schedule a call with a Florida real estate lawyer at Douglas Law Firm, please call 800-705-5457 or inquire online today.