FAQ
What are HOA Dues?
HOA fees pay for common elements shared by all residents in a community. Depending on the size of the community and if there are one or multiple HOA's, the dues cover the expenses shared by the residences within the community.
Should I use an Attorney or Title Company?
An attorney or Title Company can facilitate the closing of a real estate transaction and like anything else, there are varying degrees of services provided and costs for the services. If you are buying new construction the builder will have an in-house title company to perform the closing. There are usually financial incentives to use this company. In a resale situation, a buyer chooses Title and who to close with and the seller can elect to close with this company or procure an attorney to handle the seller side of the closing. A title company will not perform services for the seller without the Title Insurance.
What is MLS?
MLS stands for Multiple Listing Service and is trademarked by the National Association of Realtors. One misunderstanding is MLS is accessible to any realtor in any area of the country. This is not accurate as there are approximately 800 MLS sytems throughout the country.
What is Broker Reciprocity? Broker reciprocity is a system where brokers give each other permission to display their listings on each other's web sites
Can a realtor represent both a buyer and seller?
Yes and no. A realtor can be a transaction broker with both the buyer and seller, but a realtor in the state of Florida is not allowed be a dual agent. Essentially, the realtor is representing the transaction and cannot represent either party in a single agent capacity. Regardless of the relationship, a realtor is still required to disclose anything that could materially affect the value of a transaction to either party. For more information about brokerage relationships please proceed here…
How is time calculated on the contract?
The effective date is when the clocks starts, which is the last date a party to the contract has signed or initialed and dated a counter or some other change on the contract. The effective date is not the first calendar day for the contract though. Day 1 is the day that follows the effective date. The last day of a contingency expires at midnight of that day.
If the effective date is January 15 and there is a 15-day inspection period and a 30-day finance contingency, then the last day of the inspection period is January 30 and the last day of the finance contingency is February 14. Day 1 for both contingencies is January 16. If a deposit is due within a certain time frame and the last day falls on the weekend or a national holiday, then the due date for the deposit is the following business day. This applies for the closing date as well. If a contract is written with a closing date that falls on a Sunday or federal holiday, the following business day becomes the deadline.
What is a CDD?
A Community Development District (CDD) is a local, special purpose government authorized by Chapter 190 of the Florida Statutes as amended and is an alternative method for managing and financing infrastructure required to support community development. CDD's provide a mechanism for the financing and management of new communities, which is consistent with the local government's development procedures and regulations. They represent a major advancement in Florida's effort to manage its growth effectively and efficiently.
CDD's are paid annually and provides the long-term operation and maintenance of water management systems, wetland preserves and financing and management for restoration an mitigation, limited utilities, landscaping. limited recreational facilities and major roadways within the community.
What is a carriage and coach home?
Carriage and Coach homes are condominiums. Coach and Carriage are a bit different as they are lower density and have attached garages. Coach is typically a 4-unit building with 2 properties upstairs and 2 properties downstairs. All 4 properties will have side windows. Carriage is typically a 6-8 unit building with 3 up and 3 down or 4 up and 4 down with the end units having the side windows. The interior units would have windows in the front and back, but not on the side. Coach/Carriage homes have attached garages that provide access directly into the property. Some have elevators, but most do not. The upstairs properties will be larger as they have more square footage over the garage.
There are many coach/carriage homes in Southwest Florida! For a list of communities that offer coach/carriage, please go to: https://naplesrealestateguide.com/.
How are days counted on the contract?
NABOR Contract -
FAR Contract -
How much are property taxes going to be?
You will see vast disparities in property taxes on similar priced homes. This is because some homes have the homestead exemption so there is a cap on how much the taxes can go up every year. For a new home purchase and if you are not transferring your homestead, it will be under 1% of the purchase price. Best to budget for 1% in Collier County and 1.25% in Lee County.
What are closing costs in Florida?