Part 1
Introduction
Overview
Condominium

Part  2
Type of Purchase
Questions & Answers

Part  3
Financing
Bank Requirements

Part 4
Using a Broker
Broker Agreement

Part 5
Purchase Contract

Part 6
Purchase process

Part 7
Cost of Purchase

Part 8
Time to Close

 

      This discussion centers on residential real estate transactions but the concepts and requirements defined equally apply to commercial transactions. Where appropriate, additional commercial requirements will be included. Also, this discussion is an overview and does not constitute a legal opinion of the requirements and procedures involved in purchasing real estate in Florida. The exact legal requirements for any purchase is best handled through your legal council.

Overview

Purchases of residential and investment real estate in the United States in general, and in Miami-Dade County in particular, by foreign purchasers have increased exponentially over the past ten years. Apart from its ideal climate and state of the art shipping, banking and telecommunications facilities, Miami-Dade is the nerve center for many major multinational corporations which serve the booming South American market. Miami-Dade also is a favorite of many foreign visitors who purchase second homes to enjoy our wonderful weather and beautiful scenery. 

The ownership of an individual private residence is familiar to most foreign purchasers. Many also are familiar with the condominium form of apartment ownership which has become popular in many European countries. Florida is home to the largest number of condominiums in the United States. Many purchasers appreciate the freedom from property maintenance that a condominium provides, as well as the community activities and services that are available.

Condominium

With a new condominium project, sales often begin before construction of the building has been started. The developer of a newly constructed condominium project is required to provide to each purchaser a "Prospectus" containing complete disclosure of all relevant facts about the project. This Prospectus will include a copy of the governing documents (the Declaration of Condominium, the articles of incorporation of the condominium's operating association, the by-laws which will govern the use of the condominium units), and a list of common questions and answers about ownership. Your attorney will review these documents and advise you of any facts that may not be in your interest. Purchasers have fifteen days following receipt of the Prospectus to consider their purchase and to cancel the sale if they wish. Most Florida developers require foreign purchasers to place a deposit of up to thirty percent of the purchase price into escrow at the signing of the contract. 

When a condominium unit is purchased from anyone other than the developer, the seller also must provide a copy of the original Declaration of Condominium, together with any amendments and a current question and answer sheet. If you purchase a condominium from an individual seller, you have the right to review the documents and you have three days to cancel the contract. When purchasing from a secondary seller, the condominium operating association has the right to meet and approve the purchaser. Since the association must purchase the unit if it does not approve the purchaser, most purchases are approved without any problem. 

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