Association board members hold the keys to ensuring the vitality and harmony of homeowners’ communities. If you’re an association board member in Florida, it is essential to understand the implications of HB 919 as it relates to your roles and responsibilities under Florida’s Homeowners’ Associations (HOA) Laws. The bill was signed into law on June 12, 2023 and becomes effective October 1, 2023.
Continue Reading HB 919 Unveiled: A Guide for HOA Board Members in Florida
Hurricane Ian Extends Property Tax Deadlines, Governor DeSantis Calls for Special Session to Offer Further Relief
The Extended Deadlines
On October 20, 2022, Governor DeSantis signed Executive Order 22-242 offering relief to Floridians whose property has been completely destroyed or otherwise rendered uninhabitable in the form of extended deadlines for filing ad valorem property taxes and non-ad valorem assessments levied in 2022. Normally, ad valorem property taxes are assessed on each county’s tax rolls and are collected by the county tax collector are due and payable on November 1 and become delinquent April 1. Now, with the signing of this executive order, these taxes will be due and payable on January 1, 2023. In addition, these taxes and assessments will now become delinquent on June 1, 2023 instead of the April 1. Finally, “all dates and time periods, and their associated provisions, relative to the collection of, or administrative procedures regarding, delinquent taxes and non-ad valorem assessments, including but not limited to the sale of tax certificates, are similarly extended based on the June 1, 2023 delinquency date.”
Who Qualifies?
Unlicensed Contractors: What You Need to Know
Hurricane Ian made direct landfall in Southwest Florida, destroying thousands of homes and buildings. The destruction will now require the mobilization of hundreds of contractors in the construction industry. Unfortunately, a tragedy like Hurricane Ian will also attract a number of unlicensed contractors who will try and take advantage of desperate victims trying to rebuild their homes and businesses.
As Southwest Florida starts the rebuilding phase, here are a few things residents should be aware of:
Before you hire a contractor, ask to see their state-issued license
Whether you need roof repairs or mold-related services, you want to ensure the person you hire is licensed and insured. The definition of “contractor” under Section 489.105, Florida Statutes, requires that any person who seeks to
construct, repair, alter, remodel, add to, demolish, subtract from, or improve any building or structure” must have a license.
Allowing an unlicensed contractor to perform work on your property puts you at risk of liability and could cost you more in the end. Generally, unlicensed contractors do not have workers’ compensation and liability insurance. As a result, the property owner may be liable for any injuries that occur on site.
You may check your contractor’s license by going to www.myfloridalicense.com.
Unlicensed contracting is a felony
In Florida, unlicensed contracting is generally charged as a first-degree misdemeanor, with penalties of up to one year in jail or 12 months of probation, and a $1,000.00 fine.
Continue Reading Unlicensed Contractors: What You Need to Know
Overview of Changes to “FAR/BAR” Contracts Effective November 1, 2021
Are you aware that the standard Florida Association of Realtors/Florida Bar Contract, often referred to as the “FAR/BAR Contract” has changed? Below is an overview of the revisions to the FAR/BAR Contract for Sale and Purchase, “AS IS” and other residential forms which were discussed earlier this year and have now become effective as of November 1, 2021.
Major Updates to the Standard Form
Section 8(b) – Loan Approval Period
Two tasks are to be completed during this period now. The first is that the buyer must obtain approval for financing as described in the section. This is consistent with the prior version of the contract. However, the new requirement is that the buyer’s lender must receive a satisfactory appraisal before the approval period expires.
Continue Reading Overview of Changes to “FAR/BAR” Contracts Effective November 1, 2021
Experts address the current state of the Southwest Florida real estate market
Henderson Franklin was proud to sponsor the real estate event Market Trends, which took place on Thursday, September 9, 2021, at the Caloosa Convention Center, downtown Fort Myers. The speakers included Randy Thibaut, CEO of LSI Companies, Denny Grimes, President of Denny Grimes & Team at Keller Williams, and Justin Thibaut, President of LSI. The presentation focused on the real estate market in Southwest Florida in 2021; and, more specifically, on three major areas of the market: new residential construction, the residential resale market, and commercial real estate. The following provides a brief recap of the presentations.
Continuing the trend from the second half of 2020, both the residential and commercial markets in Southwest Florida sustained their momentum. New homebuyers continue to flock to the region and developers are trying to keep up with demand.
New residential construction market
The total number of new building permits for single-family and multi-family in Lee, Collier and Charlotte counties has continued to increase. 2020 saw a total of 18,418 residential permits issued. The year-to-date total for residential permits issued in 2021 currently sits at 14,272, with the projected total by year’s end estimated to be 23,400 permits issued. The past 12 months have seen a double-digit percentage increase in new permits in all three counties. Lee County saw an 11% increase, Collier a 22% increase, and Charlotte with an astounding 50% increase.
As was the case in 2020, individual communities continued to see astounding growth. The top three communities were Ave Maria, Babcock Ranch and Isles of Collier Preserve. To showcase that the residential market continues to grow, look no further than Babcock Ranch, which in 2020 saw 533 new building permits issued to various builders. It currently stands at 691 residential permits issued to various builders in 2021.
While the big builders like Lennar, DR Horton, and Pulte continue to dominate the market, we have seen a comeback for the small builders, with over 6,000 permits issued to these builders. An interesting new trend taking place in Southwest Florida is the build-for-rent model. This model appears to be aimed at a younger generation looking for homes, but wanting more financial flexibility. It will be interesting to see how this trend continues over the coming years.
While at some stage the market will likely level off, demand in the residential market looks set to continue in 2021 and the foreseeable future in Southwest Florida. As homebuyers continue to move into the region, developers look to continue buying up land and building single-family and multi-family units.
Residential resale market
Continue Reading Experts address the current state of the Southwest Florida real estate market
August Marks TRIM Notice Season
It feels like tax season is always upon us, and this time of year is no different. The month of August, and specifically the second week of August, marks the typical time of year when the Property Appraiser’s office sends out TRIM Notices to all property owners in the county. TRIM Notices are sent out for all types of property, including residential and commercial.
What is a TRIM Notice?
A TRIM Notice stands for the “Truth in Millage” notice, and reflects the official notice of proposed property taxes as required by Florida law. The TRIM Notice is not your property tax bill, but is an estimate of your property taxes based on the proposed millage rates for that taxing year, your property values as of January 1 of that taxing year, and any applicable exemptions applied to your property, such as your homestead exemption.
If your TRIM notice isn’t a bill, then why is it important?
New Legislation Designed to Relieve the Burden on Landowners Filing Bert Harris Claims
In 1995, the Florida Legislature took bold steps to protect private property rights by enacting the Bert J. Harris, Jr. Private Property Rights Protection Act, better known as the Bert Harris Act. The Act created a new cause of action for private property owners whose real property is burdened by government action, such as a new ordinance or regulation that limits development of a piece of property. The Act gave private property owners peace of mind when it comes to being able to use and develop their property the way they want to.
During the 2021 legislative session, the Florida Legislature took steps to strengthen the Bert Harris Act in favor of private property owners through HB 421/1101.
Procedurally, the bill passed both the House and Senate chambers, but has not yet been signed by the Governor.
What impact will this bill have on Florida landowners?
How Refinancing a Property Can Affect Your Estate Plan
The mortgage business is booming in many parts of the country. Historically low interest rates have created an almost frenzied environment with homeowners scrambling to refinance their home loans at these low interest rates. Even a few tenths of a percentage point of interest, over thirty years, can make a massive difference in the amount of interest that is ultimately paid on a loan.
For many, it makes perfect sense to take advantage of these interest rates. Besides the associated transaction fees of refinancing, there is frequently little to no downside to refinancing in times like these. However, one often overlooked consideration is the impact that refinancing your home could have on your estate plan.
When You Own Your Property In Your Name
Whether you own your real estate solely in your name or jointly with a spouse or other family member, refinancing your property has little impact on determining who will receive your interest in the property upon your death.
Continue Reading How Refinancing a Property Can Affect Your Estate Plan
Should You Own Your Timeshare in Your Trust?
Department Chair: Eric Gurgold, Esq.
When it comes to your estate planning, how should you handle your timeshare? If you have a revocable trust, should you transfer ownership of the timeshare to your trust? Should you instead continue to hold it in your name, or jointly with another family member? What if you do not use it very often and, despite your efforts to get your adult children to use it, it mostly just goes unused? Here are a few things to consider.
The Case for Owning Your Timeshare in Your Trust
Suppose you find significant value in timeshare ownership. You may want to consider retitling the timeshare in the name of your living trust. In Florida and most states, and depending on the contract, a timeshare interest is considered real property. This is important to know because in most states if you die owning real property in your sole name, it will be subject to an often timely and perhaps expensive probate proceeding for it to pass to your heirs. In Florida, probate and attorneys’ fees for a proceeding to transfer a time share can exceed $5,000. Owning your timeshare in your revocable trust is one of the best ways to ensure that your named trust beneficiaries can take ownership of your timeshare after you are gone without going through probate.
When you first purchase a timeshare, make sure you understand the requirements to transfer it at your death. If the seller cannot with certainty tell you how you can transfer the timeshare (and show you language in the contract supporting their answer), you should seek the counsel of an experienced timeshare or real estate attorney before signing the contract. This distinction can make a difference of thousands of dollars of probate costs and frustration upon your death or disability. You will also want to check your contract or with the timeshare management company to determine whether there will be a fee assessed for the transfer of your timeshare from your name to the name of your trust.
Ultimately, the decision to title your timeshare into the name of your trust is a very fact-specific decision. Asking questions and reading your timeshare contract carefully can help you avoid costly mistakes.
Reasons Not to Title Your Timeshare in the Name of Your Trust
Continue Reading Should You Own Your Timeshare in Your Trust?
Florida Legislature Dispenses with Witness Requirement for Florida Real Property Leases
As of July 1, 2020, Florida law no longer requires leases for a term of more than a year, residential or commercial, to be signed in the presence of two witnesses. In fact, witnesses are no longer required on any real property leases. See, http://laws.flrules.org/2020/102
While the legislative bill that led to the new law