A Miami home sale must follow many strict rules. The main steps include checking past ownership records going back 30 years, getting required home inspections in writing, and looking up building permits from Miami-Dade County. People from other countries who want to buy must sign up with FinCEN and get a tax number. Money from the sale needs to go through licensed money handlers, and the new deed must be properly filed with all taxes paid. To make sure everything goes smoothly, it’s important to know these rules and work with experts who understand Miami real estate law.
Key Takeaways
- Complete a 30-year title search through a licensed company and obtain title insurance to protect against ownership claims.
- Secure written documentation of property inspection findings from a licensed inspector covering structural, electrical, and plumbing systems.
- Verify all Miami-Dade County permits are properly closed and obtain certificates confirming completion of permitted work.
- Establish an escrow account with a licensed agent to manage funds and ensure proper distribution upon meeting sales agreement conditions.
- Record the deed and pay transfer taxes within required timeframes, including $0.70 per $100 of sale price.
Title Search and Insurance Requirements
Title searches and insurance are key first steps when buying property in Miami. A licensed title company or lawyer needs to check who owns the property and look for any problems like unpaid loans or legal issues tied to it. Florida’s rules say public records must be checked going back 30 years or more. This means looking at past sales, loans, tax bills, and court decisions about the property. After this check is done, insurance can be given to protect both the bank and the buyer. The insurance helps if someone later claims they own the property or if mistakes are found in old paperwork. Buyers need to look over the insurance papers carefully and ask their agent about anything they don’t understand.
Property Inspection Documentation
Property inspections are a key step in buying Miami real estate. Florida law says all inspection findings must be carefully written down before a sale can be completed. A complete home check must be done by a licensed inspector, who then writes a report that looks at the building’s structure, electrical parts, plumbing, and any rule violations. The inspection report must include:
- How strong and stable the building is
- The roof’s condition and how long it will last
- If heating and cooling systems work properly
- Whether electrical systems meet safety rules
- How well the plumbing works
- Any signs of termites or harmful insects
- Water damage or mold problems
- Whether the building follows local rules
The inspector must take pictures, write clear details about what they find, and suggest fixes for any problems. These papers are needed to complete the sale and help both buyers and sellers understand the property’s condition.
Miami-Dade County Permit Records
Checking Miami-Dade County permit records is a key part of buying real estate. Buyers need to check if all buildings on the property have the right permits and that no permits are left open. This check helps find any rule-breaking changes or unpermitted work that could hurt the property’s worth and legal standing. Buyers should look over all permit paperwork carefully, from the first building permits to any changes or add-ons made later. It’s important to check when permits need to be renewed since old, expired permits can lead to fines and slow down the sale. Buyers should get copies of papers showing the building is safe to use, work is finished, and any special permissions granted. If they find open permits, the buyer and seller must agree on who will take care of closing them before the sale can finish.
Foreign Buyer Registration Guidelines
Foreign buyers in Miami need to follow special steps when buying property. They must send their passport copies and visa details to the U.S. Treasury Department’s FinCEN office for checking. Every foreign buyer needs to get a tax number (ITIN) from the IRS to handle property taxes and ownership papers. They also need to open U.S. bank accounts to move money and follow rules about sending funds between countries. If they spend more than $10,000, they must show where the money came from. For properties bought through companies, buyers must share details about who really owns the company and provide official papers from their home country.
Florida State Disclosure Forms
Sellers in Florida must fill out several forms before they can sell their homes. The main forms include a statement about the property’s condition, warnings about radon gas and lead paint (for older homes built before 1978), and paperwork about homeowners’ associations if the home belongs to one. Sellers need to tell buyers about any problems they know about that could make the home less valuable or less appealing. Buyers also need to sign papers showing they got important information about homeowners’ associations, flood risks, and insurance needs. Both sides must complete these forms within certain time limits before the sale can finish – usually between three and fifteen days, depending on which form it is. If sellers skip these forms or fill them out wrong, buyers can back out of the deal, and sellers might face legal trouble.
Escrow and Funding Procedures
In Miami, escrow and funding procedures need careful planning between buyers, sellers, and other involved parties to ensure a smooth property closing. Escrow agents with proper licenses must follow Florida laws about handling down payments and money distribution. They keep separate bank accounts for these funds and track every payment carefully. The funding process starts when all closing papers are signed and filed. This includes checking that money transfers have gone through, making sure lenders have sent mortgage funds, and verifying that everyone has paid what they promised. Escrow agents follow strict steps when giving out money, only releasing funds after meeting all requirements in the sales agreement. They must confirm the property title is clear, all deeds are properly recorded, and they have received all needed approvals from Miami-Dade County officials.
Deed Recording and Transfer Taxes
When you buy property, you need to record the deed and pay taxes at the Miami-Dade County Recorder’s Office. You must do this within set time limits to prove you own the property legally. Different types of deeds need different papers and tax amounts, which depend on the kind of property and how much you paid for it. To record a deed and pay transfer taxes in Miami, you need to:
- Turn in the original deed with signatures checked by a notary and a clear property description
- Pay deed tax of $0.70 for every $100 of the sale price
- Check if you can get any tax breaks based on your type of sale
- Pay a special tax of $0.002 per dollar when recording mortgages
- Send records online through approved companies when possible
You must pay all transfer taxes before recording the deed. Some property sales might qualify for lower taxes under Florida law.
Frequently Asked Questions
How Long Does a Typical Residential Real Estate Closing Take in Miami?
A home sale in Miami usually wraps up in 30-45 days. However, things like getting a loan approved, checking property records, and other bumps in the road can make it take 60-90 days to finish the deal.
Can I Close on a Property Remotely if I’m Not in Miami?
Yes, you can sign papers and finish your home purchase from anywhere using approved online signing tools and virtual notary services in Florida. Keep in mind that your bank or title company might ask you to use their preferred online system for signing the final documents.
What Happens if the Seller Backs Out Before Closing?
If a seller breaks their agreement to sell, buyers can usually take action in several ways: they can go to court to force the sale, ask for money to cover their losses, or get their deposit back plus money for costs they can prove they spent.
Are Real Estate Attorneys Required for Closings in Miami?
While Florida law doesn’t require lawyers at real estate closings, working with one is a smart choice to make sure everything follows the rules and keeps both buyers and sellers safe during the sale.
When Do I Receive the Keys After Closing on My Miami Property?
You get your keys right after closing when all papers are signed and money is paid. The seller needs to give you all keys, access cards, and codes to enter the property.
Conclusion
Buying or selling property in Miami means following important legal steps carefully. You’ll need to check property records thoroughly, make sure insurance is in place, and handle paperwork for both local and foreign buyers correctly. Every Miami property deal must include proper permits, clear statements about the property’s condition as Florida law requires, careful handling of down payments, and correct payment of all property transfer fees. Getting these details right protects everyone involved and makes sure the new owner’s rights are secure. For expert guidance through your Miami property transaction, contact Real Estate Law Fl to ensure your interests are protected every step of the way.