The Buying Process in Florida - Your Questions Answered

Before considering the purchase of a home, you must determine the purpose of the home.

Will it be only a holiday home?

If so, you may want to rent your property when it is not being used by your family, friends or yourself.

How important is that rental income? Will it be used purely to generate an income?

RENTAL RESTRICTION

Question : I have been told to ensure that the villa I purchase can be used for short term rentals.

Answer : All villas and townhomes listed on our site are zoned for short term rental.

DEPOSITS

Answer : The payment amount of the initial deposit will vary from builder to builder, most will require a $1,000—$5,000 at contract stage. A deposit will enable you to write the contract, thus fixing the price and protecting your chosen "lot" or home from a price increase. A total of 10% based on the contract price will be required prior to construction, typically within 30 Days.

US BANK ACCOUNT

Answer : A U.S. Bank Account is desirable to facilitate the transfer of funds. We will be happy to introduce you to one of the major banks and assist you in opening a suitable account. An initial deposit of $50 should be adequate to open your account. New legislation states that a bank account cannot be fully opened unless the new account holder is present in the USA. We can however guide you through the process of initially opening a bank account prior to your visit to the Florida.

CLOSING

Answer : The equivalent of closing in UK is when a sale goes to completion. The seller, buyer, and lender, or their agents, meet and legally transfer the property, and associated funds, between parties. You do not necessarily have to be present at closing as long as you have signed all the contracts and paperwork beforehand.

Answer : Many are concerned about hidden extras and have heard stories about buyers being saddled with unexpected charges for closing costs long after it has become too late to withdraw from the purchase. Closing costs comprise of several elements, many of which are stamp duties payable on various documents but the biggest expense is usually applicable to the mortgage. Some builders will make a substantial contribution to closing costs. Typically closing costs are between 2% and 3% of the mortgage amount.

RENTAL SETTING-UP CHARGES

Answer : If the property is being managed and rented out, you will need additional money for escrow, lodging license, fire extinguisher and security bolts.

RESALE

Answer : The availability of resale property changes daily. We will be happy to include a tour of appropriate resale properties within your viewing program should this be of interest to you. Good resale property will not generally be on the market long, and while there is always a possibility that a "bargain" may become available, a true bargain in a prime location can be difficult to find. The importance of buying in a "prime" sought after location is crucial if the property's resale value is to be optimized. There could well be a good reason why a particular resale is "cheap".

SPEC HOMES (INVENTORY)

Answer : Most builders will build one or more spec homes in anticipation of a buyer wishing to buy a house that is ready to occupy. This is a great way to see the finished product before completing the purchase. The inventory obviously varies on a regular basis, but we will be happy to show you the current availability.

FURNITURE PACKS

Answer : While you may like to furnish and equip your home yourself, this can be somewhat time-consuming and expensive.Most builders offer a furniture pacakge that is purchased outside of the mortgage. Certain builders offer cash incentives towards the cost of the furniture package.

AFTER SALES SERVICE

Answer : We will:
1. Be available to answer all your questions and queries regarding mortgages, closing dates, rental, etc...
2. Send you photographs on a monthly basis to show you the progress of the construction of your property.
3. Carry out the "walk through" just prior to closing. This avoids the necessity of you having to returning to Florida to "close" the purchase. We will ensure that the house is completed, the color schemes are as ordered and all extras are installed.
4. Arrange for deposits to be paid on your behalf (provided that these funds have been established in an account) for all utility services.
5. Co-ordinate the delivery of your furniture package and ensure that all items are in working order and that all packaging is removed from your home.
6. Ensure that your property is continually ready to receive either your guests or yourselves.

COUNTIES FOR SHORT TERM RENTAL

Lake County : City of Clermont It’s a land of gently rolling hills and a thousand of glimmering lakes. It’s Florida’s true natural beauty. It’s small, friendly towns where southern hospitality rules the day. It’s a perfect getaway. It’s only a short drive from all the dazzling magic of Orlando. It’s a million miles from all the hassles. It’s lot of great things to do for all ages. It’s family fun where vacation dollars go further. It’s lake county the country side of Orlando.

Polk County : Cities of Davenport and Haines Small towns and neighbors of Disney World, placed just off the beaten path. Situated along US Highway 27, Davenport has remained largely unchanged by the impact of world-size tourism just to the north. The rolling hills of the Lake Wales Ridge, stretching south for about 100 miles from this point in northeast Polk, provide an idyllic setting for the town of Davenport.

The rapid expansion of the Disney complex just to the north, coupled with thousands of vacant acres of land formerly used for citrus production, have drawn dozens of new subdivisions and Golf Courses to the area all the way to Haines City.

Osceola County : City of Kissimmee City leaders, wanting to continue Kissimmee’s prosperous history, encouraged growth through the attraction of retirees into the area during the 1950’s. This effort stimulated growth of almost 60%. The next period of growth came in the 1970’s with the opening of Walt Disney World resort area and other tourist attractions. Since Walt Disney World’s debut in 1971, the population doubled from 7,500 to 15,000 in 1980. For the year 2000 an estimated 47,814 occupies 18.64 square miles of Kissimmee.