Jupiter Florida Real Estate Broker

I saw this in a Realtors Q&A and thought it might be of interest…

Question: Several years ago, my brother and I bought a foreclosed house from the bank. He and I split the money, but only my name went on the deed. We downloaded a form off the Internet, creating a limited liability company and quit-claim deeding the property to our company. We just found out that the bank missed a lien during the foreclosure. We made a claim against our title insurance policy that was denied. What gives? – Charles

Answer: A title insurance policy is bought at closing to cover exactly this type of problem: an unknown defect or challenge to your ownership of the house.

But title insurance is a contract with the insurer, just like any other insurance policy. There are rules that have to be followed and exceptions to the coverage. Your problem is caused not only by the fact that you transferred ownership of the property to a separate legal entity, but also by the type of deed that you used to do it.

A quit claim deed only transfers ownership and provides no promises that the ownership is good – or even that your seller will help fix any problems that come up. You should have instead used a warranty deed, which contains these promises.

It may be tempting to save a few bucks by handling these matters yourself, but even a seemingly innocent mistake can cause you big trouble later.

It’s cheaper to live in Fla. than Northeast

Contrary to some consumer perceptions, it’s cheaper to live in Florida than most of the Mid-Atlantic and Northeast states, according to a Washington, D.C.-based think tank.

A study by the Tax Foundation showed that $100 in Florida buys $101.21 worth of goods, based on the national average. In the Northeast, only Pennsylvania, Rhode Island and Maine stretched their dollars further.

$100 in New York only buys $86.66 worth of goods, according to the report. The D.C. area is the nation’s most expensive, with $100 only getting $84.60.

The figure is a statewide average. However, as the Clearwater Gazette reported, prices spike near cities, and Florida is no exception – but prices in and around Tampa are still cheaper than New York City and Boston.

And in Florida there’s no Income Tax.

I saw this on a FAR Q&A…

Question: I live in a 55-and-over condominium. A neighboring property recently was sold at a foreclosure auction to a young couple who moved in with their small children. This goes against the rules of our community. Is there anything we can do? – Anonymous

Answer: No. When the sale of a unit occurs by legal action, such as in a foreclosure or to an heir in a probate case, it is outside of the boards authority to approve or deny, similar to the way federal law will take precedence over state law. But just because the new owners get to live there without the boards consent, it does not mean that they will get a free pass for other association rules, including the requirement that they eventually sell or rent the condo to someone who is at least 55.Typically, 55-and-over communities require only 80 percent of the residents to meet the age restriction. The 20 percent cushion is in place to accommodate situations such as foreclosure and the death of a spouse whose widow or widower is younger than 55.