I saw this on the most recent Title Commitment and thought it was worthy of a Q&A…

“This transaction may be subject to the FinCEN Geographic Targeting Order affecting residential sale transactions. This issuing agent must be provided with information prior to closing sufficient to determine if IRS/FinCEN Form 8300 must be completed and filed and must be provided information sufficient to meet the records retention requirements of the FinCEN Geographic Targeting Order. This transaction will not be insured, and this issuing agent and/or its underwriter
will not be involved in a Covered Transaction (as defined by FinCEN Geographic Targeting Order) until this information is submitted and reviewed by the issuing agent.”

So, what is this?

This a note in the Title Commitment to ensure compliance with a new anti money laundering rule.

How to verify an escrow deposit has been made, by Meredith Caruso September 19, 2016 — The Florida Realtors Legal Hotline gets many questions about the rules governing escrow deposits, often from listing agents who are upset they haven’t received proof, or at least notification, that the buyer made the deposit by the date stated in the contract. Here’s what you need to know: Proof of deposit. There is no law requiring an agent to send a copy of an escrow check (or wire transfer) as proof an escrow deposit has been made. Furthermore, a copy of a check proves only that a check was written, not that it was given to the escrow agent in accordance with the contract. Verification of deposit. The requirement for verification of the escrow depends on who chooses the escrow agent — the buyer or the seller. If the buyer chooses a title company or attorney as the escrow agent, Section 61J2 of the Florida Administrative Code says the following rules apply: If the buyer is choosing a title company or attorney as the escrow agent, the licensee who prepares the contract must indicate the name, address and telephone number of the title company or attorney on the contract. Within 10 business days after each deposit is due, the broker representing the buyer must make a written request to the title company or attorney, asking the escrow agent to verify receipt of the buyer’s deposit. Then, within 10 business days of the date that request was sent, the broker for the buyer must provide the seller’s broker with a copy of the confirmation of receipt from the escrow agent. If there was no response from the title company or attorney, then the buyer’s broker must inform the listing broker they did not receive verification from the escrow agent. Again, this rule ONLY applies if (1) the buyer chooses the escrow agent and (2) the escrow agent is an attorney or title company. If the seller picks a title company or attorney as the escrow agent, these rules do not apply and there is no verification requirement. However, the listing broker can confirm receipt by contacting the escrow agent directly after each deposit is due according to the dates in the contract. If a broker, not a title company or attorney, is holding the escrow, then the two brokers involved in the transaction can confirm receipt upon request, but there is no procedure for verification required by law. Understanding the role of the agents with respect to escrow verification is key to avoiding potential unnecessary conflict.

Source: How to verify an escrow deposit has been made

I was looking over some files and I found this one that people will love.  It covers many items that I had in a previous post on acronyms and many more…

Listing Terminology Guide

You’ll see them all the time in real estate information sheets used by both the MLS and by agents, acronyms, but what do they mean? First, if it’s not here then call the office at 561.626.8550 and we’ll be happy to help.

MLS Data Terms defined

HOPA = Housing for Older Persons Act. These are what we are more commonly referred to as “age restricted” or “55+” communities and you will see them noted in the MLS as HOPA = YES (so 55+) or HOPA = NO. When these communities comply with the requirements of this act they do not need to comply with the fair housing laws which prohibit discrimination based upon age.

HOA = Home Owners Association. These are communities that are governed by a set of recorded documents such as Glengary in PGA National. A home owners association can be minimal (they do little and have low fees) or they can be large and take care of things, expensive things, like manned gates. They can also be a part of a master or Property Owners Association (POA) as is the case here. The properties in Glengary are subject to the use restriction of, and pay fees to, the Glengary HOA. And they ALSO subject to the restrictions of, and pays fees to, the PGA National Property Owners Association.

COA = Condominium Owners Association. These are communities that are governed by a set of recorded documents, specifically a declaration of condominium, such as Dunbar Woods in PGA National. A condominium is more heavily regulated than an HOA. They handle more as a condo is a box in space so everything outside your “box” is a common element that is a common element of all members of the association. Condos typically have higher fees than an HOA but they are (typically) providing more things like pools and tennis courts. They are also paying for insurance on the common elements which, FOR INSURANCE PURPOSES, is the drywall out. The condo carries wind (aka hurricane) and things like flood and liability insurance. COA’s can also be a part of a master Property Owners Association (POA) as is the case here. The properties in Dunbar Woods are subject to the use restriction of, and pay fees to, the Dunbar Woods COA. And they also subject to the restrictions of, and pays fees to, the PGA National Property Owners Association.

You’ll see them all the time in real estate information sheets used by both the MLS and by agents, acronyms, but what do they mean? First, if it’s not her then call the office at 561.626.8550 and we’ll be happy to help. In the meantime, these are the more common ones…

CBS = Concrete Block and Stucco referring to a house constructed with masonry concrete block EXTERIOR walls, typically 8″ thick, covered with stucco. The interior walls are either wood or metal studs.

Frame = Wood framed EXTERIOR walls basic house construction. The interior walls are metal or wood studs. These homes will pay a little more for wind storm insurance and they require an owner who is looks after the property taking care of small items before they become large ones.

This is my blog on wood Vs CBS construction.

HOPA = Housing Older Persons Act (HOPA) which means it is an an age restricted community where owners MUST be 55 (or 62) and older. Some occupants may be under 55 and they still maintain this certification however when the unit is purchased at least one occupant must be over 55 and typically someone under 55 may inherit the property, or a bank may foreclose and own it, however the association would not approve an open market sale to a Buyer who is not 55+. The Park Plaza community in Jupiter is an age restricted community as are Little Club and Sugar Sands.  CLICK HERE for a link to some age restricted communities in the area.

HOA = Home Owners Association. Typical in Florida if there’s a gate or any community features like a pool it’s an HOA.  Think Condo light and Buyers must be given this Homeowner’s Association HOA – Community Disclosure.

COA = Condominium Owners Association. If it’s in a Condominium then the Buyer must be given this Condominium Rider. The Marina at the Bluffs is a condominium.

POA = Property Owners Association. This is a master association such as the PGA Property Owners Association and Evergrene. Legally, these are the same as an HOA but members of the POA are typically members of a smaller HOA or Condo association as well.

CLICK HERE to see a list of definitions used in the MLS such as…

Active Under Contract – The property you are looking at currently has an executed contract to sell to another person. You may still want to inquire (call us at 561-626-8550) if the Seller is accepting Back Up offers. Typically a Property will be in the MLS as this status until all the contingencies (inspections, financing, Condo/HOA Approval, sale of the Buyers property) are completed. Then it goes “Pending”.

Pending – The property you are looking at currently has an executed contract to sell to another person and all the contingencies have been met. Both parties are moving toward completing the sale.