Guidelines For FAST Real Estate Closings
The following information is standards for real property
practice and is
supplied by our underwriters for the issuance of
marketability title
policies. It is in no way to be construed as legal
advice for the situations
addressed nor is it to be construed to be the only
remedies available for a
particular situation.
WHO OWNS PROPERTY? - Request Copy of Deed and Complete Title Policy
ARE THERE ANY CHANGES IN STATUS OF TITLE?
1. Trusts
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a. Passive Trust ( ______, "as Trustee" or "Trustee" )
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b. Revocable Trust ( ______, as Trustee of _______
Revocable Trust) -
powers of authority for the trustee must be contained in
the deed into the
trustee of the trust or the original trust must be
obtained, examined for
proper authority and recorded in the public records. |
2. Deceased Parties
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a. Spouse - Need to file Death Certificate and Affidavit of Continuous Marriage - A receipt for Florida Estate Taxes Paid or a Non-Taxable Certificate is necessary for Non-Florida Residents. |
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b. If both husband and wife are deceased - same as above is needed for the first deceased and the estate of the other must be probated (NOTE: determine if estate has been probated in their domicile - depending on circumstance a full administration, ancillary administration or summary administration must be filed Florida). All heirs must join in the conveyance of homestead property. |
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c. Property Held As Joint Tenants With Right Of Survivorship - Death Certificate and a receipt for Florida Estate Taxes Paid or a Non-Taxable Certificate must be filed for the deceased party(ies). The Estate must be probated upon death of the last survivor. |
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d. Property Held As Tenants-In-Common - Estates must be probated on any and all parties who are deceased. |
3. Dissolution of Marriage
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a. Pending - Both husband and wife must convey |
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b. Final - Title to Real Property converts to Tenants-In-Common each with 1/2 Interest - Both parties must convey title unless one has released interest to the other or final decree dictates conveyance. |
4. Added Parties - All parties must convey
5. Life Estate - Party with life estate must also convey or if deceased, Certificate of Death must be filed.
6. Homestead Property - Spouse must convey even if not in title.
7. Power Of Attorney
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a. Durable Family - May be used if conveyance is to a bonafide purchaser. May survive subsequent disability as provided by statute. |
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b. General - must be specific as to sell and convey real property, must be notarized and witnessed by two disinterested parties. An affidavit is needed by the principal that the power of attorney has not been revoked and that the principal is currently of sound mind. |
8. Corporation
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a. Must file a Certificate of Status stating that the corporation is valid and has been in good standing from the acquisition of the property until the conveyance. |
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b. If dissolved an affidavit by a majority of the trustees of the dissolved corporation must be appended to the conveyance. |
9. Bankruptcy - There are several types and situations - determine the venue of the Federal Court, Attorney for Bankrupt party and Trustee.
10. Foreign Seller - Must withhold and report to the IRS 10 percent of the purchase price - Exempt if purchaser intends to occupy improved property at least 50 percent of the time in the next two years. A Resident Alien with a social security number is also exempt from the withholding.
11. Tax Deeds - Grantee must either obtain a deed from the owner of the property at the time of the tax sale, file a suit to quiet title or wait twenty years from the time title was acquired by tax deed.
12. Foreclosure
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a. Pending - Owners convey - Foreclosure suit to be dismissed |
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b. Final - Entity acquiring property thru Certificate of Title conveys. |
WHERE IS PROPERTY LOCATED?
1. Capital Assessments - Are they to be paid or prorated?
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a. Drainage and Road Maintenance |
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b. Water and Sewer Assessments |
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c. Seawall and Waterway Assessments |
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d. Other Assessments which may be levied by the County. |
2. Encroachments Into Easements and Set Backs
(Requires
Release from County and/or GDC)
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a. Minor - Sidewalks, drives, A/C slab, porches, pool decks, fences, utility shed, docks - A Florida Form 9 Endorsement to the Lender's Title Policy may be issued |
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b. Major - House structure, pool, garage, boat house, permanently set utility shed - Proper releases must be obtained to issue a Florida Form 9 Endorsement to the Lender's Title Policy. |
3. Restriction Violations (Requires Release from 51% of Owners)
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a. One or Two Story Residences |
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b. One or Two Car Garage |
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c. 20' or 25' Canal Maintenance on Waterways |
WHAT LIENS ARE AGAINST THE PROPERTY?
1. Mortgages
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a. Bank - Obtain copy of payment coupon |
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b. Private - Holders name, address, phone and copy of amortization schedule |
2. Judgments - Valid for 20 years - Certified copy must be filed of record - After July 1, 1994 valid for only 10 years then certified copy must be refilled for an additional 10 years, totaling 20 years.
3. Federal and State Tax Liens - Valid for 20 years
4. Real Estate and Personal Property Taxes
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a. Taxes must be current for issuance of Title Policy - Exception for subsequent years which are not yet due and payable. |
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b. Delinquent Taxes must be redeemed |
5. Mechanics Liens - Active Notice of Commencement
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a. Valid for 1 year |
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b. Filing of Mechanics Liens is limited to 90 days after the issuance of the Certificate of Occupancy. |
6. Lot Mowing Liens - Must be release for issuance of Title Policy.
7. Homeowners Association and Condominium Association Liens.
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a. Must be current |
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b. Current due may be prorated for period |
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