Top Questions About Buying Property in Florida.
Buying and selling real estate is a complicated business anywhere, and Florida is no exception. There can be many questions about buying property in Florida so it is important to understand the different aspects of purchasing one. Before putting down a large portion of your earnings or savings in property, you should consult with industry professionals. And engage with them throughout the transaction including property inspectors, mortgage companies, and real estate attorneys. You also need the services of an established local estate company experienced in such transactions. Here are some of the top questions you should seek answers to before buying a property in Florida.
Top Question #1. What are the benefits of owning a property in Florida?
Owning a property in Florida has many benefits. These include long-term capital gains and short-term rental income and secure your financial security. In addition, owning a property in Florida can provide tax advantages under certain circumstances. These include deductions against mortgage interest and property depreciation over time. And also, a feeling of accomplishment that comes with owning a Florida property. So, Florida is a good state to be a landlord!
Top Question #2. Which waterfront property should I consider?
In Florida, there are many kinds of waterfront property available to buyers. The choices are limitless from an impressive high-rise condominium on the beach to a simple boating property with a dock. In short, a property is available to match every pocket, and a waterfront expert can usually provide the correct answers. The simple reason is that since every property type is unique, the waterfront affects its value in different ways. Understandably, this knowledge is of the utmost importance in buying a waterfront property in South Florida.
Is a condo a better investment on the intercoastal, or the beach? In the case of a beach property, how does the CCCL (Coastal Construction Control Line) affect it? These are some questions about buying property in Florida. And some essential considerations to bear in mind about buying a waterfront property. In all likelihood, a local waterfront property expert will have the necessary answers for you.
Top Question #3. What is the actual value of a South Florida property?
For a start, engage a local real estate professional, as South Florida offers one of the most diverse inventories of real estate in the country. Understandably, locals possess the necessary experience and knowledge to understand property values in the area. Since different property types exist near each other, performing and relying on a proximity search for comparable sales values of properties can be misleading sometimes. Consequently, automated valuation modeling tools only provide indicative results, because many property-specific factors must be considered. The type of property (single-family homes, apartments, condos, etc.), and where they are located next to each other?
The ownership aspects of a waterfront vs. non-waterfront property? The age and condition of waterfront property, and the related maintenance cost? Proximity to school districts? Access to transportation and shopping malls? As you can see, these and other considerations play major roles in establishing the true worth of your investment.
Question #4. Which are the best school districts?
A reputable school district is a significant factor since it affects the value of property positively. Even if starting a family is not on the immediate horizon, schooling may become a reality. Investing in a good schooling district is vital for neighborhoods with more primary residences such as single-family homes and multi-family apartment blocks. On the other hand, beachfront properties and condominiums do not present such problems, but local traffic and access to shopping and entertainment should be the considerations there. Bear in mind, school district boundaries change and the MLS does not necessarily represent the most updated school district information. You must use one of the many good online resources and work with your local realtor to make the right decision on school districts.
Question #5. Is the termite problem for real in Florida?
Termites and other wood-destroying organisms are present in just about every state in some shape or form. And Florida is no exception. Most properties in Florida have had an encounter with termites during their lifecycle. And many landlords will confirm that it is an ongoing problem with their rental properties, No surprise then, you too could face the same problem in the property, you plan on purchasing. Have a reputed pest control expert conduct a thorough inspection before buying any property.
Most well-maintained properties do not have a termite problem, Nevertheless, if the inspection uncovers significant termite damage, and the seller won’t cooperate in fixing the problem, you best consider a different property. Termite control is not a significant expense and as a prospective buyer, you should consider taking out extended warranties and insurance offered by pest control companies in Florida.
Question #6. What about mold in a property? Who is responsible for fixing it?
Due to the humid Florida climate and proximity to the waterfront, mold is common. A regular mold inspection is usually covered in the general property inspection, offered by most companies. However, if you detect extensive mold on the walls and ceiling, then there could be other bigger problems lurking in the property. Understandably, a detailed mold inspection from a qualified inspector is an expensive affair. But if your prospective property requires it, you should consider investing in one to understand the extent of the problem and the true cost of fixing it.
Question #7. What is homesteading? Should I consider it for my property?
The Florida homestead exemption is a kind of tax break. Quite simply, it reduces the assessed value of a Florida property by $50,000. Since property tax is calculated as a percentage of a property’s assessed value, the homestead exemption reduces the tax burden by decreasing the amount subject to assessment. It also limits the annual increases in property tax. In addition to Proof Of Residency, you must be residing on the property as your primary residence. You are best off, consulting with your local tax adviser and realtor when considering the homestead option.
How we can help.
As you can see, Florida is considered a good state to invest in real estate. The relatively low taxes, large population, diverse job market, and tourist destinations contribute to steady rental demand. So, investing in a property in Florida can be an excellent idea. However, without all the information and answers, it can also turn into your worst idea!
Instead of trying to get all the answers by yourself, imagine how much easier it would be to let Real Property Management Premier get them for you. Look no further than Real Property Management Premier. Contact us online or call 954-800-4433 and ask our property managers about our services in detail.
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