Florida homeowners who will be selling FSBO need to make sure they know all of the regulations and legal requirements when selling a property. Florida has some strict guidelines when it comes to informing a potential buyer about your home or property.
A seller’s disclosure is required for all sales transactions involving property and it is the seller’s responsibility to provide a detailed, accurate and honest disclosure. Normally your realtor would provide the form and assist you in how to correctly fill it out but when selling FSBO, the obligation is now solely on the seller.
The law reads as follows:
State law in Florida (Johnson v. Davis, 480 So.2d 625 (Fla. 1985)) requires sellers to disclose any facts or conditions about their property that have a substantial impact on the value of the property and that others cannot easily observe.
When selling a FSBO home in Florida you will want to do as much research on how to fill out your seller’s disclosure form and many websites are well versed in specifications you need to know about liability. This article written by NOLO.com was one of the most detailed found online. It talks about what you need to disclose and what can happen if you fail to disclose potential problems. It also covers your rights if you honestly didn’t know about a problem and you have a dispute at a later point with someone that bought your home.
Another issue when selling FSBO is you have to make sure you have a clear and transferable title. While you do not have to use a realtor or an attorney to sell your home in Florida, you do have to provide a clean title to the new buyer. This means your property needs to be free from liens, estate issues, lawsuits and not get tied up in messy title problems or collateral issues. Some seller’s use a title company or a real estate attorney to handle the legal closing paperwork and some use both.
Since 1997, up to $250,000 in capital gains ($500,000 for a married couple) on the sale of a home are exempt from taxation, if you meet this criteria:
Also please be aware, you may also qualify for this exemption if you meet what the IRS calls “unforeseen circumstances” such as job loss, divorce, accident or family medical emergency. Military and Foreign Service personal also get this special consideration. You will need to consult with your tax adviser or accountant for additional information and financial considerations.
Another and probably the most important factor or guideline when selling FSBO in Florida is to make sure you give yourself enough information about the selling process to be successful. This means you’ll need to do your market research, design and implement a sales campaign and use tools to help spread the word about your listing. There are several FSBO starter kits, websites and even helpful guides that can assist you along your path.
Don’t be afraid to get as much help as possible to strengthen your marketing on your home and equip yourself with the resources available for selling FSBO.