Shopping and Initial Steps

Appraisal: A professional, third-party opinion of a property's value, typically required by the lender to ensure the property is adequate collateral for the loan amount.

Assessed Value: The value assigned to a property by a jurisdictional tax assessor for the purpose of levying taxes.

Condominium (Condo): A form of ownership where you own the individual unit, but share common areas and the exterior with other owners, managed by a Homeowners Association (HOA).

Homeowners Association (HOA) Dues/Fees: Mandatory monthly fees associated with condos (and some single-family homes) that cover maintenance, shared amenities, and community services.

Loan Estimate (LE): A federal form provided to potential buyers after applying for a loan, detailing the estimated interest rate, monthly payment, and total closing costs.

Pre-Approval: A lender's formal commitment to loan a specific amount, giving the buyer a clear budget and leverage when making an offer.

Title Search: A review of public records to ensure the property is free of liens, claims, or other encumbrances that could affect the transfer of ownership. 

Negotiation and Buying/Selling

"As-Is" Sale: A property sold in its current condition, where the seller is not obligated to make any repairs; the buyer is responsible for identifying and addressing defects.

In Florida, an "As Is" Purchase Contract—officially known as the FAR/BAR "AS IS" Residential Contract for Sale and Purchase—is a standardized agreement used to sell a property in its current condition with no obligation for the seller to make repairs. 

Key Characteristics

No Seller Repairs: Unlike standard contracts, the seller is not required to fix anything or provide credits for discovered defects.

Inspection Period: The contract typically includes a 15-day window (unless otherwise negotiated) for the buyer to perform due diligence.

Right to Cancel: The buyer has the "sole discretion" to cancel the contract for any reason during the inspection period and receive a full refund of their deposit.

Seller Disclosures: Despite the "As Is" label, Florida law (per Johnson v. Davis) requires sellers to disclose all known material defects that are not readily visible and that affect the property's value. 

Comparison: "As Is" vs. Standard Contract

Feature "As Is" Contract Standard Contract

Repair Obligation Seller has no duty to repair. Seller is often obligated to pay for repairs up to a set limit (e.g., 1.5% of price).

Buyer's Exit Can cancel for any reason during inspection. Can usually only cancel if the seller refuses required repairs.

Permit Issues Seller must assist but is not required to pay to close open permits. Seller is typically obligated to resolve open/expired permits.

Pros and Cons

For Sellers: Provides a "clean" sale with less post-closing liability and no repair expenses.

For Buyers: Offers a "free look" period to walk away if unsatisfied, though they must pay for all repairs themselves. 

For specific legal advice or customized forms, you should consult a licensed Florida real estate attorney or a Realtor. 

Binder: An acknowledgment of a deposit along with a brief written agreement to enter into a contract for the sale of real estate, sometimes known as an offer to purchase.

Comparative Market Analysis (CMA): An in-depth analysis of a property's market value, often performed by a real estate agent using comparable properties that have recently sold in the area.

Contingency: A condition in the sales contract that must be met in order for the transaction to proceed. Common contingencies involve financing, inspections, and appraisals.

Earnest Money Deposit (EMD): Funds submitted by the buyer with an offer to show the seller they are serious and sincere about the purchase (also called "good faith money").

Escrow: A process where a third party (often a title company or attorney in Florida) holds items of value, such as the EMD or documents, until conditions are met and the transaction closes.

Seller Concession: A contribution by the seller to the buyer's closing costs. 

Closing and Post-Closing

Closing: The final step in the purchase process where all parties sign the necessary documents, funds are distributed, and the property title is transferred.

Closing Costs: Various expenses above the purchase price that are incurred at the time of closing, typically 3-6% of the loan balance, including fees for appraisals, inspections, taxes, and attorneys.

Closing Disclosure (CD): A federal document outlining all the final costs and terms of the transaction, which buyers must receive at least three business days before closing.

Deed: The legal document that formally transfers ownership (title) of the property from the seller (grantor) to the buyer (grantee).

Deed Restrictions: Limitations or conditions placed on the use of a property, often established by a developer or HOA.

Marketable Title: A title to real estate that an owner can prove against all the world, free from reasonable doubt or defect.

Mortgage: The legal document that pledges the property as security for the loan.

Promissory Note: A legal document that serves as the buyer's written promise to repay the loan.

Title Insurance: A policy that protects the buyer and lender from financial loss due to defects in the property's title that were not found during the title search.