Fund News and Alerts

By: Shannon L. Widman, Esq. of Porath & Associates, P.A.

No one wants to see a good deal go bad. As a Realtor® your business plan survives on closed deals, not cancelled deals. Nonetheless, the more deals you do, the more likely you will, at some point, encounter the dreaded escrow dispute.

Listen as Melissa Jay Murphy talks with TitleTap's Dean Collura about how attorney title agents can market more effectively and easily.

By John St. Lawrence, Esq, Legal Education Attorney, The Fund

The Consumer Financial Protection Bureau's (CFPB) Loan Originator Compensation Rule went into full effect in 2014 bringing a subset of small mortgage lenders under a previously unknown level of federal regulation.  As a result some types of private mortgage financing are now too risky or cumbersome for many to contemplate.  This is unfortunate since seller and private financing are very popular and legitimate financing sources for intra-family loans, underserved communities and rural or non-conforming properties.

By: Marshall C. Deason, Jr., Board Certified Real Estate Lawyer, Older Lundy & Alvarez, Tampa, FL

In 1998, the Florida Supreme Court decided the case of Johnson v. Davis, which created a new duty for sellers of residential real estate.  In this case, the Court ruled that sellers must disclose any material defects in the property which are known to the seller and which are not open and obvious.  In the line of cases which followed over the next several years, courts ruled that the duty to disclose applies to real estate brokers and agents and that making a sale “AS IS” does not eliminate or limit the duty to disclose.  In addition, a buyer cannot waive the right to receive disclosure.

By: René Rutan, Real Estate Council Relations Manager, Florida ARECs

In 2010, Florida was the last state in the U.S. to approve the American Land Title Association (ALTA) 2006 Title Insurance Forms, which accomplished numerous objectives, one of which was to simplify the legal nature of the language.  Despite these efforts to simplify, title insurance still has its own language so let us help you understand what the title commitment is really saying.

By: Nomiki Zervos, Associate Attorney, Davis Basta Law Firm, P.A.

Transferring property can be both exciting and complicated. It’s not as simple as tendering the purchase price to the seller or changing the name on a deed. Before reaching the end result, purchasers typically find themselves amongst a midst of several charges and cash flows.  Amongst these is the documentary stamp tax.

By: René Rutan, REC Relations Manager, Florida ARECS

If you have been shopping for a new home recently, as I have, or working with a buyer who is, you have undoubtedly encountered the Community Development District or CDD.  Many large, multi-phase communities with lifestyle amenities are now relying on this method of funding development so it is essential that homebuyers and the real estate agents serving them have a full understanding of what CDDs are and how they work. 

By: Michael Rothman, Esq., Fund Legal Education Manager 

​Introduction 

Business Email Compromise (BEC) fraud and other social engineering frauds remain a real concern for all those engaged in the real estate profession. A single uninsured and misappropriated wire transfer in the hundreds or even tens of thousands of dollars can cripple one’s business.  Per the latest FBI statistics, the real estate sector is now the most targeted area for BEC fraud. In 2017, nearly $1 billion ($969 million, to be precise) was diverted or attempted to be diverted from real estate purchase transactions and wired to criminally controlled accounts. With losses come lawsuits, and real estate licensees and title insurance agencies oftentimes are the targets. Real estate professionals therefore need ask themselves whether they have -- or need -- coverage in place to insure against a security breach, lawsuit and potentially catastrophic loss.

By: Michelle Gomez Hinden, Esq., B.C.S. and assisted by Flor Leiva, Law Clerk

FR/BAR CONTRACTS: Reconsidering the differences between the “AS IS” Contract and the Standard Contract in the wake of Diaz v. Kosch

Florida Real Estate Attorneys and Real Estate Licensees have found guidance in a 2018 landmark case, Diaz v. Kosch, coming out of Florida’s Third District Court of Appeal. After six years of litigation arising from a $2,850,000.00 residential real estate contract, the Third District Court delivered its noteworthy opinion interpreting the “AS IS” Residential Contract for Sale and Purchase that was drafted, jointly, by the Florida Realtors and the Florida Bar.

By: Charles D. Nostra, Esq.

Property Assessed Clean Energy (PACE) programs provide an alternative way for Florida property owners to finance certain energy efficiency and wind resistance (i.e. hurricane hardening) improvements. This no money down, 100% financing program is being heavily marketed in Florida ( especially South Florida) by telemarketers, mailings, TV & radio commercials and direct door-to- door solicitation.