Under the new law, who is required to give an affidavit?
Buyers of agricultural land and land on or within 10 miles of a military installation or critical infrastructure facility must provide an affidavit at the time of purchase.
Is “time of purchase” defined in the law?
No.
What must the affidavit attest to?
That the buyer is not a foreign principal and is in compliance with the law, or, where applicable, not a foreign principal prohibited from purchasing the subject property.
What might be examples of “not a foreign person prohibited from purchasing the subject real property”?
Examples might include:
- A Venezuelan national residing in Caracas purchasing non-affected commercial warehouse property (i.e., non-agricultural land not on or within 10 miles of a military installation or critical infrastructure facility
- A British national permanently residing in Hong Kong purchasing a single-family home that qualifies for the “single residence” exception
Is it reasonable to expect that after July 1, 2023, all buyers will be asked to provide this affidavit?
Yes, and for a number of reasons. First, the commonly used FR/BAR contract was amended to add a statement that “[a]t time of purchase, Buyer must provide a signed Affidavit which complies with the requirements of the [new law].” Second, it may be best to collect the affidavit from all buyers to avoid charges over selective enforcement. Finally, prudent sellers and closing agents will want the affidavit to help safeguard against their possible liability.
Does the new law provide a “form” affidavit?
The law charges the Florida Real Estate Commission (FREC) to publish rules pertaining to the affidavit and a form of same. To date, however, FREC has yet to promulgate any rules or issue its form of affidavit.
Has The Fund created suggested forms of affidavit for Members to use until FREC issues its form?
Yes. The Fund has created these suggested forms that Members may wish use (and tailor to their transaction):
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