Hi MJ2442 -
There is no statute or regulation in Florida regarding which party
pays for the title search and title insurance. Instead the matter
seems to vary by area.
For instance, in the Tampa Bay area, it is usually the Seller who
pays the title insurance; whereas in Ft. Lauderdale, it is usually
the buyer who pays.
In any case, closing costs are often negotiated and the
negotiated costs included as part of the Sales Agreement.
Customary or not, it isn't chiseled in stone.
Sources:
Esslinger, Wooten & Maxwell, Realtors - "Facts About Closing Costs"
http://www.prohouses.com/closing_costs.html
ReMax Partners - "What Is Closing Costs"
http://www.buysellhome.com/closing_costs.html
Tampa Bay Home Search - "Typical Tampa Bay
Real Estate Home Sellers Closing Costs"
http://www.tampabayhomesearch.com/sellerscornerl.html
"Consumer's Guide to Mortgage Settlement Costs,"
Published by the Federal Reserve Bank of San Francisco.
(no website).
Even though you didn't state where in Florida you were
located, if it is a sticking point, it can often
be negotiated.
Good luck,
Serenata |
Request for Answer Clarification by
mj2442-ga
on
05 Jan 2003 21:50 PST
Seller-West Palm Beach. Lot and boat slip in Loblolly Bay development
in Hobe Sound.
Buyer-Hobe Sound-already owns and resides in Loblolly Bay
Development. Buyer a Greek gentleman, apparently known in finance
world.
I am the caregiver and wife of the seller, an 84 yr old orthopedic
surgreon-most successful in medicine, but a 4+ poor business head. He
is MOST eager to sell. Is taking an extreme loss on this property.
($100,000). Paid $200,000 in 1986. Sold for 107,000.
I recall, as a buyer in WPB 15 years ago, my real estate company
lining up a title company and insurance, which was then the buyer's
responsibility.
We were directed by the seller's sister (a long time commercial real
estate company owner, to have our lawyer write up the title search and
insurance. Wouldn't a title company be cheaper? What happens to the
title search done when the lot and slip were purchased. Why can"t
they just look that one up.
Thank you for considering this. Wife #2, retired OR nurse
|
Request for Answer Clarification by
mj2442-ga
on
05 Jan 2003 21:53 PST
Seller-West Palm Beach. Lot and boat slip in Loblolly Bay development
in Hobe Sound.
Buyer-Hobe Sound-already owns and resides in Loblolly Bay
Development. Buyer a Greek gentleman, apparently known in finance
world.
I am the caregiver and wife of the seller, an 84 yr old orthopedic
surgreon-most successful in medicine, but a 4+ poor business head. He
is MOST eager to sell. Is taking an extreme loss on this property.
($100,000). Paid $200,000 in 1986. Sold for 107,000.
I recall, as a buyer in WPB 15 years ago, my real estate company
lining up a title company and insurance, which was then the buyer's
responsibility.
We were directed by the seller's sister (a long time commercial real
estate company owner, to have our lawyer write up the title search and
insurance. Wouldn't a title company be cheaper? What happens to the
title search done when the lot and slip were purchased. Why can"t
they just look that one up.
What is the going price of this all?
Thank you for considering this. Wife #2, retired OR nurse
|
Clarification of Answer by
serenata-ga
on
05 Jan 2003 23:11 PST
Any attorney hired for closing would order the Title Insurance Policy
from a Title Company, anyway.
The purpose of a title search and a title insurance policy is to
ensure, among other things:
1. That there are no liens placed against the prior owners or any
documents that will restrict the
buyer's use of the property.
2. It lists any impediments that would prevent clear title from
passing to the buyer.
3. It lists the present owner's rights and interests to the property.
4. Any liens, restrictions and interests of any other party which may
be excluded from title coverage
are listed numerically as exceptions in the report.
5. Any interests of any third parties (ie, easements which may limit
use of the property), including any
laws governing building and zoning.
It is in the Buyer's best interest to have this report, which is a
guarantee that he buys the property as
listed in the report. As you can see, it is in the Seller's best
interests as well in order to protect himself
from something which could be asserted after the sale by the Buyer.
In your case, it would not be unusual for the Buyer to pay the price
of the Title Report. If the Buyer is
going to finance the purchase of the property, it will no doubt be
required by his lending company, anyway.
Using an attorney to protect your interests during the sale, even at
such a loss, would not be unusual
under the circumstances you have described, and you may feel better
knowing he will negotiate the
terms of sale, including who pays for the title insurance policy, in a
manner to best protect you and
the person for whom you are caring.
With reference, specifically, to the title policy from 15 years ago -
the new title insurance policy will cover
any and every instance which was mentioned above to the date of
closing the sale, which, as stated,
protects both the buyer and the seller.
I hope this helped clarify the answer,
Serenata
|
