As of October 1, 2024, Florida has implemented stricter flood disclosure requirements for residential real estate transactions. This means that sellers are now required to disclose a property’s flood risk to potential buyers prior to executing a purchase and sale agreement.
What Does This Mean for Sellers and Buyers?
- Sellers: To comply with the new law, sellers must disclose any previous flood damage claims and federal assistance received due to flooding. This information can be crucial for buyers when making a decision. Sellers may also need to provide documentation to support their disclosures.
- Buyers: With this increased transparency, buyers can make more informed decisions about purchasing a property. They can assess the potential risks associated with flooding and negotiate accordingly. Buyers may also want to consider purchasing flood insurance to protect their investment.
Tips for Sellers and Buyers
- Sellers:
- Be proactive: Gather all relevant flood information, including insurance claims and FEMA records.
- Consult with a real estate attorney: An attorney can help you understand your obligations under the new law and ensure that your disclosures are accurate and complete.
- Disclose fully and honestly: Any material misrepresentations or omissions could lead to legal liability.
- Buyers:
- Do your research: Use online tools and resources to assess a property’s flood risk.
- Ask questions: Don’t hesitate to ask the seller or their agent for more information about the property’s flood history.
- Consider hiring a professional inspector: A home inspector can identify potential flood damage and other issues.
Need More Information? If you have any questions about these new requirements, please contact me at [email protected].
Need the form? For your convenience, you can download a Flood Disclosure form compliant with the new statute here.