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Audrey has been working with Jon to help her clients with mortgages for over 10 years. "Jon and his team exceed my client's expectations every time. Many of the investors and home buyers I work with aren't sure whether or not to pay cash, get an FHA or Conventional loan, or what the best product is for an investment property. Jon's vast amount of experience and easy-going personality provides them with the confidence in choosing the best financial solutions."  

Jon Stoneburner |  941-769-6193  |  Jon@mortgageright.com 

Offices in Sarasota & Punta Gorda 

With low-interest rates, many investors and homebuyers are considering their options. Your lender must know the area property styles, HOA restrictions, insurance requirements, and the appraisers to hire on your behalf. I can work directly with your lender, or you can contact Jon Stoneburner, the lender I have worked with for the last several years. Jon can help you compare rates, obtain a prequal letter and apply for a loan. If you are researching your options Jon is available to discuss your situation, current market conditions, predicted rate change influencers, mortgage type options, and help you to determine if a loan would benefit your financial portfolio. Loans types he offers include conventional, VA, and FHA. He will soon also provide portfolio loans for investors. 

HOME & FLOOD INSURANCE

• The average Florida homeowner’s insurance rates are $115 per month, which is considerably more expensive than the national average of $66/mo. 
• Increased Florida home insurance costs are due to the state’s unique set of risks, including hurricane and wind damage. 
• Most homeowners insurance does not cover flood damage. There typically is a 30-day wait after the purchase of a flood insurance policy before it becomes effective. 
• Flood insurance covers water damage your physical home and personal belongings may suffer after a natural flood. This includes damage to the home and its attached structures as well as any items you may want to protect, such as furniture and certain appliances. 

   --APPLICABLE PDF REPORTS & FORMS ARE LOCATED AT THE BOTTOM OF THIS PAGE--

FLOOD ZONES

Flood maps tell you if your home is in a high-risk area and if flood insurance is mandatory. Every zone is classified according to its risk and potential of a flood. 

FEMA FLOOD ZONE ADDRESS SEARCH

A Zone ( A, AE, A1-30, AR, AO or AH) The National Flood Insurance Program (NFIP) allows a new or substantially improved non-residential building in an A Zone to have the lowest floor below the Base Flood Elevation (BFE), provided that the design and methods of construction have been certified by a registered professional engineer or architect as being dry floodproofed in accordance with established criteria. 

• Zone AE and A1-30:  Areas subject to inundation by the 1-percent-annual-chance flood event determined by detailed methods.  Base Flood Elevations (BFEs) are shown. 
• Zone AO: Areas subject to inundation by 1-percent-annual-chance shallow flooding, usually sheet flow on sloping terrain, where average depths are between one and three feet. Some have been designated in areas with high flood velocities such as alluvial fans and washes. 
• Zone AH: Areas subject to inundation by 1-percent-annual-chance shallow flooding, usually these are areas of ponding, where average depths are between one and three feet. 
• Zone AR: Areas that result from the decertification of a previously accredited flood protection system that is determined to be in the process of being restored to provide base flood protection

Zones B, C, X Moderate to Low-Risk Zones. In these areas, you are eligible for lower-cost flood insurance, Preferred Risk Policies (PRPs).

V Zone (VE and V1-30) Areas along coasts subject to inundation by the 1-percent-annual-chance flood event with additional hazards associated with storm-induced waves. Mandatory flood insurance purchase requirements apply.

INSURANCE CARRIER REPORTS

Check with your Insurance Agent on which documents they will need. Your Home Inspector can help you get the ones you will need:

• ELEVATION CERTIFICATE Used to certify building elevations and is used by your insurance agent to calculate your flood insurance premium. The certificate contributes to the calculation of your premium by estimating the likelihood that rising floodwaters will reach the lowest floor of your home. This elevation information is also needed to show compliance with the floodplain management ordinance. The document is issued by the NFIP, a federal flood insurance program that is managed by FEMA.
• WIND MITIGATION REPORT Informs the insurance company of a 20+ year old home's construction in order to determine its stability in the event of strong winds and apply discounts if applicable.
• 4 POINT INSPECTION Satisfies insurance carrier requirements of the following four home systems, plumbing, electrical, HVAC, and roof to verify insurability, typically for homes 20+ years old.

CONFORMING & NON-CONFORMING IMPROVEMENTS BELOW BASE FLOOD ELEVATION

• This refers to properties in flood zones A or V where non-conforming is legal if the home was built prior to Jan 1, 1975. If not, the term non-conforming should not be used in the real estate marketing materials and buyers may have to pay a higher insurance premium even if they aren't insuring the lower level.  

Homeowner Associations (HOA)

The HOA is the association which homeowners must become a member and required to obey the governing documents including Articles of Incorporation, CC&Rs (Covenants, Conditions, and Restrictions), and By-Laws. 

Condominium Associations

These associations manage the building who have units that share common structural and exterior grounds areas. 

Rules and Regulations 

If you are purchasing a home as an investment property with the intention to use as a rental, you will need to understand the restrictions, they may include the following:

• Pet Restrictions; Breed, Size, Quantity
• Rental Restrictions: Min/Max Lease Periods, Required Ownership # of Years Prior to Renting
• Fences, Paint Colors, Age restrictions, i.e., 55+

Association Dues and Fees

• HOA fees are the monthly dues to pay for amenities, property maintenance, and repairs.
• Condo fees cover the costs to maintain common areas, i.e., lobbies, landscaping, pools, and elevators. Common utilities, such as water/sewer fees and garbage disposal may also be covered.
• Note that some properties may assess both condo fees and HOA fees.
• Assessment fees may also be levied if there is not enough in the reserve funds to cover a repair.
• Golf Membership fees are sometimes included in HOA fees, others are an additional cost.
• Some neighborhoods require a golf membership, some are optional. 
• There may also be food expenditure minimums at restaurants in the neighborhood.

Information/Disclosures I will obtain for your review:

• Deed Restrictions, Restrictive Covenants, Rules & Regulations
• Condo Association Rider
• Community Association Disclosure 
• Budget / Reserves / Planned Improvements
• Current or Future Planned Assessments
• Membership Application (if required)
• Land-use or recreation fees and the amounts of the obligations

Association charges you may need to pay as part of the closing process for HOA and Condo Associations:

• Estoppel Fee / Rush Charge (ensures sellers are in good standing)
• Condo Questionnaire (lender requirement)
• Application Fee (association requirement of all buyers)

COMMUNITY DEVELOPMENT DISTRICT (CDD)

CDD fees are typically in communities with amenities. They offset the builder’s cost for the infrastructure in new communities. CDD fees are collected as part of your property tax bill. The tax amount on a listing will include this fee.

Major FR/Bar updates

Paragraph 8, which addresses how the purchase will be paid for, contains many updates. Spend time familiarizing yourself with the changes, so that you understand buyers’ and sellers’ responsibilities when the new contract goes into everyday use.

• 8(b) – Two tasks are to be completed during the “Loan Approval Period.” As before, the buyer must obtain approval for financing as described in Paragraph 8b. New to the contract, however, is that the buyer’s lender must receive a satisfactory appraisal before the “Loan Approval Period” expires – the first time a FR/Bar contract specified this. (Note: The word “appraisal” includes appraisals and alternative valuations.)
  Why the change? The change was made to expedite receipt of the appraisal if required by the buyer’s lender. Under the current contract, a low appraisal could derail a transaction as late as the closing, if that’s when the appraisal was completed. Although a low appraisal can still derail a transaction, if it is received before the expiration of the Loan Approval Period, the property can be returned to the market sooner and a new buyer found.
• 8(b)(i) – This subsection redefines “Loan Approval.” This term now includes two components: that a buyer is approved for the financing described in the contract, and that the lender received a satisfactory appraisal if one is required. Consequently, if a buyer is approved for financing but the approval is conditioned upon an appraisal to be completed in the future, this will not be considered “Loan Approval.”
  Unlike the current contract, per the revision, an approval that contains a condition that the buyer must sell another property is considered “Loan Approval,” providing Rider V is made part of the contract. Why the change? If the seller agrees to a buyer’s offer that includes Rider V, the seller is now aware that the buyer’s offer is contingent on the buyer selling another property.
• 18, Standard O – Delivery notice methods changed. In addition to current options – mail or personal delivery – notices may also be delivered by fax or email. However, certain electronic media delivery previously provided for in the contract was deleted. This is noteworthy because it means texts cannot be used to provide notice for these contracts. The change was made because texts can disappear over time, making them unreliable as evidence to prove that a notice was delivered.

• “Personal Property” now includes thermostats, doorbells, television wall mounts and television mounting hardware, mailbox keys, and storm protection items and hardware – and intercoms were deleted.
• A critical component of closing – that all funds required for closing are received by the closing agent and collected pursuant to STANDARD S” – has now been included in the paragraph that defines closing.  
• An extension of the closing date based on CFPB (Consumer Finance Protection Bureau) delivery requirements was reduced from up to 10 days to 7 days, and it was clarified that this extension is automatic only if the loan was approved and through underwriting prior to the originally agreed upon closing date.
• The occupancy clause now covers disclosure of existing seasonal or short-term vacation rentals – or if such rentals are intended if the occupancy would take place after closing.
• A buyer has an obligation to keep the seller informed of the status of a loan application, appraisal, loan approval and property-related conditions, if the seller requests this information in writing.
• The buyer can now wait until the end of the “Loan Approval Period” to inform the seller, in writing, that the loan was approved. In the current version, the buyer had to “promptly advise” the seller.
• One item was added to costs paid by the seller: FIRPTA withholding and reporting (FIRPTA applies to transactions with foreign sellers).
• Special assessments imposed by special districts will be prorated and not negotiated in Paragraph 9f.
• Watercraft lifts and related equipment are now items subject to the buyer’s inspection that should be in working condition (Residential Contract only); also, a change allows sellers to complete repairs without estimates if the seller desires.
• Time calculations: The new contract states that a calendar day will be based on where the property is located and clarifies calculations if a date or time period ends on a Saturday or Sunday, a day that is a national legal holiday, or on a day a national legal public holiday is observed.
• Force Majeure: The definition of Force Majeure has been expanded and now also includes “governmental actions and mandates, government shutdowns, epidemics or pandemics.”
• Counteroffer language was simplified and the rejection option eliminated.
• New riders include Mold Inspection, Seasonal/Vacation Rentals/Pace Disclosure.

Florida Realtors © 2021 Florida Realtors®

Homestead Exemption

There are two deadlines that must be met to benefit from the Homestead Exemption:

• Be a Florida resident and own and occupy the property as your permanent residence on January 1st of the year you claim the exemption. 
• Apply by March 1st of the year for which you are claiming the exemption. The property appraiser’s office will consider homestead exemption applications filed after the March 1 deadline.

You will need: 

1. A copy of the deed to the property recorded in the public records of Sarasota County 
2. A valid Florida Driver's License
3. One of the following: Florida voter registration or Florida vehicle registration
4. Previous residence information: If still owned, proof of cancellation of exemption. If no longer owned, proof of date of sale is required.
5. Two of the following with property address: Employment verification (W-2 or paystub), children’s school registration, tax return, utility payment, bank statement
6. Social Security Number. Married individuals must always provide this information for their spouse, whether the spouse’s name appears on the deed or not. 
7.  If not a U.S. Citizen, your Alien Registration Card (Green Card).

Other Exemptions

• The limited income Senior exemption provides an additional Homestead exemption for qualifying residents 65 and older. 
• Disabled Veterans Homestead Property Tax Discount - % Discount.
• Any Veteran age 65 and older may qualify for a homestead property tax discount.
• Total and Permanent Disability Exemption – Ad Valorem Taxes Waived.
• Widow/Widower Exemption - $500
• Disability Exemption - $500
• Blind Disability Exemption - $500
• Disabled Veteran - $5000

ELECTRICITY

FLORIDA POWER & LIGHT (FPL)

1-800-226-3545

https://www.fpl.com/account/moving.html

WATER, SEWER & TRASH

PUNTA GORDA

(941) 575-5088

https://www.ci.punta-gorda.fl.us/services/water-waste-water

CHARLOTTE COUNTY 

941.764.4300  25550 Harbor View Rd, Port Charlotte, FL 33980 https://www.charlottecountyfl.gov/departments/utilities/

MANATEE COUNTY, FLORIDA

(941) 792-8811 

4410 66th St. W. Bradenton 34210

https://www.mymanatee.org/departments/utilities/manatee_county_water_division

All new accounts may be set up in person or by phone. Online account setup is not available.

SARASOTA COUNTY

941-861-6790

1001 Sarasota Center Blvd., Sarasota, FL 34240

https://www.scgov.net/government/public-utilities-water

https://sarasotacountyutilities.formstack.com/forms/application_for_water_and_or_sewer_service_copy

PINELLAS COUNTY

(727) 464-4000

14 South Fort Harrison Ave. Clearwater, FL 33756

http://www.pinellascounty.org/utilities/fees.htm

TV & WiFi

Xfinity/Comcast

https://www.xfinity.com/overview?cjevent=995b4acd931f11ec83d3023b0a82b824&cmp=aff__100336728

Direct TV

1-833-311-2117