Closing costs in Florida question

[Zoe]

And the newer NAR standards are complex IMO. Buyer's contract includes space for buyer to indicate sales commission % paid by buyer to his agent-- unless eventual seller agrees to pay some or all of the buyer's agent commission that is subtracted from the amount the buyer contract indicates-- although buyer's agent cant receive a total commission from seller and buyer together that is higher than what the original buyer's contract indicates the %age that buyer agrees to pay. Crux of the regs is that a MLS listing can't describe the amount of agents' commissions the seller is willing to pay--although it's perfectly fine for that info to be published on any other media, and agents are free to discuss it between themselves. [ Kinda sorta seems to be much ado 'bout nothing, although presumably integral to the appraiser's contract analysis...]

That's okay by me. It cost NAR a bunch of money to change it. I don't have a problem with that. I wish NAR would push hard for separation of appraisal and appraisal management fees on truth in lending disclosures.

NAR had to pay some big fines on commissions disclosures I think. I am sure that hurt. I wish the same penalty on appraisal management companies.

 

[Zoe]

Even like in a divorce, there are closing costs involved. Somebody has to pay those closing costs in a quit claim deed. This girl has never owned a house. She don't know. She is dating family member. I don't need to get in that mix telling her she is stupid.

I have done work in like 7 states on commercial, but never Florida. I was like Florida is very unique if that is the case. I knew it probably wasn't that way.

Her step daddy is very wealthy. I need to stay out of that situation period. My family member is moving with her possibly. He started and owns two big manufacturing companies and flips houses. So, she don't need my advice. He has his own airplane and private pilot.

 

[Zoe]

That's okay by me. It cost NAR a bunch of money to change it. I don't have a problem with that. I wish NAR would push hard for separation of appraisal and appraisal management fees on truth in lending disclosures.

NAR had to pay some big fines on commissions disclosures I think. I am sure that hurt. I wish the same penalty on appraisal management companies.

Obviously, NAR didn't have a problem with their decision, or they would have fought it. The request goes with public trust. NAR is based on public trust.

OTOH, truth in lending disclosures are supposed to be based on public trust on appraisal and appraisal management fees.

Sorry, I replied to me instead of the poster before.

 

[Zoe]

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In Florida, both the buyer and the seller pay closing costs, but the division of costs can be negotiated.

Seller costs

• Real estate agent commissions
• Title insurance
• Attorney fees
• HOA transfer fees
• Prorated property taxes and HOA dues
• • Outstanding mortgages or liens
  • Documentary stamp taxes
  • Seller's concessions

Buyer costs home appraisal and inspection costs, lender fees/credit checks, recording fees, loan origination fees, and optional survey fees.

Other considerations

• • In some of the most populous counties, like Miami-Dade, the buyer typically covers the owner's title insurance policy.
  • Sellers usually pay for real estate agent commissions, which can be between 5% and 6% of the sale price.
  • Buyers and sellers can negotiate who pays for certain expenses.
  • The closing agent or attorney handling the transaction typically calculates the prorations.

It's important to discuss the closing co

Okay, another question.

There is something with lenders in Florida about you have to live there a year or it is considered a 2nd mortgage.

My family member appears to be moving with this lady.

My family member owns a house and has multiple offers in a week.

But they say in Florida, if you have not lived there a year and the interest rate is higher on a new mortgage?

Is that true?

 

[Zoe]

I think they consider it a 2nd mtg instead of 1st mortgage if you have not lived in Florida a year.

Do all lenders do that in Florida?

I am not clear on that. That don't seem like a standard from a lender.

Hell, his girlfriend needs to go ask her step daddy or momma for a loan to buy it. LOL

My son has multiple cash offers in like 3-4 days. It is priced right. Me and wife are saying don't budge on price. He has agent helping him.

Raise the price if the buyer or buyer's agents are pressuring you on a cash offer.

The buyer's agent is trying to raise their commission in the deal on cash offer.

I said No Son. Let the the buyer pay their commission or raise the price to compensate on a cash offer.

 

[J Grant]

And the newer NAR standards are complex IMO. Buyer's contract includes space for buyer to indicate sales commission % paid by buyer to his agent-- unless eventual seller agrees to pay some or all of the buyer's agent commission that is subtracted from the amount the buyer contract indicates-- although buyer's agent cant receive a total commission from seller and buyer together that is higher than what the original buyer's contract indicates the %age that buyer agrees to pay. Crux of the regs is that a MLS listing can't describe the amount of agents' commissions the seller is willing to pay--although it's perfectly fine for that info to be published on any other media, and agents are free to discuss it between themselves. [ Kinda sorta seems to be much ado 'bout nothing, although presumably integral to the appraiser's contract analysis...]

Of course, it was much ado about nothing - all it really accomplished was that the commissions /splits could not be listed on the MLS with a property. From what I see of RE contracts the total commissions paid are as high as they were before the settlement.

Only the res appraisers, with their dinky fees in the hundreds of dollars, are getting their fees split and gouged; the other RE players making tens of thousands in fees are protected.

 

[J Grant]

As long as the state of FL gets its money in taxes and doc stamps paid at closing, it does not care who pays them. It is customary to have the buyer and seller pay their own designated set of fees but I assume anything can be negoatited.

 

[Zoe]

Better yet raise the price and lower what you will pay the buyer's agent commission to 1%. LOL

I would not have agreed to pay the buyer's agent commission period. He didn't ask me.

Me and wife got on him last night. His house is in great location.

 

[Zoe]

He agreed to pay 2% on buyer's agent commission. I would not have agreed to that. He can still back out. No contracts signed yet locally.

 

[J Grant]

He agreed to pay 2% on buyer's agent commission. I would not have agreed to that. He can still back out. No contracts signed yet locally.

Leave him/them alone ! They are making a deal that works. If he got a nice house good for him, there is limited quality inventory here at a decent price ( price relative to its value/location )