Florida Real Estate Basics

Real estate deeds might sound complicated, but once you get the hang of them, you’ll feel like a pro navigating the property market. Ready to dive in? Let’s start with the basics of Florida real estate deeds and types of estates.

Necessary Elements to Create an Effective Deed

• Writing: Transactions must adhere to Fla. Stat. § 725.011 and Fla. Stat. § 689.01, requiring a written document signed by the party and witnessed by two individuals.
• Capable Parties: Both the grantor and grantee must be active entities to transfer and accept the title.
• Description: The deed must describe the property adequately for identification, though precision isn’t mandatory.  For example, 123 Main Street, Ormond Bech, FL 32174 might be good enough.
• Transfer Words: Operative words such as “sold” or “assigned” must be present to convey the title.
• Delivery and Recording: Deeds need to be delivered to be effective, with recording necessary to impact third parties.

Types of Deeds

• Warranty Deed: This deed is the strongest.  It offers covenants of seisin and against encumbrances, ensuring protection and good title.
• Special Warranty Deed: This is the second strongest type of deed.  It provides limited protection against claims through the grantor.
• Quitclaim Deed: This deed transfers whatever title the grantor holds without warranties.
• “Lady Bird” Deed: Often used for estate planning, it transfers an enhanced life estate to the grantor while passing the remainder to joint tenants with rights of survivorship.  This type of deed allows the owner of the property to automatically transfer the property upon his/her death to a third party.  By doing this, this type of deed avoids probate because the property passes outside the estate.

Types of Estates: The Basics

• Joint Tenancy: Joint tenancies can be created with or without the right of survivorship. While common law presumed this right, statutes now require explicit specification.
• Tenancy by the Entireties: This form of joint tenancy requires the owners to be married, and failing its creation typically results in tenancy in common.
• Fee Simple Absolute: This is the largest interest in land one can hold, offering rights like possession, exclusion, alienation, and inheritance. Thanks to Fla. Stat. § 689.10, the need for specific words of inheritance has been eliminated.
• Life Estates: A life estate is measured by the life of a person, typically created based on the grantor’s intent. They can end through various means, including the death of the measuring life or through waste committed by the life tenant.
• Tenancy in Common: Common among non-married owners, tenancy in common allows each owner to hold distinct but undivided interests in the property.

Understanding these concepts is vital for anyone involved in Florida real estate transactions. Equip yourself with this knowledge and make informed decisions that can protect your interests and investments in the vibrant Florida real estate market.

Ormond Beach Foreclosure Defense Lawyer

The Law Office of Andrew J. Pascale, P.A., successfully represents homeowners in foreclosure defense and real estate litigation, including partition actions. Contact Ormond Beach foreclosure defense lawyer Andrew J. Pascale at  877-667-1211 to learn how we can help protect your rights. This blog is for illustrative purposes only and does not constitute legal advice.