It is essential to choose the appropriate agent to ensure that the title is transmitted correctly and free of any charge if you wish to buy or sell a property in Florida. Hiring an experienced title company for your national title services adds a level of protection, which is one of the advantages. If you select a Florida title company, they may be authorized to provide assistance throughout the process of title transfer. When a real estate transaction in Florida involves foreign persons or entities, there are additional requirements and responsibilities that must be addressed. Failure to correctly process these requirements could result in severe sanctions.
In some circumstances, there may be steps we can take to clear these clouds before there is even a buyer for the property. This will result in a smooth transaction. If you plan to sell your property, or if you are buying a property from a foreign seller, then make sure to contact the assistance of an experienced title company.
How To Take Ownership Of A Property
When buying or inheriting property, you should think very carefully about how you will take possession of it, that is, your legal right to own and use the property. Florida law contemplates several ways to own property, each of which has its advantages and disadvantages depending on your circumstances and what you have in mind for the property.
Also known as individual property or property alone, this is the simplest way to take ownership of a property, as it is solely in the name of the individual or entity (trust, corporation, etc.) that buys or receives the property. For obvious reasons, this method is generally, though not exclusively, used by legally single people.
If a person who is married takes possession of a property as a sole proprietor, their spouse will typically have to sign an affidavit of resignation that eliminates any interest in the property. This is usually done when a spouse is entering into real estate investments, in which the other spouse is not involved.
Unlike other ways to take ownership of a property, there are no particular advantages or tax incentives for the property alone. Also, if the sole proprietor dies without a will, his property will automatically pass through the testamentary validation process and will be assigned through intestate succession to the closest relative (spouse, adult children, etc.)
This method is popular with friends or business partners who want to own a property together. Under this type of agreement, each owner (also known as a tenant) has a specific interest in the property that can be proportional; for example, two tenants own 50% each; or it may be uneven, depending on the agreement reached.
Beyond the percentage who possess, each tenant in common can sell or lease your party to whom you want. However, the remaining tenant in common may not want to own the property together with the new tenant.
There is also a problem that arises when owners do not jointly agree to the sale or transfer of the entire property. In many cases, these disputes culminate in a lawsuit by a partition that force the sale of property and the division of profits among the investors in proportion to their percentage of ownership.
Lease commonly entitled to survival
As with ownership or tenancy in common, two or more individuals or entities take possession of the same property. However, a tenancy in common with right of survivorship requires each owner to have equal interest and take possession of the property in the same writing and at the same time. This is one of the reasons why this way of owning a property is the most popular among spouses and family.
Another fundamental difference from the property in common is what happens in case of death of one of the tenants in common: when one joint tenant dies, his share of the property automatically passes to the other owners without having to go through the probate. Only if all die together, owners will be required, because in that case there would be no one to automatically receive the property.
A significant disadvantage of the property with right of survivorship is exposure to creditors: if an owner in common has a debt, your creditors can take legal action to force the other owners to sell the property to pay the debt (regardless of whether the other tenants were aware of such debt). Also, joint owners must agree on each change regarding the property as a new mortgage or transfer ownership to someone else.