How to Avoid Liens in Siesta Key
Avoiding Liens in Siesta Key: A Real Risk
Quick Answer
To avoid liens in Siesta Key, conduct thorough due diligence before purchasing a property. Florida Statute 718 requires disclosure of any existing liens, but these can still surprise you if not properly investigated. For example, a buyer discovered a lien for unpaid HOA fees just days before closing, risking their deposit and delaying the transaction. If such issues are found late, you could face significant financial loss or even contract termination. Call me at 941.400.8735 or reach out directly to Michael Renick – I’ll share my approach with you.
What Actually Breaks Deals in Florida
Unpaid Assessments and HOA Liens
The problem often arises from unpaid assessments leading to HOA liens, governed by Florida Statute 720. During a transaction, a buyer found out through the estoppel certificate that the seller had unpaid assessments, which placed a lien on the property. This discovery forced a renegotiation of terms and delayed the closing, putting the buyer‘s deposit at risk.
I had been looking for a local condo for over a year and was very unhappy with the service. I had worked with three agents from three different national chains. None of the three seemed to know the market very well, took the time to understand what I’m looking for, and most importantly rarely followed up when they told me they would. I have never experience such a lazy approach to working with a buyer. Things changed when I met Mike and part of his team at their St. Armands office. The first thing Mike did was apologize for the poor service…even though it wasn’t his fault. I already knew that I found someone who help himself accountable. What a breath of fresh air! After spending about 30 minutes with me understanding what I was looking for, Mike introduced me to Eric. Between the two of them, they found five condos for me to look at. Each of the five, met my criteria. They actually did listen. I’m excited because we plan to submit an offer later today. The market analysis they prepared was thorough and easy for me to understand. I cannot recommend more highly any other realtors to work with. Thank you Mike and Eric!
– Jules Schroder, Google Review
Code Violations and Permitting Issues
Code violations and unpermitted work can lead to liens, managed by the local county building department. In one case, a buyer was blindsided when a code enforcement lien was revealed during the title search, stemming from unpermitted renovations. This not only delayed the closing but also required the buyer to negotiate repairs or risk losing their earnest money.
Where It Usually Blows Up
These issues typically surface during the title search or estoppel review, often just days before closing. This timing is brutal because buyers have already invested time and money into the transaction, and sellers are usually not prepared to resolve these issues quickly. When discovered late, buyers risk losing their deposits, face closing delays, and may have to renegotiate terms under pressure.
Recently my husband and I bought a condo in Longboat Key. We initially chose Team Renick simply because they were representing a property we were interested in, but decided to stay with them because they were so attentive. Eric Teoh was the agent assigned to us and he was very efficient, always prompt, and extremely knowledgeable about every property on LBK. When the day came for the walk-thru of the property we decided to bid on, Eric actually helped me measure the walls and even noticed when I wrote the dimensions on the wrong parts of the floor plan. When we had our closing, our attorney was impressed that our realtor was providing us with such a good home warranty. And then there’s Team Renick’s contribution to the LBK nature conservancy for every sale they make. On every front, an outstanding realtor!
– LWGraboys, Zillow Review
What I Tell Clients Before They Risk Money
- Conduct a Thorough Title Search: Ensure there are no hidden liens or encumbrances on the property.
- Review the Estoppel Certificate: Check for any unpaid assessments or pending HOA issues.
- Inspect for Code Compliance: Verify that all renovations and additions have the necessary permits.
- Consult with a Real Estate Attorney: Get professional advice to navigate potential legal pitfalls.
- Secure Title Insurance: Protect yourself against unforeseen claims or liens on the property.
Let’s continue this conversation.
Call me at 941.400.8735 or schedule a 15-minute call. I’ll tell you what I would look for.
Call 941.400.8735 or Schedule a Call
Questions Clients Actually Ask
What is an estoppel certificate?
An estoppel certificate is a document provided by the HOA that outlines any outstanding fees or assessments owed by the property owner. It is crucial for identifying potential liens that could affect the transaction.
How can a lien affect my closing?
A lien can delay or even derail your closing by introducing unexpected financial obligations. If discovered late, it can lead to renegotiations, closing delays, or even contract termination.
What To Do Right Now
Order a preliminary title search and estoppel certificate as soon as you consider a property to identify any potential liens early.
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Michael Renick · Licensed Florida Real Estate Broker
License #BK3241900 · Verify on Florida DBPR
Mangrove Realty Associates Inc / Team Renick · Serving Sarasota & Manatee Counties since 2011
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