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As of October 1, 2024, Florida has implemented stricter flood disclosure requirements for residential real estate transactions. This means that sellers are now required to disclose a property’s flood risk to potential buyers prior to executing a purchase and sale agreement.

What Does This Mean for Sellers and Buyers?

• Sellers: To comply with the new law, sellers must disclose any previous flood damage claims and federal assistance received due to flooding. This information can be crucial for buyers when making a decision. Sellers may also need to provide documentation to support their disclosures.
• Buyers: With this increased transparency, buyers can make more informed decisions about purchasing a property. They can assess the potential risks associated with flooding and negotiate accordingly. Buyers may also want to consider purchasing flood insurance to protect their investment.

Tips for Sellers and Buyers

• Sellers:
  • Be proactive: Gather all relevant flood information, including insurance claims and FEMA records.
  • Consult with a real estate attorney: An attorney can help you understand your obligations under the new law and ensure that your disclosures are accurate and complete.
  • Disclose fully and honestly: Any material misrepresentations or omissions could lead to legal liability.
• Buyers:
  • Do your research: Use online tools and resources to assess a property’s flood risk.
  • Ask questions: Don’t hesitate to ask the seller or their agent for more information about the property’s flood history.
  • Consider hiring a professional inspector: A home inspector can identify potential flood damage and other issues.

 Need More Information? If you have any questions about these new requirements, please contact me at [email protected].

Need the form? For your convenience, you can download a Flood Disclosure form compliant with the new statute here.

The post Understanding Florida’s Stricter Flood Disclosure Requirements in Real Estate appeared first on Greenspoon Marder LLP.