from Florida Realtors
As lawmakers head to Tallahassee to kick off the 2013 Florida Legislature on March 5, Realtors across the state are ready to address major issues of concern to all Floridians including funding for affordable housing; eliminating a tax on commercial rents; sustainable and affordable property insurance; and the state's judicial foreclosure process.
Here are the priorities set by Florida Realtors, the state association:
Tax on commercial leases
Florida is the only state that taxes commercial rents; commercial tenants pay a 6 percent sales tax on rent, and local governments may charge an additional discretionary sales surtax.
The association will attempt to get the Legislature to phase out this tax.
Judicial foreclosure process
The foreclosure crisis has impacted Florida's economy and negatively affected the judicial branch in terms of both funding and caseload, according to the association. Foreclosing on a mortgage in Florida is a long process, with 676 days being the average length of time between the first foreclosure filing and bank repossession; the national average is 318 days.
Florida Realtors is working with the sponsor of legislation that would shorten that time frame to one year.
Property insurance
Property insurance remains a major priority for Florida's Realtors, just as it is for all Florida full- or part-time residents.
There will be a major focus this session to stem the tide of policies entering Citizens Property Insurance Corp., which is currently around 8,000 per week.
Affordable Housing Trust Funds
As in previous years, Florida Realtors asks once again that all monies generated by documentary stamp taxes specifically for affordable housing programs be used for that purpose — not to make up for deficits in general revenue.
The Sadowski Trust Funds are supported entirely by a portion of documentary stamp taxes. The beneficiaries are teachers, firefighters, senior citizens and low-income families who are loaned the funds to purchase a home or for rental assistance.
In the next fiscal year, there will be $193.8 million available for Florida families. However, they're not the only ones who benefit. When legislators allocate the $193.8 million available in the next fiscal year for housing programs, more than 13,400 Floridians will have work. And $1.4 billion will flow into the Florida economy.
Estoppel Fees
Legislators may be considering a bill this session that would cap Estoppel fees for condominium associations.
An Estoppel is essentially a request for payoff amounts. A title company will request an Estoppel prior to closing to determine if homeowners' association and condo association fees are current, if there are any special assessments due and/or pending, violations against the subject property, or pending litigation.
Florida law allows homeowners' and condo associations to charge a fee for Estoppel but doesn't specify amounts. In many parts of the state, these fees are high — upwards of $500 — resulting in a call for reform from Realtors on behalf of sellers, from title companies and from transaction attorneys.
The legislation probably will ask that condo associations could not charge these owners more than $100 for an Estoppel letter.