Let’s say you’re thinking about buying a South Florida property – but you want to adapt it for another use. Or you want to build something entirely different there. In either case, it’s a good idea to include a zoning contingency in the contract. Here’s why.

Why use zoning contingencies?

Contrary to popular belief, a landowner does not have the exclusive ability/right to seek rezoning and similar land use approvals. A would-be buyer can also seek such approvals, as long as he or she has the owner’s written permission.

If there is an obvious need for government approval of rezoning or other land use requests, your best bet is to include a zoning contingency in the real estate purchase contract. This will also give you an “easy out” if you don’t get the approvals you need and you are forced to find another site.

The ability to back out of a deal un-penalized when they can’t get necessary approvals makes this a popular strategy for real estate developers in Miami, Fort Lauderdale, and other high-growth areas in South Florida. For example, developers will often buy real estate subject to securing zoning approval to build a specified number of residential or commercial units on the property. Then, if they don’t get the necessary approvals, they can simply opt not to pursue the deal without significant ramifications.

Points to consider

There are several points to consider when preparing contract language pertaining to zoning contingencies and related matters.

The chief among these is that you as the buyer must do your due diligence. As part of this process, you must be sure to ask relevant questions about zoning and land use. In other words, you have to find out what can and can’t be done with the property before entering into any contract for the purchase of said property.

Depending on the circumstances, this can be an incredibly comprehensive and time-consuming process. Accordingly, you should not hesitate to contact an experienced South Florida real estate lawyer for help and legal advice.

A qualified attorney can also help you define the range of contemplated approvals and draft appropriate language. For example, the seller will benefit from language that limits the range of potential changes that a buyer can make to the property’s zoning because it effectively lessens certain risks.

Another important issue that must be taken into consideration is any language regarding the timing of the zoning approval period. The amount of time for public hearings and other such matters should be taken into account. The potential for appeals of an adverse decision should also be addressed. This is significant because an appeal will make the zoning/land use approval process even longer. Accordingly, the seller may want to include stipulations requiring additional fees or deposits.

Some other issues and concerns that should be addressed when drafting relevant contractual language include:

Extra time and deposits
Seller collaboration and prior consent
Expiration of the contingency/continuation of the approval process

The bottom line

Although it is available to any prospective buyer who may need zoning/land use approval, the use of a zoning contingency in a real estate transaction is especially popular among Florida developers. This is because it allows them to change their minds about buying a property if they can’t get the necessary zoning/land use approvals.

However, poorly drafted language that fails to address key issues in any such contingencies may have serious and unintended consequences. Accordingly, it is critical to enlist the services of experienced real estate lawyers if you are thinking about pursuing this option. Contact the legal team at Loshak Law PLLC to learn more about how we can help you craft an effective zoning contingency for use in your real estate transaction today. Call (954) 334-1122 today for a free consultation.

Purchasing property is an exciting and frightening experience. Finding the right property, sometimes, is easy enough. Sure, it may take some searching and a few showings, but if you have a good idea of what you are seeking, you’ll likely find it. The scary part of buying a property, whether commercial or residential, is the miscellaneous that most people aren’t experts in: deeds, title, liens. When situations such as these arise, it’s best to talk to a real estate lawyer. Here’s why you need an attorney to purchase a property.

The Role of a Real Estate Attorney

The role of a real estate attorney is to oversee all the legal work purchasing a property entails, as well as ensuring that both the rights and interests of their clients are fully preserved. When a person looks to buy a property, whether it be for residential or commercial purposes, there are documentation concerns which are best left to legal experts. These include the sales contract, the title, and any other relevant documentation.

Benefits of Using an Attorney When Purchasing a Property

Avoid Financial Losses

A real estate attorney can help check the chain of ownership of a property to make sure that there are no liens on the property or any other liabilities or problems of which the seller has not made the purchaser aware. In instances where there are unknown liens, working without a real estate lawyer may subject the purchaser to financial losses or legal concerns they did not anticipate.

Protect Buyers from Unforeseen Problems

A real estate attorney can inspect the contracts and paperwork in purchase agreements to ensure the buyer is protected from events such as an inspection failure. When a property fails an inspection due to mold, mildew, or structural failings, unless there are provisions in the purchase agreement allowing for the termination in the event of a failed inspection, a buyer may lose out on hundreds of thousands of dollars or more. Working with an experienced real estate law firm prevents buyers from unfair and damaging contracts.

A Proper Closing Process

The closing process is one of the most complex and vital parts of the purchase. The closing process includes the:

Preparation of all closing papers, such as the deed
Transfer of the title to the buyer
Payment of the balance of the purchase price
Creation of a transaction statement outlining sand itemizing the purchase

Because of the importance of closing, a real estate attorney is a critically important source of legal advice. They can assist the buyer with any last-minute questions or concerns and help the transaction complete smoothly.

Contact the Real Estate Law Experts at Loshak Leach

Before you undertake any real estate purchase, contact Loshak Law PLLC. Our firm has a combined 15 years of experience in all aspects of real estate law. We customize our representation to tailor-fit the needs of our clients. If you are looking for a law firm as dedicated to your success of your real estate transaction as you are, call us today at 954-334-1122.

Zoning, Zoning, Zoning – A Fort Lauderdale Attorney’s Guide to Zoning

Location, location, location. A restaurant with a beachside view walking distance from a myriad of hotels can command high prices and has a built-in marketing tool. Location is a key factor in determining whether your business succeeds or fails. Before you settle on a Fort Lauderdale property you deem desirable for your business, you should consider hiring a Fort Lauderdale zoning attorney to review zoning regulations to ensure they align with your business needs.

Zoning regulations have been on the rise since 1980, so it’s more important than ever to understand land use/zoning laws in Broward County and Fort Lauderdale and how these regulations could potentially affect your business. Ultimately, you’ll want to seek advice from a Fort Lauderdale Land Use and Zoning attorney, but for now, let’s get a basic understanding of what zoning is and the avenues through which we may be able to change restrictions so as to maximize business potential.

What is Zoning?

Zoning is the process through which local government divides up land into zones and applies permissions and restrictions as part of urban planning. Because the control of zoning is on a municipal level, it has a significant impact on the local community and is often a passionate issue.

Variance

A variance is a request to diverge from a zoning ordinance to allow use of the property in a way that would otherwise be prohibited. For example, the construction of a “tiny home” in a residential zoning district that requires minimum square footage, would require a variance. If the variance is granted, this does not mean the zoning law has changed, it means a waiver has been granted. When you apply for a variance, you must be able to show the existing zoning restriction causes a hardship in that the only way to reasonably use the property is to lift the zoning prohibition.

Variance Process

Submit a complete application package to the Fort Lauderdale Planning and Zoning Board whose nine appointed members apply the city’s plan when reviewing development proposals. The fee ranges from $480 to $600. As you can see, it can be quite intimidating to navigate your way to the correct application and decisively determine your total fees. This is why it’s always advisable to have a Land Use and Zoning attorney to lead you through the process.

Special Use Permits

Quite often, landowners confuse special use permits and variances.

A Special Use Permit allows for a conditional use of the property in a way that is otherwise not permitted by the zoning ordinance. Sound familiar? The difference is the applicant does not have to prove hardship due to a restriction. Instead, the business tends to have a positive impact on public interest and avoids negative impacts on neighboring areas. Common special use permits are granted for home businesses such as hair salons, daycare, or tax services, for example.

Special Use Permits Process

This is an application process under the umbrella of the Fort Lauderdale Planning and Zoning Board, but the Development and Review Committee considers your Special Use/Conditional Use application and the total fees range from $1100 – $2000.

Non-Conforming Uses

Just like Variances and Special Use Permits, Non-Conforming Uses is the use of property that is normally a violation of the zoning ordinance. Non-Conforming Use is allowed because the landowner used the land in a non-conforming way BEFORE the zoning ordinance existed. Quite often, the uses are referred to being grandfathered into a zoning ordinance.

Non-Conforming Uses Process

It must be proven that the non-conforming use had been continuous with no lapses in time prior to the implementation of the current zoning ordinance.

Eminent Domain

Eminent domain is when the government takes private property and turns it into public use, such as building roads, government buildings, and parks as well as protection of historic landmarks and wetlands. If the government zones part of your property in such a way that you cannot make use of it, you may be able to sue for compensation. To learn more please take a look at Overview of Eminent Domain in Florida or consult your Land Use and Zoning attorney.

Applying for a Change of Zoning

If the zoning ordinance on a piece of land does not align with the zoning you need, you may apply for a Change of Zoning. The reasons for the requested change should be supported by drawings, surveys, photographs, and models, which may involve hiring additional professionals.

If you are thinking about the possibility of trying to amend the current zoning, we encourage you to consult with your Land Use and Zoning attorney.

Applying for a Change of Zoning Process

To apply for a change of zoning in Fort Lauderdale, you must complete the application process through the Development and Review Committee. The first review is to determine completeness of the application and if changes are needed. You will then have the chance to appear before the committee to present your case. The application fee is $1,010 and you may be subject to any costs incurred by the City.

Before You Do Anything

If you’re in Broward County and you have a potential zoning issue, contact the Fort Lauderdale law firm of Loshak Law PLLC for a free consultation.

Having a durable power of attorney (POA) can be a valuable legal tool that grants someone you trust the authority to handle your financial affairs. However, circumstances may change, and you may find the need to revoke or terminate a durable power of attorney in Florida. In this blog post, we will explore the necessary steps and Florida statutes involved in revoking a durable power of attorney, ensuring that you are well-informed and empowered to make important legal decisions.

What is a Durable Power of Attorney?
A durable power of attorney is a legal document that grants someone, known as the agent or attorney-in-fact, the authority to act on your behalf in financial matters. It remains in effect even if you become incapacitated, providing a trusted individual with the ability to manage your affairs. However, circumstances may arise where you no longer wish to grant this authority, necessitating the revocation process.

Understanding the Revocation Process:
Revoking a durable power of attorney involves specific steps to ensure the process is legally valid. Here’s a simplified overview of the process:

a. Review the Original Document: Start by reviewing the original durable power of attorney document. Familiarize yourself with the terms, conditions, and any instructions regarding revocation.

b. Draft a Revocation Document: Create a written revocation document that explicitly states your intention to revoke the durable power of attorney. Include your name, the agent’s name, and the date the original power of attorney was executed.

c. Execute the Revocation Document: Sign and date the revocation document in the presence of a notary public. This step ensures the document’s authenticity and makes it legally binding.

d. Notify Relevant Parties: Send copies of the revocation document to the agent, any financial institutions involved, and other relevant parties. This will formally communicate your decision to revoke the durable power of attorney.
Seeking Legal Guidance:Revoking a durable power of attorney is an important legal matter, and it is advisable to seek professional legal counsel to ensure compliance with Florida laws. An attorney experienced in estate planning and elder law can provide personalized advice based on your specific situation.

For more comprehensive information on durable power of attorney, revocation, and other related legal matters, visit www.loshakleach.com. Their website offers valuable resources and expert guidance to help you navigate the complexities of Florida law.

Revoking a durable power of attorney in Florida requires a thoughtful and legally valid process. By understanding the steps involved and familiarizing yourself with relevant Florida statutes, you can confidently take control of your financial affairs. Remember to consult with an attorney to ensure your actions comply with the law and protect your interests

Understanding Florida’s Land Development Regulations

Florida has been one of the fastest growing states in the nation for decades. Such growth always presents many challenges in any area. Perhaps the greatest challenge revolves around how to support and encourage that growth while preserving the things that make Florida the go to state, including its natural beauty. How do you work within these regulations to develop land? To start, let’s begin by understanding Florida’s land development regulations.

Florida Land Development Regulations

Florida land development regulations include what most people refer to as zoning laws, but these laws go well beyond that. Land use planning and development regulations in Florida have the goal of environmental preservation while encouraging the development of entertainment and leisure industries that make Florida the envy of the world. The state laws cover all types of property development and are complex, to say the least. In addition, counties and municipalities throughout the state have different laws that also must be complied with prior to commencing any new development in the state.

Broward County Subdivision and Land Development Regulations

As noted above, Florida land development regulations on the state level are not the only rules applicable to land use planning in the state. For example, if you are planning a development in Ft. Lauderdale or Hollywood, you also need to make a thorough review of the Broward County subdivision and land development regulations prior to commencing any work. The county has a plethora of rules and regulations that must be complied with, from zoning and code enforcement to development and environmental review. Prior to commencing any new project in the area, you should consult with the real estate law attorneys at Loshak Law PLLC to assist you through the maze of land use planning and development regulations on both the state and local levels.

Land Use Planning and Development Regulations

Land Use Planning is just one piece of the larger land development regulations pie. Land use planning usually plays a more important role in development in more urban areas (such as Broward County) than in the more rural areas of the state. In urban areas, land use planning assists with an extra focus on issues presented in the urbanized environment. Examples of such issues include access to energy, urban transportation, open spaces for parks and playgrounds, waste disposal and limiting all forms of pollution as much as possible. Being fully aware of how all land use planning regulations will affect a planned development is essential to getting a complete and accurate assessment of what the total cost of the project will be in the end.

Your Land Use Planning Attorney

Before breaking ground on any new development, be sure you are fully knowledgeable and up to date on all Florida land development regulations – both state and local – that pertain to your proposed development. Know what to expect and be prepared to deal with it. Being prepared begins with a consultation with the real estate legal attorneys at Loshak Law PLLC. We are a premier law firm with the experience to solve all your complex real estate and business issues. Contact us today for a free consultation by phone at 954-334-1122.

For millions of people, homeownership is the American Dream. Sadly, for many people, the American Dream can quickly become an American nightmare. It can happen if the market takes a downturn, your home turns out to be a “money pit,” or even a natural disaster can be the culprit (especially in Florida). For some Florida homeowners, however, lack of clear title not only creates headaches of epic proportions but also threatens their biggest financial investment. That’s why it’s important to get title insurance.

Simply put, title insurance is a policy that protects you from any unknown claims made to the ownership of your home. This basically means you won’t have to worry about losing your home if the last owner didn’t pay his or her taxes, or if an unpaid contractor put a lien on it. For that matter, you’ll also have some piece of mind if it turns out that there’s an easement on the property, or if someone related to a former owner now claims the house was sold without his or her permission.

Another benefit associated with this type of insurance is that you don’t need to make annual or quarterly payments. Instead, there is a one-time fee that varies based on several factors including the cost and location of your home, the type of policy you choose, and the extent of the coverage. Once you render payment, the insurance affords the specified protection as long as the property remains in your family.

Your payment will also be used to fund the title search conducted by the title insurance company during escrow. This comprehensive search is done to ensure that there aren’t any existing claims (such as those we noted above) on the home. Title insurance is then provided to ensure you’re covered in case the search didn’t identify any and all outstanding claims.

More likely than not, you will need a mortgage to finance your home. If this is the case, you’ll have to get what is known as a lender’s title insurance policy, which will cover the bank or lender in case their mortgage is invalidated or other “clouds” on title make the mortgage null & void. In other words, the policy may ensure that the lender is paid if you lose title to the home because of any existing issues when the home is purchased. However, title insurance won’t reimburse you for past payments made, including your down payment, and it doesn’t automatically allow you to stay in your new home.

Here at Loshak Law PLLC, our knowledgeable real estate attorneys highly recommend that you also buy an owner’s title policy. This type of policy covers you the home buyer, rather than the lender, and generally provides coverage “up to the purchase price of your home.” This means that the insurance company will pay up to the purchase price of the home (if required) to protect your ownership.

Another thing to keep in mind is that you have limited opportunities to buy title insurance. Generally, the best time to purchase a policy is at closing, which is mandatory if you are obtaining financing to make the purchase. Whether you’ll have to foot the bill for both the lender’s policy and the owner’s policy depends on applicable laws and practices. In any case, both policies generally go into effect on closing day.

Clearly, this is a basic introduction to title insurance. If you are considering buying a home in Miami, Fort Lauderdale, Palm Beach, or anywhere in South Florida, or are currently in the process of doing so and want to learn more about title insurance, related laws, and how they may affect you, contact us today.

Loshak Law PLLC is a full-service real estate law firm and title agent for Old Republic Title Insurance Company. Call us now at (954) 334-1122 to find out how we can facilitate all your Florida real estate transactions from start to finish.

You, the consummate real estate professional, are out there daily taking care of your clients. You’re perfecting offers for your buyers and negotiating the best price for your sellers, and navigating your MLS of choice. You’re pretty handy with RPR® (Realtors Property Resource).

On the other hand, you might not know these three real estate agency resources you should have on speed dial. Thankfully, you have Loshak Law PLLC on your side. Here are the three best realtor resources…

Realtor Resource #1: An Attorney

If you work in the distressed market, then you already know the value of having an experienced real estate attorney on speed dial. There are several other reasons that it’s a smart idea to work with an attorney.

First and foremost, you get all the benefits of a title company with the added benefit of having a legal professional on your side. While title companies are great as far as they go, you will often need to hire an outside attorney at some point during the closing process. Your client’s lender, for example, may want to double check that everything is in order. A real estate attorney can handle this easily. A title company may not be able to.

If you’re a commercial realtor, then you certainly will want to have an attorney on speed dial. From tax implications to multi-family tenant considerations, you’ll want someone with in-depth legal knowledge to act in your best interest.

Other benefits include quick and reliable closings and the added security that comes from working with a legal professional.

Realtor Resource #2: A Mortgage Broker

This real estate agent resource is especially important when working with first-time homebuyers. Sure, they may have sterling credit, but have they done any of the legwork to get a mortgage? Probably not. This is when having a mortgage broker becomes a lifesaver.

While you can often work directly with a bank to get your clients approved for a mortgage, mortgage brokers are usually a smarter choice. They work with multiple banks and other lenders to make sure your client is able to get the lowest interest rates. They’re also knowledgeable about any specific loan programs your clients might qualify for. Veterans in Florida can often secure larger loans with smaller APR, for example.

Mortgage brokers also have access to an extensive network of lenders. If you have a client with bad credit, or no credit, a broker may be able to find them a willing lender.

Realtor Resource #3: A General Contractor

Then there is the general contractor. Contractors may not seem important at first, but what happens when you have a seller with the perfect location and a less than perfect property? You could search around for roofers, electricians, plumbers, and painters. You could also negotiate with them for a decent price. Meanwhile, you’re letting valuable time pass by. Having a general contractor on speed dial will save you time, money, and the headache of searching around for individual workers.

Another benefit of having a general contractor you trust is if something happens during the selling process. Florida is notorious for its long hurricane season. You don’t want any unforeseen damage to your seller’s property to stop their sale in its tracks.

Make Loshak Law PLLC Your Go-To Real Estate Law Firm

With nearly two decades of combined experience, Loshak Law PLLC is your go-to real estate law firm. Combining all the services of a title company with the legal expertise of attorneys, we can help you close as efficiently as possible. Contact us today at (954) 334-1122 to get started.

Have you heard about Regulation Best Interest? It’s a new rule from the SEC (Securities and Exchange Commission) which tightens regulations for real estate brokers, among many other investment professionals. While this “Best Interest Rule” is unlikely to affect the average homebuyer or seller, it certainly highlights the importance of real estate attorneys. In fact, there are a lot of reasons that it’s a smart idea to have an attorney when buying or selling property. Here are the top three benefits of hiring a real estate attorney.

It Is Extremely Cost Effective

It might seem counterintuitive, but one major real estate lawyer benefit is that you save time and money. Real estate attorneys can help you review – and more importantly, understand – all the legal language in your contract. They are also able to review home inspections and other disclosures that may be hiding critical information about the state of the property. This saves you time, unneeded stress, and protects you from signing a contract that may not be in your best financial interest.

Attorneys Can Prepare Complex Contracts

While buying or selling a single-family home is complicated, it pales in comparison to navigating complicated mixed-use land deals. Both of these are significantly simpler than anything involving a trust. What about an out of state 1031 exchange? What about land use and zoning? We could go on, but the point is clear – one major benefit of working with a real estate attorney is that they have experience preparing complex contracts.

You Can Expect an Expedited Closing

No closing happens overnight, but a real estate attorney is often able to streamline the entire process and help you close faster. Wouldn’t you rather see your deal closed than languishing in escrow? Real estate lawyers help you prepare closing paperwork, transfer the property’s title, and pay any remaining costs. They can also help if you discover liens or other encumbrance against the property during the title search process.

Other Real Estate Lawyer Benefits

The three benefits of working with a real estate attorney above are far from all you can expect when you get professional legal help. Having an attorney on your side when buying or selling property helps in numerous ways. Other real estate lawyer benefits include:

A sense of security – Attorneys know the law better than anyone. You can feel safe and secure that your interests are protected when making a real estate transaction with an attorney.
Modifying a loan – Real estate attorneys can help if you’re buying property and need to modify the terms and conditions of your loan. If you’re selling, an attorney can help your seller modify their loan.
Making sure the property is appropriately insured – From homeowners insurance to commercial property insurance, you want to be sure that all the proper insurance policies are in place.

Need A Real Estate Attorney? Call Loshak Law PLLC!

Now that you know the top three benefits of hiring a real estate attorney, it’s time you contacted Loshak Law PLLC. Our unwavering commitment to our clients has made us one of Florida’s premier real estate law firms. Contact us today at (954) 334-1122 to see for yourself.

When it comes to using trusts to purchase Florida property, there’s definitely a lot to consider. What kinds of trusts can be used? Does it help avoid probate? What are the tax implications? In short, what are the advantages and disadvantages of trusts and is it worthwhile?

Let’s tackle the last question first. Is it worthwhile? The answer is – there is no simple, universal answer. Whether this is worthwhile for you depends on your specific circumstances. Therefore, it is important to consult with legal and financial advisors before pursuing this option.

Having said that, there are several pros and cons worth thinking about that we can summarize here. In general, the advantages of using trusts for this purpose are:

The ability to maintain your privacy — By purchasing the property in the name of a trust, you do not have to divulge any information about your beneficiaries. You’ll also be able to protect your own identity because the only name that appears on the title to the property is the trustee’s.
The ability to avoid judgments and liens — This is because liens or judgments made against any beneficiary in the trust do not affect the trust itself. In other words, even if the lien stems from back taxes, it is not linked to the trust, as it would with an individual owner.
The ability to avoid probate – Probate applies only to property passed to heirs through wills or joint tenancies. Because it does not apply to trusts, there is no need for the court to decide who takes control of the property – and this, in turn, can save time and legal costs.

There are also some general disadvantages. These are:

Tax implications — Trusts are subject to higher tax rates, sometimes as much as 40 percent. To make matters worse, trusts are also subject to the highest possible inclusion rate. That means if the property is sold, two-thirds of the net gain must be included in the taxable income of the trust for that year. On the other hand, the inclusion rate for individuals is less than 50%.
Lack of Control – Because the trust legally owns the property and the trustees have the power to administer it, the founder may not have as much control as he or she would like.

Of course, this is largely contingent on what type of trust you use to make the purchase. The two most common types are revocable living trusts and Florida land trusts, which are both legal mechanisms for the purchase, ownership, and transfer of real estate.

Then there’s the Real Estate Investment Trust (REIT). This type of trust is actually a “corporate entity” that is specifically created in order to make certain real estate investments. These investments in “income producing” real estate are designed to lessen or eradicate corporate income. In exchange, the REIT passes the bulk of its income to its investors. Because there are different subsets of REIT with their own advantages and disadvantages, it is crucial to consult with an experienced real estate attorney before pursuing this option.

For more information about all of these possibilities and to learn which, if any is best for you, contact Loshak Law PLLC today. One of our knowledgeable Estate Planning attorneys will be happy to speak with you and let you know how we can help.

Category: Real Estate