Buying a Home in the Florida Keys

As a real estate agent, I can tell you that buying a home in the Florida Keys is a unique and exciting experience. The Florida Keys is a chain of islands that stretches over 120 miles.  The Florida Keys is known for its laid-back lifestyle, with a strong emphasis on outdoor living. You’ll have access to world-class fishing, snorkeling, and diving, as well as kayaking, boating, and other water sports.

Location

When buying a home in the Florida Keys, one of the first things you will want to consider is the specific location within the Florida Keys you desire.  There are several different island in the Florida Keys and each one is unique.  One of the best ways to figure out where in the Florida Keys you want to buy a home is by driving through each one of the islands.  Certain islands offer more amenities than others, while some islands provide superior access to the water.

Properties

As you embark on the journey of buying a home in the Florida Keys, you will immediately take note of the diverse range of properties available for purchase. The Florida Keys offer a mix of property types, ranging from quaint waterfront condos to oceanfront estates. One unique feature of the area is that homes of different types and values can be found on the same street. For instance, it’s not uncommon to see a brand new construction home situated right next to a mobile home, or a duplex located within a row of single-family homes.

Hurricanes and Insurance

However, there are some important considerations to keep in mind when buying a home in the Florida Keys. Due to the area’s location, it is at risk of hurricanes and flooding. It’s essential to purchase property insurance that covers these risks and have a plan in place in case of an emergency.  If getting a mortgage on a property in the Florida Keys, you will need to have three types of insurance policies; Flood, Wind and Homeowners.  The cost of the insurances will vary depending on the house.  However, insurance companies like to give mitigation discounts to owners who have impact windows and doors, metal roof and who are above flood.

The cost of homes in the Florida Keys can be higher than other parts of the country due to its popularity as a tourist destination and lack of land.  Many first-time keys buyers are taken back by the value they receive for their money when they first start house shopping.  However, many residents find that the benefits of living in this beautiful location more than make up for the higher costs.

Overall, buying a home in the Florida Keys offers a unique opportunity to live in a beautiful, tropical location with a strong sense of community and endless outdoor activities. As a real estate agent, I would be happy to guide you through the process and help you find your dream home in this stunning area.

Related Blog Post – 8 Things you Need to Know BEFORE you Buy a Home in the Florida Keys

Buying a home in the Florida Keys with a Downstairs Enclosure? 

If you answered yes, then you are going to want to know about this crucial information if the home you are buying has a downstairs enclosure.

Ordinance No. 026-2022. – Enclosures

Monroe County passed Ordinance No. 026-2022.  A copy of the the full ordinance can be found here.

The county has recently enacted an ordinance mandating inspections of enclosed spaces below elevated residential structures, which must be completed before the transfer of ownership. This regulation applies to enclosed areas that were constructed on or after June 15, 1973. Specifically, the seller is responsible for arranging the required inspection.The inspection must take place no earlier than 180 days before the property is transferred.

How do you order an inspection for a Downstairs Enclosure?

As long as the ordinance remains in place, it is presently unfeasible for anyone to adhere to it.  

At present, there is no means of requesting one of these inspections. There has also been no determination of the associated cost. The County is still uncertain about the specific format these inspections will take. As well as the timeline for scheduling, conducting, and reporting the results. It is unclear whether the County will mandate a current Elevation Certificate for the property.  In addition, if they will ask for and/or approved building plans before proceeding with the inspection. Numerous downstairs enclosures that comply with existing regulations may become non-compliant once the new Flood Elevations and Flood Zones take effect.

Penalties

Under the Ordinance, buyers have the option to pursue substantial penalties against sellers if they fail to comply with the regulations. Even though sellers are currently unable to comply, this does not necessarily prevent buyers from making a claim in the future if the County discovers that the property is not in compliance. The Ordinance does not prevent the County from mandating property owners to bring their property into compliance following these inspections. However, the purpose of these inspections, as stated in the Ordinance, is to document properties that are not in compliance and to enforce compliance when a permit application is submitted for the property.

That determination will apparently be made by someone with authority on a case by case basis so we will have to see how the County will administer their options. 

In the next 3-4 weeks we should have more information as to how the County will implement this ordinance.

Buying a home in the Florida Keys –Update

1. The Commission passed a resolution stating that lawsuits against sellers for failure of receiving an inspection under the prior and current ordinance are barred for failure of the county to provide inspections.  In the resolution the county agreed that having an inspection available was a condition precedent to filing suit.
2. The Commission directed staff to workshop with the real estate industry to explore revisions to the ordinance, to arrive at solutions to the various issues discussed.  The process is to be completed by September.

Also Read these Posts

– Understanding Downstairs Enclousures

– Florida Keys Building – Downstairs Enclosures

You might also want to check out :

 – What you Need to Know about Flood Maps

If your thinking about buying a home in the Florida Keys, be sure to check out our main Buying Page for some really great information!

You can also Contact Us with any of your buying questions.  We would love to hear from you.

A Milestone Structural Inspection has two key phases

Phase 1 – the inspection involves a visual assessment of both habitable and uninhabitable areas of the building. The examiner is required to provide a qualitative evaluation of the building’s structural condition, which must be completed within 180 days of receiving written notice from the local enforcement agency.

Phase 2 – The second phase of the inspection will only be conducted if the examiner identifies significant structural decay during Phase One.

Once Phase One or Phase Two is finished, the inspector is required to provide a sealed inspection report to both the condominium association and the relevant local government building official.  In addition, they must include a summary of the significant findings and recommendations.

The condominium or cooperative association must distribute the examiner’s summary of the inspection report to every unit owner.  The report must be handed out regardless of the report’s findings or recommendations. They should do this via mail, personal delivery, and electronic transmission. Additionally, the association must display a copy of the summary in an obvious location on the property of the condominium or cooperative.

Associations are also responsible for all expenses related to carrying out the Milestone Structural Inspections, as well as being accountable for all aspects of the inspections.

MILESTONE INSPECTION REPORT SUMMARY: -This is the document the Buyer will be entitled to BEFORE the sale of the property.

MILESTONE INSPECTION REPORT SUMMARY: Pursuant to Section 718.503(2)(a)(5), F.S., Buyer who has entered into this Contract is entitled, at Seller’s expense, to receive from Seller, before the sale of the Property, a copy of the inspector-prepared summary of the milestone inspection report, as described in Sections 553.899 and 718.301(4)(p), Florida Statutes, if (1) applicable and (2) the summary has been submitted to the Association.

Structural Integrity Reserve Study

Associations must conduct a Structural Integrity Reserve Study every 10 years for buildings that are three stories or taller, in addition to Milestone Structural Inspections.

The first study must be finished before December 31, 2024.

A Structural Integrity Reserve Study is an assessment of the reserve funds needed for significant future repairs and replacements of common areas. This evaluation is based on a visual inspection of the common areas.

During the Structural Integrity Reserve Study, the association must assess the estimated remaining useful life and replacement cost of the following components:

Roof

Load bearing walls or primary structural members

Floor Foundation

Fireproofing and fire protection systems

Plumbing

Electrical systems

Waterproofing and exterior painting

Windows

Any other item with deferred maintenance expense or replacement cost over $10,000, whose neglect negatively impacts the above-listed items.

The Structural Integrity Reserve Studies must be retained for a minimum of 15 years following the completion of the study.

STRUCTURAL INTEGRITY RESERVE STUDY: Buyer is entitled to the SIRS or statement that SIRS has not been completed if the association is required to complete a SIRS.

STRUCTURAL INTEGRITY RESERVE STUDY: Pursuant to Section 718.503(2)(a)(6), F.S., Buyer who has entered into this Contract is entitled, at Seller’s expense, to receive from Seller, before the sale of the Property, a copy of the Association’s most recent structural integrity reserve study or a statement that the Association has not completed a structural integrity reserve study.

What is the impact of the two reports in the Florida Keys?

Not many of these reports exist now.

Associations are responsible to arrange for and absorb the cost of the inspections and preparation of reports.

Between now and 12/31/2024 – likely to see an increase in special assessments as associations begin to conduct inspections and identify necessary repairs, especially where the association has inadequate reserves and/or has been lax about maintenance.

Increases in quarterly/monthly maintenance assessments as associations budget for necessary repairs and attempt to rebuild reserves.

Some associations may have these reports now and if they do, the Buyer is entitled to them. Some have received written notice from the local enforcement agency.

Alerts the Buyer that at some point the condo they are buying may be part of an association which needs to obtain these 2 documents.

Conclusion 

Florida Keys condos can be a joy to own, just make sure you understand the associastion you are joining.

PRUMO & CARDEN TEAM

Amy’s success as a Florida Keys Elite Agent and Diamond Award Winner is truly awe-inspiring. With over 13 years of experience in the real estate industry, she has cemented her position as a trailblazer and pioneer. Her unwavering commitment to excellence is reflected in her impressive academic credentials, which include a Master’s Degree in Marketing and Management. Amy’s marketing programs are simply unmatched, ensuring that your property is showcased to the widest audience of potential buyers, thus guaranteeing maximum exposure.

The Florida Homestead Exemption is a property tax break that’s offered based on your home’s value. Exemptions reduce the assessed value of your property, thereby reducing the amount of property tax you pay.

To qualify for the homestead exemption you must be the owner of the property, the home must be your primary residence, you must have lived at the property on January 1 of the tax year and the property may not have been rented for more than 30 days in a given calendar year.

In the state of Florida, a $25,000 exemption is applied to the first $50,000 of your property’s assessed value if your property is your permanent residence and you owned the property on January 1 of the tax year. This exemption applies to all taxes, including school district taxes. An additional exemption of up to $25,000 will be applied if your property’s assessed value is between at least $50,000 and $75,000.

What Documents Do I Need?

• A Florida driver’s license or state ID
• A Florida vehicle registration number
• A Florida voter’s ID
• Proof of previous residency in a place other than Florida, plus proof that that residency has ended
• The name of your current employer
• A bank statement, plus a mailing address for a checking account
• Proof of payment of utilities at the homestead address

Do I need to reapply for a homestead exemption every year?

No. The Homestead exemption will renew annually as long as you continue to qualify for the exemption.

You must contact the appraiser office if you no longer qualify for the exemption.

Change in Status

– The property is being rented

– The Property is no longer your permanent residence,

• There is a change in ownership due to a sale, marriage, divorce, death.

Failure to notify the appraiser could result in a homestead tax lien with a substantial penalty and interest.

Prumo & Carden

Amy’s success as a Florida Keys Elite Agent and Diamond Award Winner is truly awe-inspiring. With over a decade of experience in the real estate industry, she has cemented her position as a trailblazer and pioneer. Her unwavering commitment to excellence is reflected in her impressive academic credentials, which include a Master’s Degree in Marketing and Management. Amy’s marketing programs are simply unmatched, ensuring that your property is showcased to the widest audience of potential buyers, thus guaranteeing maximum exposure.

For More Information on the Homestead Exemption Contact the Monroe County Property Appraiser Office.

Monroe County Property Appraiser

Where does sewage go in the Florida Keys?

Curious about where the sewage goes in the Florida Keys?  Today we will focus on the lower keys central sewage system.  This includes areas like: Big Pine Key, Little Torch, Summerland, Ramrod.

LOWER KEYS CENTRAL SEWAGE SYSTEM

CUDJOE REGIONAL WASTEWATER SERVICE AREA

The Cudjoe Regional Wastewater Service Area (CRWSA) covers 56 square miles, 23 square miles of which is occupied land surface stretching across 8 unique Keys, which boast some of the most pristine waters in the United States. Service extends along the Overseas Highway from mile marker (MM) 17 on Lower Sugarloaf Key to MM 33 in Big Pine Key. The service area includes 18,055 total parcels of which less than half can be developed. Currently, there are 8,200 developed parcels in the regional service area and 40 developed parcels in “Cold Spot” areas. FKAA owns and services 6,894 water meters, serving approximately 8,200 units (units are individual service destinations), in the CRWSA, or about 8,700 equivalent dwelling units (EDUs). The Advanced Water Reclamation Facility (AWRF) is located on Cudjoe Key on 3 acres of dedicated property owned by Monroe County. It is permitted to treat, on average, 0.94 million gallons of wastewater daily allowing for the removal of an estimated 700 tons of primary pollutants and 115 tons of nutrients from the outstanding Florida Waters annually.

SYSTEM DESIGN:

The primary conveyance system to move wastewater from the outlying Keys to the AWRF is 17 miles long, crosses 10 bridges including a directional drill under Niles Channel, requiring 6 primary pumping stations located on Lower Sugarloaf Key, Upper Sugarloaf Key, Summerland Key, Ramrod Key and 2 on Big Pine Key. The wastewater collection system serving the Regional Service Area is composed of 130 miles of pipeline exclusive of the Transmission System. The wastewater collection system is divided into 2 areas, the Inner Islands: Cudjoe, Upper Sugarloaf and Summerland and the Outer Islands: Lower Sugarloaf, Ramrod, Little Torch and Big Pine.

SERVICE CONNECTION TYPES:

CRWSA is using multiple technologies to efficiently contend with the diverse conditions of the service area. The type of sewer and service connection for each area is determined by a number of factors including density of homes, distance from main sewer lines and environmental sensitivity. Based on these factors the sewer type will require either a gravity connection or a low pressure sewer connection.

To determine the type of sewer connection for an individual property access,

https://www.fkaa.com/260/Cudjoe-Regional-Wastewater

Click on Overview to access the overall Service Type Map and Project Areas for specific Keys.

GRAVITY CONNECTION:

Requires the homeowner to extend a 4-inch PVC pipe from the wastewater connection point provided by the FKAA at the property line. 2 LOW PRESSURE PUMP STATION CONNECTION: Requires the homeowner to extend a 4-inch PVC pipe from the house to the grinder pump installed by FKAA in the owner selected location. In addition, the homeowner is responsible for making the electrical connection from the house electric box to the nearby pump control panel disconnect. The grinder pump, control panel, disconnect and discharge pipes connecting to the main sewer lines in the street will be installed by the FKAA. An Easement Agreement from the homeowner is required so that FKAA can install the apparatus in the owner-selected location.

More Information – FKAA

ON-SITE WASTEWATER NUTRIENT REMOVAL SYSTEMS (OWNRS)

Following an extensive exercise conducted to maximize the environmental benefits of the CRWSA project, FKAA has expanded the original service area to include additional parcels. These parcels are being served by on-site treatment centers which will significantly reduce environmental pollutants. These 40 “Cold Spot” parcels will be served on an optional basis. The decision of which is up to the respective landowner

VACANT LAND:

FKAA has not stubbed in connection points to undeveloped property. For information on a particular property, call Stephanie Bruno at FKAA, 305.745.3991.

ASSESSMENT:

The County Commission set the original wastewater assessment at $4,500 per residence, effective August 2012. Payment could be made in full or levied on the tax bill over a 20-year period. Non-residential properties will be assessed based on water consumption.

MONTHLY RATES & FEES: 

To access click on Overview, FKAA Monthly Rates, Fees & Charges.

CONTACT INFORMATION:

Connection, Easement & General Project Information contact Stephanie Bruno at 305.745.3991, email [email protected].

Wastewater payoff amount  – 305.292.4426.

Monthly Billing and FKAA Customer Service contact Customer Service 305.296.2454.