Florida Real Estate Glossary: 392 Terms Every Buyer and Seller Should Know

Florida Real Estate Glossary

From the AS IS contract and doc stamps to riparian rights, SIRS reports, wind mitigation, and the new 2026 homestead rules, this is a plain-English guide to the words you'll hear when buying or selling property in Florida.

By Bob McCranie, HomeSmart · Serving Orlando & Central Florida · 972-754-0582 · bobmccranie@gmail.com

Florida real estate has its own vocabulary. The state has unique contract forms, a constitutional homestead system, hurricane-driven insurance rules, condo safety laws passed after Surfside, and water and shoreline rights tied to its thousands of lakes and miles of coastline. Whether you're buying your first home in Orlando, moving up in Winter Park, buying a condo, or investing near the theme parks, knowing these terms helps you ask better questions and avoid costly surprises.

24Years in Real Estate

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392Florida Terms Defined

Important: I am not an attorney

Bob McCranie is a licensed real estate professional with HomeSmart, not an attorney, and this glossary is not legal, tax, or insurance advice. These definitions are general summaries for educational purposes. Florida statutes, court decisions, and contract forms change, and how a law applies depends on the facts of your situation. Please consult a Florida-licensed real estate attorney for further explanation of any term, document, or legal question, and consult a CPA or tax advisor about taxes and a licensed insurance agent about coverage. Information is believed accurate as of November 2026.

Buying & Selling Process

The everyday vocabulary of a Florida transaction, from the first showing to the keys.

Active Under Contract (AUC): A Stellar MLS status meaning the seller has accepted an offer but the contract still has open contingencies (inspection, financing, appraisal, etc.). The home may still accept back-up offers. Once contingencies are cleared, the status typically changes to Pending.
Appraisal Gap: The difference between the contract price and a lower appraised value. In a competitive Florida market, buyers sometimes agree in writing to cover part or all of the gap in cash. See what happens when an appraisal comes in low.
Back-Up Offer: A second, fully negotiated contract that moves into first position only if the primary contract terminates. Florida Realtors offers a Back-up Contract rider for this purpose.
Business Day vs. Calendar Day: Florida Realtors/Florida Bar contracts count time in calendar days, but a deadline that lands on a Saturday, Sunday, or national legal holiday rolls to 5:00 p.m. (local time) on the next business day. Missing a deadline can cost a buyer their deposit or a seller their protections.
Buyer Broker Agreement: A written agreement between a buyer and their brokerage that spells out services and how (and how much) the brokerage is paid. Since the national practice changes of August 2024, MLS participants working with a buyer generally need a written agreement before touring homes. Compensation is always negotiable.
Closing Date: The date the deed and funds change hands and the transaction is recorded. In Florida, closings are handled by a title company or a real estate attorney acting as closing agent.
Comparative Market Analysis (CMA): An agent's estimate of value based on recent sales, active competition, and expired listings near the subject home. It is not an appraisal. Request a free home valuation.
Contingency: A condition that must be satisfied for the contract to proceed, such as inspection, financing, appraisal, or the sale of the buyer's current home. Learn more about buyer offer contingencies.
Counteroffer: A response to an offer that changes one or more terms. A counteroffer legally rejects the original offer and becomes a new offer the other side can accept, reject, or counter.
Days on Market (DOM / CDOM): DOM counts days a specific listing has been active; Cumulative Days on Market (CDOM) tracks the property across relistings. Buyers use it to gauge negotiating room. See how long homes take to sell.
Effective Date: Under Florida Realtors/Florida Bar contracts, the date the last party signs or initials the final offer or counteroffer and it is delivered. Nearly every deadline in the contract runs from this date.
Escrow Deposit (Earnest Money): The good-faith deposit a buyer places with an escrow agent (title company, attorney, or broker). On the standard Florida contracts the initial deposit is commonly due within 3 days after the Effective Date unless otherwise agreed.
Exclusive Right of Sale Listing: The most common Florida listing agreement. The listing brokerage earns its agreed fee no matter who procures the buyer during the listing term, including the owner.
Exclusive Agency Listing: A listing in which the seller owes the brokerage a fee if any agent sells the home, but not if the owner finds the buyer personally.
Final Walk-Through: The buyer's last look at the property shortly before closing to confirm its condition, agreed repairs, and that included items remain. The Florida contracts give the buyer this right.
Highest and Best: A request, usually during multiple offers, for every buyer to submit their strongest terms by a deadline. See handling multiple offers.
Inclusions and Exclusions: The contract sections listing what personal property and fixtures stay (refrigerator, washer, window treatments, pool equipment) and what goes. Read what stays and what goes.
Lockbox / Showing Service: The electronic key box and appointment system that let licensed agents show a listed home. Sellers set access instructions and showing windows.
Multiple Offers: When two or more buyers submit offers at the same time. Sellers may respond to one, counter several, or call for highest and best.
Pre-Listing Inspection: A seller-ordered inspection before going on the market so issues (roof, four-point items, WDO) can be fixed or disclosed up front, reducing renegotiation later.
Sale of Buyer's Property Contingency: A rider making the purchase contingent on the buyer selling or closing on their current home by a set date. Sellers often pair it with a kick-out right to keep marketing. See coordinating a sale and purchase.
Seller Concessions: Money or credits a seller gives the buyer, usually toward closing costs, rate buydowns, or repairs. Lenders cap how much can be credited. See negotiating concessions.
Staging: Preparing and furnishing a home so it shows and photographs well. Read should you stage your home.
Stellar MLS: The Multiple Listing Service serving Orlando and much of Central and West Florida. Listings here syndicate to most consumer real estate sites. Browse Orlando listings.
Time Is of the Essence: Contract language making every deadline strictly enforceable. In Florida, a missed inspection or financing deadline can waive the buyer's right to cancel and protect their deposit.

Contracts, Riders & Disclosures

Florida has specific contract forms, required disclosures, and a court-made duty to disclose that every buyer and seller should understand.

Florida Realtors/Florida Bar Contract (FR/BAR): The standard residential purchase contract jointly approved by Florida Realtors and The Florida Bar. It comes in a Standard version (with repair limits) and an AS IS version.
AS IS Residential Contract: The FR/BAR version in which the seller has no repair obligation. The buyer may still inspect and cancel in their sole discretion during the Inspection Period. It is the most widely used Florida contract.
Inspection Period: The number of days the buyer has to complete inspections. Under the AS IS contract, a buyer who cancels in writing within this period generally gets their deposit back. A 15-day period is common if the blank is left empty.
Repair Limits (Standard Contract): In the Standard FR/BAR contract, caps on the seller's obligation for general repairs, wood-destroying-organism repairs, and permit-related work, each expressed as a percentage of the price (1.5% is the preprinted default if left blank).
Comprehensive Rider: A package of optional add-on riders to the FR/BAR contract, covering topics such as condominium, HOA, seller financing, mortgage assumption, FHA/VA, appraisal contingency, short sale, back-up contract, sale of buyer's property, and occupancy before or after closing.
Condominium Rider: The rider used when buying a condo. It addresses association approval, the buyer's statutory right to cancel after receiving the condominium documents, special assessments, and estoppel information.
Homeowners' Association/Community Disclosure Rider: The rider used when the property is in a mandatory HOA, integrating the statutory HOA disclosure summary and association approval terms into the contract.
Appraisal Contingency Rider: A rider letting the buyer cancel, renegotiate, or proceed if the property appraises below the price. Without it, a financed buyer may be relying only on the loan contingency.
Loan Approval Period (Financing Contingency): The window for a financed buyer to obtain loan approval. If the buyer gives timely written notice that approval was not obtained, the deposit is generally protected. Thirty days is a common default.
Pre- and Post-Closing Occupancy: Riders allowing a buyer to move in before closing or a seller to stay after closing, addressing rent, deposits, insurance, and liability.
Risk of Loss (Casualty): The contract section covering damage before closing, which matters in hurricane season. Under the FR/BAR contracts, if repair costs are at or below 1.5% of the price, the seller generally restores the property; above that, the buyer may cancel or accept the home with the insurance proceeds.
Force Majeure: Contract language extending deadlines when events beyond a party's control, such as a hurricane, prevent performance. Under the FR/BAR contracts, extensions are limited, after which either party may terminate.
Default and Liquidated Damages: If a buyer defaults under the FR/BAR contracts, the seller may typically keep the deposit as agreed liquidated damages. If a seller defaults, the buyer may seek a refund or specific performance.
Specific Performance: A court order requiring a party to complete the sale as agreed, rather than paying money damages.
Johnson v. Davis: The 1985 Florida Supreme Court decision holding that a seller of a home must disclose known facts that materially affect its value and are not readily observable to the buyer. It is the foundation of Florida's seller disclosure duty. See required seller disclosures in Florida.
Material Fact / Latent Defect: A latent defect is a hidden problem not discoverable through ordinary inspection, such as a past roof leak behind new drywall. Known latent defects that materially affect value must be disclosed in Florida residential sales.
Seller's Property Disclosure: A Florida Realtors form on which a seller reports known conditions (roof, plumbing, flooding, sinkholes, permits, HOA matters). It is not legally mandatory, but it helps the seller meet the Johnson v. Davis duty. Read what Florida sellers must disclose.
Flood Disclosure (Section 689.302): Since October 1, 2025, Florida sellers of residential property must give buyers a written flood disclosure at or before contract signing, stating whether they have filed a flood insurance claim, received federal flood assistance such as FEMA aid, or know of flood damage to the property.
Radon Gas Disclosure: Florida Statute 404.056 requires specific radon notification language in contracts for buildings. Radon is a naturally occurring radioactive gas that can build up indoors; testing is available.
Property Tax Disclosure Summary: Required by Section 689.261, this statement warns buyers not to rely on the seller's current tax bill, because a sale can trigger reassessment and higher taxes.
Energy-Efficiency Rating Disclosure: Florida Statute 553.996 requires that buyers receive information about their option to obtain an energy-efficiency rating on the home, typically provided with the contract.
Lead-Based Paint Disclosure: A federal requirement for homes built before 1978. Sellers must disclose known lead-based paint hazards and give buyers a pamphlet and an opportunity to test.
HOA Disclosure Summary (Section 720.401): A statutory summary required when selling in a mandatory HOA. If not provided before the contract is signed, the buyer may void the contract within 3 days after receiving it or before closing, whichever comes first.
CDD Disclosure: Section 190.048 requires contracts for property in a Community Development District to include a bold disclosure that the property is subject to CDD taxes or assessments.
Coastal Construction Control Line (CCCL) Disclosure: Section 161.57 requires a seller to disclose if the property is partially or totally seaward of the Coastal Construction Control Line. See Cocoa Beach homes for examples of beachside properties.
Sinkhole Claim Disclosure: Under Section 627.7073, if an insurer paid a sinkhole claim and the proceeds were not used to fully repair the home, the seller must disclose that to the buyer.
Stigmatized Property (Section 689.25): Florida law states that a death, homicide, or suicide on a property, or that an occupant had HIV/AIDS, is not a material fact that must be disclosed in a sale.
Foreign Principal Affidavit (Chapter 692): A 2023 Florida law restricts certain individuals and entities tied to designated countries of concern from acquiring agricultural land or land near military installations and critical infrastructure. Buyers sign an affidavit at closing. Parts of the law have been the subject of litigation, so confirm current requirements with an attorney.
Addendum: A document added to a contract to change or supplement its terms after (or at the time of) signing. Both parties must sign it.

Agency, Licensing & Brokerage

Florida's brokerage-relationship rules are unique. Here's who represents whom.

Florida Real Estate Commission (FREC): The seven-member state board that licenses and disciplines real estate brokers and sales associates and writes the rules they practice under.
Department of Business and Professional Regulation (DBPR): The state agency that houses FREC, the Division of Florida Condominiums, Timeshares, and Mobile Homes, and vacation-rental licensing.
Chapter 475, Florida Statutes: The real estate license law governing brokers, sales associates, escrow handling, advertising, and brokerage relationships.
Transaction Broker: The default relationship in Florida. A transaction broker gives limited representation to a buyer, seller, or both: honest dealing, accounting for funds, skill and care, disclosure of known material facts, and confidentiality, but not undivided loyalty.
Single Agent: A broker who represents only one party with full fiduciary duties: loyalty, confidentiality, obedience, full disclosure, accounting, skill and care, and honest dealing. A written disclosure is required.
No Brokerage Relationship: When a licensee works with a customer without representing them, for example a seller's agent dealing with an unrepresented buyer. Duties are limited to honesty, disclosure of known material facts, and accounting for funds.
Consent to Transition to Transaction Broker: A signed notice that lets a single agent change to a transaction broker, commonly used when one brokerage ends up working with both the buyer and the seller.
Designated Sales Associate: A relationship allowed only in nonresidential transactions where buyer and seller each have assets of $1 million or more, so two associates in the same brokerage can each act as a single agent.
Sales Associate / Broker Associate / Broker: A sales associate works under a broker; a broker associate holds a broker license but works under another broker; a broker may own or manage a brokerage and hold escrow funds.
REALTOR®: A licensee who is a member of the National Association of REALTORS® and agrees to its Code of Ethics. Not every licensee is a REALTOR®.
Broker Compensation: The fee paid to a brokerage for its services, set by agreement and always negotiable. Florida does not set commission rates.
Broker Escrow Account: A trust account a broker uses to hold deposits. Under FREC rules, brokers generally must deposit escrow funds by the end of the third business day after receipt.

Title, Closing & Recording

How Florida verifies ownership, clears liens, and records the sale.

Title Insurance: A one-time premium policy protecting against covered defects in title that existed before you bought, such as forgery, unknown heirs, or recording errors.
Owner's Title Policy: Protects the buyer's equity for as long as they (or their heirs) own the property. In Central Florida counties such as Orange, Seminole, and Osceola, the seller customarily pays for it; in some South and Southwest Florida counties, such as Miami-Dade, Broward, and Sarasota, the buyer customarily does. Custom can be changed in the contract.
Lender's (Loan) Title Policy: Protects the mortgage lender's interest. It is typically paid by the buyer and issued simultaneously with the owner's policy at a reduced cost.
Promulgated Title Rates: Florida's Office of Insurance Regulation sets title insurance premium rates, so the base premium for a given price is the same from company to company. Closing fees, search fees, and endorsements can still vary.
Title Commitment: The title company's promise to insure, listing the proposed insured (Schedule A), what must happen before closing such as payoffs and signatures (requirements), and what the policy will not cover (exceptions).
Title Search: A review of the public records for deeds, mortgages, liens, judgments, and other matters affecting the property.
Chain of Title: The recorded history of ownership transfers. Gaps or errors create a cloud on title.
Cloud on Title: Any claim, lien, or document that impairs clear ownership, such as an unreleased mortgage or a missing heir's signature.
Quiet Title Action: A lawsuit to remove clouds and establish clear ownership, often used after tax deeds or estate problems.
Marketable Record Title Act (MRTA): Chapter 712 generally extinguishes many old claims and restrictions older than a 30-year root of title unless they have been preserved. It can affect very old deed restrictions.
Lien: A legal claim against property to secure a debt, such as a mortgage, tax lien, HOA lien, code-enforcement lien, or construction lien.
Municipal Lien Search: A search of city and county records for unpaid utilities, code violations, special assessments, and liens that may not appear in the official records. See due diligence on liens and violations.
Open Permit Search: A check for building permits that were never closed out or inspected. Open or expired permits can delay closing or leave a buyer responsible for unpermitted work.
Code Enforcement Lien: A lien recorded by a local government for unresolved code violations. Fines can accrue daily, so these must be cleared or negotiated before closing.
Lis Pendens: A recorded notice that a lawsuit affecting title, such as a foreclosure, is pending. It warns buyers and lenders that the property is in litigation.
Judgment Lien: A recorded court judgment that can attach to non-exempt real property the debtor owns in that county. Florida's constitutional homestead protection generally shields a qualifying homestead from most judgment creditors.
Construction Lien (Chapter 713): A lien that contractors, subcontractors, and suppliers can record for unpaid improvements. Florida's lien law is technical; owners should follow it carefully when remodeling.
Notice of Commencement: A recorded document required before most improvements over a set cost begin, identifying the owner, contractor, and lender. It starts the construction lien timeline.
Notice to Owner: A notice subcontractors and suppliers send to preserve their lien rights. Owners should get lien releases from anyone who sends one.
Seller's (Owner's) Affidavit: A sworn statement signed by the seller at closing about liens, possession, improvements, and parties in possession, relied on by the title insurer.
Survey: A drawing by a Florida-licensed surveyor showing boundaries, improvements, easements, encroachments, and often the flood zone. Lenders and title insurers may require one to remove survey exceptions.
Encroachment: An improvement such as a fence, pool deck, or shed that crosses onto a neighbor's property, an easement, or a setback.
Easement: A right for someone else to use part of your property for a specific purpose, such as utilities, drainage, or access (ingress and egress).
Restrictive Covenant (Deed Restriction): A recorded rule limiting how property may be used, such as minimum home size, fencing, or rentals. Many Florida subdivisions are governed by them.
Closing Agent: The title agent or attorney who prepares documents, collects and disburses funds, records the deed, and issues the title policy. Florida allows either to conduct closings.
Closing Disclosure (CD): The federal five-page form a financed buyer must receive at least 3 business days before closing, showing final loan terms and costs.
Settlement Statement: The itemized statement (often the ALTA form) of every debit and credit for buyer and seller at closing.
Prorations: Dividing ongoing costs between buyer and seller as of the closing date. Because Florida property taxes are paid in arrears, the seller usually credits the buyer for their share of the current year's taxes.
Collected (Good) Funds: Florida title rules require funds to be collected before disbursement, so large amounts are typically wired. Personal checks usually aren't accepted for down payments.
Wire Fraud: Criminals spoof emails from agents and title companies to redirect closing funds. Always verify wiring instructions by phone using a known number before sending money.
Remote Online Notarization (RON): Florida has authorized notarization by audio-video technology since 2020, enabling out-of-state and international parties to close remotely when the lender and title company permit.
Two-Witness Requirement: Florida deeds conveying real property must be signed in the presence of two subscribing witnesses, and since 2024 the witnesses' names and post office addresses must appear on the deed.
Official Records (Clerk of the Circuit Court): Each county's Clerk records deeds, mortgages, liens, and plats. Recording gives public notice of ownership and protects the buyer against later claims.
Payoff Letter: The lender's written statement of the exact amount needed to pay off a mortgage on a given date, used by the closing agent.
Satisfaction of Mortgage: The recorded document showing a mortgage has been paid in full and released.
FIRPTA: The Foreign Investment in Real Property Tax Act. When a foreign person sells U.S. real estate, the buyer generally must withhold a percentage of the gross price for the IRS unless an exception applies. See FIRPTA explained.
Power of Attorney: A document authorizing an agent to sign on someone's behalf. Florida has strict execution requirements, so title companies usually want to review a power of attorney well before closing.

Deeds, Ownership & Homestead Law

How title is held in Florida, and the constitutional homestead rules that make Florida different.

Warranty Deed: A deed in which the seller fully warrants title against all claims. It is the most common deed in Florida resale transactions.
Special Warranty Deed: A deed warranting title only against claims arising during the seller's ownership. It is common with builders, banks, and corporate sellers.
Quitclaim Deed: A deed transferring whatever interest the grantor has, with no warranties. Often used between family members or to clear title, rarely in arm's-length sales.
Personal Representative's Deed: A deed signed by the court-appointed personal representative of an estate to sell a deceased owner's property.
Trustee's Deed: A deed signed by a trustee conveying property held in a trust.
Lady Bird Deed (Enhanced Life Estate Deed): A Florida-recognized deed letting an owner keep full control during life, including the right to sell or mortgage without the beneficiaries' consent, while property passes to named beneficiaries at death without probate.
Life Estate / Remainderman: A life tenant owns the right to use the property for life; the remainderman receives it at the life tenant's death.
Tenancy by the Entirety: A form of ownership available only to married couples. Each spouse owns the whole, with survivorship, and the property is generally protected from creditors of only one spouse.
Joint Tenancy with Right of Survivorship: Co-ownership in which a deceased owner's share passes automatically to the surviving owner(s). In Florida, survivorship must be expressly stated in the deed.
Tenants in Common: Co-ownership with no survivorship. Each owner's share passes through their estate. This is the default for unmarried co-owners in Florida if the deed is silent.
Fee Simple: The most complete form of ownership, held forever and freely transferable.
Land Trust: A Florida trust under Section 689.073 in which a trustee holds legal title and beneficiaries keep control, sometimes used for privacy or estate planning.
Florida Homestead: A constitutional status giving a primary residence three separate protections: property tax benefits, protection from most creditors, and restrictions on how it can be left at death. The rules for each protection differ.
Homestead Devise Restrictions: If an owner is survived by a spouse or minor child, Florida law restricts leaving the homestead by will to others. Improper planning can unravel an estate plan.
Spousal Joinder: A married owner generally cannot sell or mortgage a Florida homestead without the spouse's signature, even if the spouse is not on the deed.
Legal Description: The precise identification of a parcel, often by lot, block, and plat book and page, or by metes and bounds.
Plat: A recorded map dividing land into lots, blocks, streets, and easements. Many Florida subdivisions were platted decades before homes were built.
Parcel ID Number: The unique number the county Property Appraiser assigns to each parcel for tax and records purposes.

Mortgages & Financing

Loan terms you'll see when financing a Florida home, condo, or investment property.

Pre-Qualification: A lender's informal estimate of what you may borrow, based on information you provide. It carries less weight with sellers than a pre-approval.
Pre-Approval: A conditional commitment issued after the lender reviews income, assets, and credit. Most Florida listing agents expect one with an offer.
Loan Estimate: The federal three-page form a lender must provide within 3 business days of a loan application, showing estimated rate, payment, and closing costs.
Conventional Loan: A mortgage not insured by a government agency, usually sold to Fannie Mae or Freddie Mac. Loans above the conforming limit are jumbo loans.
Jumbo Loan: A loan larger than the conforming limit, common in Central Florida luxury homes, often with stricter reserve and credit requirements.
FHA Loan: A loan insured by the Federal Housing Administration, allowing low down payments. Condos generally must be on HUD's approved list or receive single-unit approval. Read why FHA/VA condo approval matters.
VA Loan: A loan guaranteed by the Department of Veterans Affairs for eligible service members, veterans, and some surviving spouses, often with no down payment.
USDA Rural Development Loan: A no-down-payment loan for eligible buyers in USDA-designated rural areas, which include some communities on the outskirts of the Orlando metro.
Non-Warrantable Condo: A condo that doesn't meet Fannie Mae/Freddie Mac guidelines, for example due to litigation, a high investor ratio, significant deferred maintenance, or critical repairs. Since the Surfside collapse, more Florida buildings fall into this category, limiting financing to portfolio or specialty lenders.
DSCR Loan: A Debt Service Coverage Ratio loan qualifies an investor based on the property's rental income rather than personal income. It is popular for Florida rentals.
Foreign National Loan: Financing for buyers without U.S. credit or residency, typically requiring larger down payments. See down payments for foreign national buyers.
Private Mortgage Insurance (PMI) / MIP: Insurance protecting the lender when the down payment is under 20% (PMI on conventional loans, MIP on FHA loans).
Escrow (Impound) Account: A lender-held account that collects monthly amounts for property taxes and insurance. Because Florida insurance premiums can change sharply, escrow payments are often adjusted at the annual analysis.
Escrow Shortage: When the escrow balance can't cover higher tax or insurance bills, the lender raises the monthly payment and/or asks the borrower to make up the difference.
Rate Lock: A lender's guarantee of an interest rate for a set period. Closing delays, such as during a hurricane binding moratorium, can require a lock extension.
Discount Points / Rate Buydown: Prepaid interest to lower the rate. Temporary buydowns (such as a 2-1 buydown) are common builder and seller incentives in Florida new construction.
Debt-to-Income Ratio (DTI): Monthly debt payments, including the new housing payment, divided by gross monthly income. Higher Florida insurance and HOA costs directly raise DTI. See how much house you can afford.
Loan-to-Value (LTV): The loan amount divided by the property's value or price, whichever is lower. It drives rate, PMI, and approval.
Assumable Mortgage: A loan (often FHA or VA) that a qualified buyer can take over at the seller's existing rate, with lender approval.
Seller Financing / Purchase-Money Mortgage: When the seller lends part of the purchase price and holds a mortgage on the property. Florida has disclosure and licensing rules for some seller-financed transactions.
Balloon Mortgage Legend: Florida Statute 697.05 requires balloon mortgages to carry a specific legend on the document disclosing the balloon payment.
Florida Housing Finance Corporation: The state's housing finance agency offering first-time buyer mortgages and down payment assistance through approved lenders.
Florida Hometown Heroes Program: A Florida Housing program offering down payment and closing cost help to eligible full-time workers. Funding opens and closes in rounds, so check current availability with a participating lender.
SHIP Program: The State Housing Initiatives Partnership funds local down payment and repair assistance administered by counties and cities, including Orange, Osceola, and Seminole counties. See affordable homes for sale.
Appraisal: A licensed appraiser's opinion of market value ordered by the lender. It protects the lender, and if the buyer has an appraisal contingency, the buyer too.
Proof of Funds: Bank or brokerage statements showing a buyer has the cash to close, required with cash offers.
Gift Letter: A signed letter from a family member stating that money given for a down payment is a gift, not a loan.
Reverse Mortgage (HECM): A federally insured loan for homeowners 62 and older that converts equity into income without monthly payments. A HECM for Purchase can be used to buy a Florida retirement home.
Mortgage Broker / Loan Originator: Florida licenses mortgage brokers, lenders, and loan originators under Chapter 494 through the Office of Financial Regulation.

Closing Costs & Transfer Taxes

Florida taxes the transfer of real estate and new mortgages. Here's what shows up on the settlement statement.

Documentary Stamp Tax on Deeds: Florida's transfer tax: $0.70 per $100 of consideration (rounded up) statewide. In Miami-Dade County the rate is $0.60 per $100, plus a $0.45 surtax on transfers of property other than single-family homes. In Central Florida, sellers customarily pay it.
Documentary Stamp Tax on Notes: Tax on a new promissory note at $0.35 per $100 of the loan amount, customarily paid by the buyer-borrower.
Intangible Tax on Mortgages: A one-time tax of 0.2% (2 mills) of the new mortgage amount, recorded with the mortgage and customarily paid by the buyer.
Recording Fees: County Clerk charges to record the deed, mortgage, and related documents, based on page count.
Closing Costs: All fees beyond the price, including title, doc stamps, lender fees, prepaid interest, insurance, escrows, HOA fees, and surveys. Read understanding Florida closing costs.
Customary Closing Costs: In Central Florida, sellers usually pay the owner's title policy, deed doc stamps, and their own payoff fees, while buyers pay lender costs, note stamps, intangible tax, and the lender's policy. Everything is negotiable in the contract.
Seller Net Sheet: An estimate of what a seller will receive after the payoff, commissions, taxes, and closing costs. See how much you'll net.
No State Income Tax: Florida has no personal state income tax, so gains on a home sale face only federal tax. It's a big reason people relocate to Florida.
Section 121 Exclusion: A federal rule allowing qualifying sellers to exclude up to $250,000 ($500,000 for married couples filing jointly) of gain on a primary residence owned and lived in for 2 of the last 5 years. See taxes when selling a Florida home.
1031 Exchange: A federal tax-deferral strategy letting investors sell investment property and buy like-kind property while deferring capital gains, using a qualified intermediary and strict deadlines.

Property Taxes & Exemptions

Florida property taxes are set locally but governed by the state constitution, and they changed significantly with the November 2026 election.

Ad Valorem Tax: Tax based on value. Florida's property taxes are ad valorem, levied by counties, cities, school boards, and special districts.
Property Appraiser: The elected county official who sets just, assessed, and taxable values each January 1 and administers exemptions such as homestead.
Tax Collector: The elected county official who mails tax bills (usually around November 1), collects payments, and runs the tax certificate sale.
Just Value (Market Value): The Property Appraiser's estimate of market value as of January 1, the starting point for all assessments.
Assessed Value: Just value after any assessment caps, such as Save Our Homes or the non-homestead cap, are applied.
Taxable Value: Assessed value minus exemptions. Millage rates are applied to taxable value to compute the bill.
Millage Rate: The tax rate expressed in mills. One mill equals $1 of tax per $1,000 of taxable value. Your total millage combines every taxing authority.
TRIM Notice: The Truth in Millage notice mailed each August showing proposed taxes, values, and public hearing dates. It is your cue to review your value.
Value Adjustment Board (VAB): The county board that hears appeals of values and exemption denials. Petitions are generally due within 25 days after the TRIM notice is mailed.
Homestead Exemption: A property tax exemption for a Florida permanent resident's primary home owned as of January 1. Through 2026 it totals up to $50,000: the first $25,000 applies to all taxes, and a second exemption applies to non-school taxes on assessed value between $50,000 and $75,000. Amendment 3 expands the non-school portion starting in 2027. See property tax budgeting for Orlando homeowners.
Amendment 3 (2026): A constitutional amendment approved by Florida voters in November 2026. Beginning in 2027 it raises the homestead exemption for non-school taxes to $150,000, then $250,000 in 2028, with future inflation adjustments; school taxes keep the existing $25,000 exemption. People who are not Florida residents on December 31, 2026 start with the existing exemption and phase into the larger amount. It also lowers the non-homestead assessment cap from 10% to 5% for non-school levies. Implementation details are still being worked out, so confirm specifics with your county Property Appraiser.
Homestead Filing Deadline: Apply with your county Property Appraiser by March 1 of the year you want the exemption. You must own and occupy the home as your permanent residence on January 1.
Save Our Homes (SOH) Cap: Limits annual increases in a homestead's assessed value to 3% or the change in CPI, whichever is lower, creating a growing gap between market and assessed value.
Recapture Rule: Even if market value drops, a homestead's assessed value can still rise (up to the SOH cap) until it catches up to just value. Many owners are surprised by this.
Portability: Lets a homestead owner transfer up to $500,000 of their accumulated Save Our Homes benefit to a new Florida homestead, if the new homestead is established within 3 years of leaving the old one. A separate application is required.
Non-Homestead Assessment Cap: Limits annual assessment increases on non-homestead property (second homes, rentals, commercial) for non-school taxes. The cap has been 10%; Amendment 3 reduces it to 5% beginning in 2027.
Reassessment After Sale: When a property sells, caps and exemptions reset, and on the next January 1 the assessed value generally resets to market value. A buyer's taxes can be much higher than the seller's. See decoding Orlando property taxes.
Senior Exemption: An additional local-option exemption for qualifying homeowners 65 and older with limited household income, where adopted by the county or city.
Widow/Widower Exemption: A $5,000 exemption for a Florida resident who is a widow or widower and has not remarried.
Disability and Veteran Exemptions: Florida offers exemptions and discounts for certain disabled residents, blind residents, and veterans, including a full exemption for veterans with a 100% permanent, total service-connected disability on their homestead.
Agricultural Classification (Greenbelt): A classification that taxes land in bona fide agricultural use on its use value rather than market value. This matters for Ocala horse farms and rural acreage.
Non-Ad Valorem Assessments: Flat or benefit-based charges on the tax bill for services like solid waste, stormwater, fire, street lighting, and CDD debt. Exemptions don't reduce them.
Early Payment Discount: Florida tax bills offer a 4% discount if paid in November, 3% in December, 2% in January, and 1% in February. The full amount is due by March 31.
Tax Delinquency: Unpaid property taxes become delinquent on April 1, after which interest, fees, and advertising costs accrue.
Tax Certificate Sale: Each spring the Tax Collector auctions certificates on delinquent parcels; investors pay the taxes and earn interest. The owner can redeem by paying the amount due.
Tax Deed Sale: If a tax certificate goes unredeemed for at least 2 years, the certificate holder can apply for a tax deed and the property is auctioned. Title from a tax deed often needs a quiet title action.
Installment Payment Plan: Lets owners pay property taxes in quarterly installments, with a discount. You generally must apply with the Tax Collector by April 30.
Tangible Personal Property Tax: A tax on business assets, including furnishings in some rental properties. Florida provides a $25,000 exemption, and a return may be required.
Homestead Rental Rule: Renting out an entire homestead for more than 30 days per calendar year for two consecutive years is considered abandonment of the homestead under Section 196.061.

HOA, Condo & Community Associations

Most Florida homes are in some kind of association. These terms explain the documents, the money, and the post-Surfside condo laws.

Chapter 718 / 720 / 719: Florida's Condominium Act (718), Homeowners' Association Act (720), and Cooperative Act (719). Each sets rules for governance, budgets, records, assessments, and owner rights.
Condominium: Ownership of an individual unit plus an undivided share of the common elements, governed by a declaration under Chapter 718. Browse Central Florida condos.
Cooperative (Co-op): Ownership of shares in a corporation that owns the building, plus a proprietary lease for a unit. Financing and approval rules differ from condos.
Declaration: The recorded master document (Declaration of Condominium or Declaration of Covenants) creating the community and its restrictions, assessments, and use rules.
Articles, Bylaws & Rules: The articles create the association; the bylaws govern meetings, elections, and the board; the rules and regulations cover day-to-day matters such as pools, parking, and pets.
Governing Documents: Collectively, the declaration, articles, bylaws, rules, and amendments. Read them before your inspection period ends.
Common Elements / Limited Common Elements: Common elements are owned collectively (roof, hallways, pool). Limited common elements are reserved for certain units, such as a balcony or assigned parking space.
Master Association / Sub-Association: Large Florida communities often have a master association plus neighborhood sub-associations, each with its own dues and rules.
Assessments (Dues): Regular payments to fund operations and reserves. See what Orlando HOA fees really cover.
Special Assessment: A one-time or temporary charge for a specific expense, such as a new roof or concrete restoration. Contracts allocate who pays assessments levied before closing. Read special assessments for condo buyers.
Reserve Fund: Money set aside for future major repairs and replacements. Underfunded reserves often lead to special assessments. See evaluating HOA reserves.
Structural Integrity Reserve Study (SIRS): A study required for condominium and co-op buildings three stories or higher, covering items such as the roof, structure, fireproofing, plumbing, electrical, waterproofing, and windows. It must be updated at least every 10 years, and reserves for these items generally cannot be waived.
Milestone Inspection: A structural inspection required for condo and co-op buildings three stories or higher, generally by December 31 of the year the building turns 30 (or earlier where a local government requires it), then every 10 years. Phase 1 is a visual inspection; Phase 2 is required if significant structural deterioration is found.
Surfside Condo Laws: The series of Florida laws passed after the 2021 Champlain Towers South collapse (beginning with SB 4-D in 2022 and amended in 2023, 2024, and 2025) that created milestone inspections, SIRS, reserve mandates, and stricter board transparency rules. These laws have contributed to higher dues and special assessments in older buildings.
Estoppel Certificate: An association's official statement of what is owed on a unit or lot (dues, assessments, fees) as of a date. Florida law sets delivery timelines and caps the fees, and the buyer can rely on the amounts stated.
Association Approval / Right of First Refusal: Many condos and some HOAs require board approval of buyers or tenants, and some reserve the right to purchase the unit first. Build this time into your contract.
Rental Restrictions: Limits on leasing, such as minimum lease terms, caps on rentals, or waiting periods. Florida law limits how new rental restrictions apply to existing owners. Read Orlando condo rental restrictions.
Pet Policies: Restrictions on number, size, or breed of pets, subject to fair housing rules for assistance animals. See condo pet policies.
Master Insurance Policy: The association's policy covering the building and common elements. Coverage, deductibles, and cost vary widely in Florida. Read master vs. individual condo coverage.
HO-6 Policy: Condo unit-owner insurance covering interior finishes (walls-in), personal property, liability, and loss assessment.
Loss Assessment Coverage: Part of an HO-6 or HO-3 policy that helps pay your share of an association special assessment after a covered loss, such as the master policy's hurricane deductible.
Architectural Review Committee (ARC): The committee that must approve exterior changes such as paint colors, fences, pools, screen enclosures, and additions.
Fines and Suspensions: Associations may fine owners or suspend amenity use for violations after notice and a hearing before an independent committee, within statutory limits.
Association Lien: Associations can lien and even foreclose for unpaid assessments. Florida law gives associations strong collection rights.
Owner-Occupancy Ratio: The share of units occupied by owners vs. renters. It affects financing eligibility and community feel. See why owner-occupancy matters.
55+ Community (HOPA): Under the federal Housing for Older Persons Act, communities where at least 80% of occupied units have at least one resident 55 or older may be age-restricted. Florida communities register with the Florida Commission on Human Relations. See The Villages homes.
Community Development District (CDD): A special taxing district under Chapter 190 that finances infrastructure (roads, utilities, amenities) through bonds repaid by owners on the tax bill, plus ongoing maintenance assessments. CDDs are common in master-planned communities such as Harmony and many new Orlando-area subdivisions.
CDD Bond Payoff: Some CDDs let owners prepay their share of the bond debt, removing the debt-service portion from future tax bills.
Division of Florida Condominiums, Timeshares, and Mobile Homes: The DBPR division that regulates condo and co-op associations, handles certain owner complaints, and offers arbitration in some disputes.
Official Records Request: Owners have a statutory right to inspect association records, including budgets, contracts, minutes, and SIRS and milestone reports. Buyers should ask the seller to obtain them.
Condo Questionnaire: A lender's form completed by the association about budget, reserves, litigation, insurance, and occupancy, used to decide whether a condo is warrantable.
Capital Contribution (Transfer) Fee: A one-time fee charged to buyers at closing in some associations, often equal to a few months of dues. Check the governing documents.
Condominium Resale Cancellation Right: A buyer of a resale condo who receives the required association documents generally has three business days (excluding weekends and legal holidays) to cancel, or until closing if sooner.
Developer 15-Day Rescission: Buyers of a new condo from a developer may generally cancel within 15 days after signing or receiving the required documents.
Mobile Home Park (Chapter 723): Florida's Mobile Home Act governs parks where residents own the home but rent the lot, covering lot rent increases and the park prospectus.
Timeshare (Chapter 721): Florida's Vacation Plan and Timesharing Act gives timeshare purchasers a 10-day right to cancel.
Club Membership: Some communities require mandatory golf, social, or equity club memberships with initiation and annual fees. Confirm before writing an offer on luxury properties.

Inspections

Florida inspections go beyond the typical home inspection because insurers and lenders require specific reports.

Home Inspection: A general visual evaluation of the home's systems and structure by a Florida-licensed home inspector (Chapter 468, Part XV).
Four-Point Inspection: An insurance inspection of the roof, electrical, plumbing, and HVAC, typically required for older homes, often those 25 to 30 years old or more, before an insurer will write a policy.
Wind Mitigation Inspection: An inspection on the state form OIR-B1-1802 documenting roof shape, roof-deck attachment, roof-to-wall connections, secondary water resistance, and opening protection. It can produce substantial insurance discounts.
Roof Certification: An inspector's or roofer's statement of a roof's remaining life, sometimes required by insurers for older roofs.
WDO Inspection: A Wood-Destroying Organism inspection on the state form FDACS-13645, reporting termites, wood decay, wood-boring beetles, and prior treatment. Lenders often require one.
Termite Bond: A service contract with a pest control company for ongoing termite protection, sometimes transferable to a buyer.
Tenting (Fumigation): Whole-structure fumigation, usually for drywood termites, which are common in Florida.
Radon Test: A test of indoor radon levels, typically over 48 hours or more. Mitigation systems are available if levels are elevated.
Mold Assessment: Sampling and evaluation by a Florida-licensed mold assessor (Chapter 468, Part XVI). Florida humidity makes moisture control critical.
Sewer Scope: A camera inspection of the main sewer line. It is important for older Orlando homes with cast-iron or clay pipes.
Cast Iron Pipes: Drain lines in many homes built before the mid-1970s can corrode and crack, sometimes leading to costly repairs and insurance issues.
Polybutylene Plumbing: Gray plastic supply piping installed from the late 1970s to the mid-1990s that is prone to failure. Many Florida insurers decline homes that have it.
Chinese Drywall: Defective imported drywall installed in some Florida homes around 2001 to 2008 that emits sulfur gases, corroding copper and causing odors.
Problem Electrical Panels: Certain brands, such as Federal Pacific (Stab-Lok) and Zinsco, and fuse boxes are frequently flagged by inspectors and insurers and may need replacement.
Aluminum Branch Wiring: Single-strand aluminum wiring found in some 1960s to 1970s homes, which can be a fire risk and an insurance issue unless remediated.
Septic System Inspection: An evaluation of the tank and drainfield. Florida's septic program is regulated by the Department of Environmental Protection (moved from the Department of Health in 2021).
Well Inspection / Water Test: A test of private well water quality and pump performance, recommended for rural properties.
Pool Inspection & Safety Barrier: A review of the pool, equipment, and enclosure. Florida's Residential Swimming Pool Safety Act (Chapter 515) requires new residential pools to have at least one approved safety feature, such as a barrier, cover, or alarms.
Seawall Inspection: A marine contractor's evaluation of a seawall's cap, panels, tie-backs, and erosion. Replacement can be very expensive.
Dock Inspection: An evaluation of pilings, decking, boat lift, and electrical on a private dock. See Orlando lakes that allow private docks.
Sinkhole: A depression caused by dissolving limestone beneath the surface. Parts of Central Florida, including areas of Lake, Polk, Pasco, and Hernando counties, are known for sinkhole activity.
Catastrophic Ground Cover Collapse: Florida insurers must cover this severe form of sinkhole (an abrupt collapse, a visible depression, structural damage, and condemnation). Broader sinkhole coverage is optional and costs more.
Ground-Penetrating Radar / Sinkhole Testing: Geotechnical testing used to evaluate suspected sinkhole activity or confirm repairs.
Stucco Inspection: Moisture testing behind stucco on frame-construction homes to detect hidden water intrusion.
HVAC Inspection: An evaluation of the air conditioning system's age, function, and efficiency. In Florida's climate, AC is a critical and often costly system. See essential systems check.

Insurance, Hurricanes & Wind

Insurance can make or break a Florida deal. Get quotes early in your inspection period.

HO-3 Policy: The standard homeowners policy for single-family homes, covering the dwelling on an open-perils basis and personal property on a named-perils basis.
Citizens Property Insurance Corporation: Florida's state-created insurer of last resort. Policyholders may be offered coverage by private insurers through a clearinghouse and may be moved if a comparable private offer is available.
Citizens Flood Requirement: Citizens is phasing in a requirement that its policyholders carry separate flood insurance, with all policyholders required to carry it by 2027.
Hurricane Deductible: A separate deductible for hurricane losses, typically 2%, 5%, or 10% of the dwelling coverage amount. In Florida it generally applies once per calendar year rather than per storm.
Binding Moratorium: When a named storm threatens Florida, insurers temporarily stop writing new policies or changing coverage. Closings can be delayed because lenders require proof of insurance.
Insurance Binder: Written evidence that coverage is in force as of the closing date, required by the lender.
Roof Age Rules: Under Florida law, insurers cannot refuse to write or renew a homeowners policy solely because a roof is less than 15 years old. Owners of older roofs can submit an inspection showing remaining useful life.
25% Roof Rule: The old building-code rule that required replacing an entire roof when more than 25% was damaged. Since 2022, if a roof was built to the 2007 Florida Building Code or later, only the damaged portion has to meet current code.
My Safe Florida Home: A state program offering free wind-mitigation inspections and matching grants for hardening upgrades, when funding is available.
Opening Protection: Impact-rated windows, doors, garage doors, or hurricane shutters protecting every opening. Full protection earns major wind-mitigation credits.
Impact Windows: Laminated glass windows tested to resist wind-borne debris. They are required in some coastal zones and valuable for insurance savings.
Secondary Water Resistance (SWR): A sealed underlayment or tape on roof-deck seams that limits water intrusion if shingles or tiles blow off, and earns an insurance credit.
Roof-to-Wall Connection: How trusses are tied to walls: toe nails, clips, single wraps, or double wraps. Stronger connections earn bigger wind credits.
Hip Roof: A roof sloping on all four sides. It performs better in hurricanes than a gable roof and earns an insurance discount.
Assignment of Benefits (AOB): A practice that let contractors take over a homeowner's insurance claim. Florida banned AOBs for residential property policies issued on or after January 1, 2023.
Named Storm / Storm Surge: A named storm is a tropical system the National Hurricane Center has assigned a name. Storm surge is the abnormal rise of seawater during a storm, generally covered by flood insurance, not homeowners insurance.
Hurricane Evacuation Zone: County-designated zones (often lettered A through E) indicating who must evacuate based on storm surge risk. This is different from a FEMA flood zone.
Ordinance or Law Coverage: Coverage for the extra cost of bringing a damaged home up to current building code during repairs.
Wind-Only Policy: A policy covering only windstorm, sometimes paired with a homeowners policy that excludes wind in coastal areas. Citizens offers wind-only coverage in eligible coastal areas. Read windstorm and property coverage costs.

Flood Zones & Elevation

Flooding can happen well outside the coast. These terms help you read a flood map and a flood quote.

FIRM (Flood Insurance Rate Map): FEMA's official map showing flood zones and base flood elevations. Maps are periodically updated, so a property's zone can change.
Special Flood Hazard Area (SFHA): An area with a 1% or greater annual chance of flooding (the 100-year floodplain). Federally backed mortgages in an SFHA require flood insurance.
Zone A / AE: High-risk flood zones. AE zones have a determined base flood elevation; A zones do not.
Zone VE: A coastal high-hazard zone with wave action, found on beaches and barrier islands, with the strictest building and insurance requirements.
Zone X: Moderate-to-low-risk areas. Flood insurance isn't federally required, but it is often recommended, because a significant share of flood claims come from outside high-risk zones. See flood zones for Orlando buyers.
Base Flood Elevation (BFE): The height floodwaters are expected to reach in a 1%-annual-chance flood. A home's lowest floor relative to BFE drives flood premiums and building requirements.
Elevation Certificate: A surveyor-prepared FEMA form documenting a building's elevations. It can support a lower flood premium or a map amendment.
Freeboard: Building the lowest floor above the base flood elevation, often required by local code, which lowers risk and premiums.
National Flood Insurance Program (NFIP): The federal flood insurance program administered by FEMA. Policies typically have a 30-day waiting period unless tied to a loan closing.
Private Flood Insurance: Flood coverage from private insurers, sometimes with higher limits or lower premiums than the NFIP. Lenders accept qualifying policies.
Risk Rating 2.0: FEMA's pricing method that sets NFIP premiums by an individual property's flood risk (distance to water, elevation, rebuilding cost) rather than only by zone.
Mandatory Purchase Requirement: Federal rule requiring flood insurance for federally backed loans on buildings in an SFHA.
Community Rating System (CRS): A FEMA program giving NFIP policyholders discounts in communities that exceed minimum floodplain management standards.
LOMA (Letter of Map Amendment): A FEMA determination removing a structure from an SFHA when elevation data show it sits above the base flood elevation.
Substantial Improvement / 50% Rule: If repairs or improvements in a flood zone cost 50% or more of the structure's value, the entire building must be brought into compliance with current flood rules, often requiring elevation. Read flood risk on Orlando lakefront property.

Building & Construction

Florida-specific construction terms you'll see in listings, inspections, and builder contracts.

Florida Building Code (FBC): The statewide building code, updated on a regular cycle, with some of the strictest wind provisions in the country.
High-Velocity Hurricane Zone (HVHZ): Miami-Dade and Broward counties, which have the most stringent wind-resistance requirements in the Florida Building Code. See Miami homes.
Product Approval / Miami-Dade NOA: Windows, doors, roofing, and shutters must carry Florida Product Approval; in the HVHZ, a Miami-Dade Notice of Acceptance (NOA) is generally required.
CBS Construction: Concrete Block and Stucco: masonry walls finished with stucco. It is the dominant construction method in Central Florida, prized for wind and termite resistance.
Frame Construction: Wood or metal stud walls, common in some newer two-story homes and upper floors, usually clad in stucco or siding over sheathing.
Stucco: A cement-based exterior finish. Hairline cracks are common; larger cracks or soft spots may indicate moisture.
Slab-on-Grade Foundation: A concrete slab poured directly on compacted soil. It is the most common Florida foundation, since basements are rare due to the high water table.
Stem Wall Foundation: A foundation with masonry walls supporting a raised slab, often used to elevate homes above flood levels.
Lanai: A covered patio or porch, often screened, a signature feature of Florida homes.
Florida Room: An enclosed, air-conditioned or partially conditioned sunroom, often a converted porch. Check that conversions were permitted.
Pool Cage (Screen Enclosure): An aluminum-framed screen enclosure over a pool or lanai. Many insurers exclude or limit coverage for screen enclosures in hurricanes.
Tile Roof: Concrete or clay barrel or flat tile roofing. It is long-lasting, but underlayment usually needs replacement well before the tiles themselves.
Metal Roof: Standing-seam or panel roofing with a long service life and strong wind performance, increasingly popular in Florida.
Building Permit: Government approval for construction, required for roofs, additions, pools, electrical, plumbing, HVAC, and more. Unpermitted work can create insurance, appraisal, and resale problems. See Orange County permit requirements.
Certificate of Occupancy (CO): The document issued when a new home or major project passes final inspection and is legally ready to be occupied.
Owner-Builder Permit: Florida lets owners pull permits to build or improve their own home, but if it is sold or leased within one year of completion, the law presumes it was built for sale in violation of the exemption.
Licensed Contractor (Chapter 489): Florida contractors are certified statewide or registered locally through the Construction Industry Licensing Board. Verify a license before hiring.
New Construction: A newly built home purchased from a builder, often on a builder's own contract with its own deposit, warranty, and closing terms. Browse new construction.
Builder Warranty: The builder's written warranty, often 1 year for workmanship, 2 years for systems, and 10 years for structure. Florida also imposes statutory warranties on condominium developers.
Impact Fees: One-time local charges on new development to fund roads, schools, parks, and utilities, usually built into a new home's price.
Accessory Dwelling Unit (ADU): A secondary living unit such as a garage apartment or mother-in-law suite. Zoning varies by city and county. See Orlando-area ADU zoning.
Chapter 558 Notice: Florida's construction-defect process requires an owner to give the contractor written notice and an opportunity to inspect and repair, generally at least 60 days before filing a lawsuit.
Statute of Repose (Construction): The outer time limit for construction-defect claims. Florida shortened it to 7 years in 2023, generally measured from completion or the certificate of occupancy.
Solar Rights (Section 163.04): Florida law prevents HOAs and deed restrictions from prohibiting solar panels, though associations may specify placement if it doesn't significantly impair performance.
Florida-Friendly Landscaping: Water-efficient landscaping that Florida law says HOAs may not prohibit, though they can still set reasonable standards.
Whole-Home Generator: A permanently installed standby generator with a transfer switch. It requires permits and is popular after recent hurricane outages.

Water Rights, Waterfront & Environment

Lakes, springs, rivers, canals, and coastline are a big part of Florida life, and they come with their own legal vocabulary.

Riparian Rights: Rights of owners whose land borders a river, stream, or lake, including access, a reasonable view, the right to wharf out (build a dock, subject to permits), and the right to accretions. In Florida, "riparian" is often used to include lakes and tidal waters.
Littoral Rights: Similar rights for owners bordering lakes, seas, or oceans. The terms are often used interchangeably in Florida.
Mean High Water Line (MHWL): On tidal waters, the boundary between private upland and state-owned sovereignty land, determined by survey.
Ordinary High Water Line (OHWL): On non-tidal navigable lakes and rivers, the boundary between private upland and state-owned land. It is important on Windermere's Butler Chain of Lakes and other navigable lakes.
Sovereignty Submerged Lands: Lands below navigable waters held by the State of Florida in trust for the public. Docks and structures over them may require state authorization.
Public Trust Doctrine: The principle that the state holds navigable waters and submerged lands for public uses like navigation, fishing, and recreation.
Submerged Land Lease: A lease from the state, administered by the Department of Environmental Protection, required for some larger docks, marinas, and structures over sovereignty lands.
Water Management Districts: Florida's five regional agencies (Northwest Florida, Suwannee River, St. Johns River, Southwest Florida, and South Florida) that regulate water use, wetlands, and stormwater. Metro Orlando falls under the St. Johns River and South Florida districts.
Environmental Resource Permit (ERP): A permit from the Department of Environmental Protection or a Water Management District for work affecting wetlands, surface waters, or stormwater, such as filling, docks, or seawalls.
Water Use Permit (Consumptive Use Permit): Authorization from a Water Management District to withdraw large quantities of ground or surface water, relevant to farms, groves, and large irrigation wells.
Dock Permit: Approval from the county, the Water Management District, and sometimes the state and U.S. Army Corps of Engineers to build or modify a dock or boat lift. See building a dock or seawall.
Seawall / Bulkhead: A retaining wall along a shoreline that protects upland property from erosion. It is common on canals in places like Cape Coral.
Boat Lift: A mechanical lift that raises a boat out of the water, usually requiring a permit and dedicated electrical.
Deeded Lake Access: A recorded right for non-waterfront owners to use a shared access point, park, or dock. See deeded and shared lake access.
Lake Management MSTU/MSBU: A Municipal Service Taxing or Benefit Unit that some counties, including Orange, use to fund lake maintenance such as aquatic weed control. The cost appears on lakefront owners' tax bills. Read lakefront assessments.
Navigable Waters: Waters capable of being used for commerce or travel. Navigability affects public access rights and state ownership of the bottom.
Chain of Lakes: A series of lakes connected by canals, such as the Butler Chain in Windermere or the Winter Park Chain of Lakes, offering extended boating. See Winter Park homes.
Gulf / Ocean Access: Canal or riverfront property with boat access to open water. Listings may note fixed bridges, travel time, and water depth.
Coastal Construction Control Line (CCCL): A line established by the state along sandy beaches. Construction seaward of it requires a special state permit and stricter standards.
Erosion Control Line: A line set when the state conducts beach restoration. It fixes the boundary between private and public land at that location.
Accretion: The gradual, natural buildup of land along a shoreline, which generally belongs to the waterfront owner.
Avulsion: A sudden, perceptible change in shoreline, such as from a hurricane. It generally does not change the property boundary.
Reliction: Land exposed when water gradually recedes, which generally belongs to the waterfront owner.
Floridan Aquifer: The vast underground limestone aquifer supplying most of Florida's drinking water and feeding its springs. Its karst geology is also why sinkholes occur.
Springs Protection Areas: Regions around Florida's springs, such as those near Dunnellon and Crystal River, with stricter rules on septic systems, fertilizer, and development to protect water quality.
Wetlands: Areas saturated by water often enough to support wetland vegetation. Jurisdictional wetlands can't be filled or altered without permits, which can sharply limit buildable area on vacant land.
Conservation Easement: A recorded restriction, often in favor of a Water Management District or county, that permanently limits development on part of a property. Look for these on surveys and plats.
Upland: The dry land portion of a property above the high-water line or outside wetlands, where structures can generally be built.
Stormwater Retention Pond: A man-made pond holding and filtering runoff in a subdivision. Pond-view lots are not lakefront lots: swimming, boating, and docks are usually prohibited.
Algae Blooms / Water Quality: Nutrient-fed blooms that can affect lake and coastal recreation. See algae and water management on Orlando lakes.
Irrigation Restrictions: Water Management Districts and local governments limit lawn watering to certain days and times. Violations can bring fines.
Reclaimed Water: Treated wastewater supplied for irrigation in many Central Florida communities, often at lower cost than potable water.
Septic-to-Sewer Conversion: Local and state programs, especially near springs and impaired waterways, that require or fund connecting homes on septic to central sewer.
Gopher Tortoise Permit: The gopher tortoise is a state-listed threatened species. Florida Fish and Wildlife Conservation Commission permits are required to relocate tortoises before clearing land with active burrows.
Florida Scrub-Jay: A federally threatened bird found in Central Florida scrub habitat. Its presence can require federal review before land is developed.
Mangrove Trimming Rules: Florida's mangrove protection laws restrict trimming and removal of mangroves along coastal properties without authorization.

Land, Zoning & Development

Before you buy land, add a pool, or plan a rental, check what the zoning allows.

Zoning: Local rules governing how land may be used (residential, commercial, agricultural) and the size, height, and placement of buildings.
Future Land Use Map / Comprehensive Plan: Each Florida city and county adopts a comprehensive plan whose future land use designation must be consistent with zoning. It is the long-range blueprint for growth.
Planned Unit Development (PUD): A zoning category with customized standards for a master-planned community, common in Orlando-area subdivisions.
Variance / Special Exception: A variance allows a deviation from zoning standards due to hardship; a special exception permits a use allowed only after review.
Setback: The minimum distance a structure must be from property lines, roads, or water.
Concurrency: Florida's growth-management principle that infrastructure such as roads, water, and sewer must be available concurrent with development.
Live Local Act: A 2023 Florida law encouraging affordable and workforce housing, including allowing qualifying multifamily development in some commercial and industrial zones and offering tax incentives.
Bert Harris Act: Florida's Private Property Rights Protection Act allowing owners to seek compensation when a new government regulation inordinately burdens an existing use or vested right in their property.
Platted Lot Subdivisions: Large pre-platted communities created decades ago, such as Lehigh Acres, Cape Coral, Poinciana, and Palm Coast, where many vacant lots are sold individually. Check utilities, flood status, and assessments.
Vacant Land Contract: The Florida Realtors contract form for land, with feasibility study periods for soil, survey, zoning, environmental, and utility review. Browse land for sale.
Feasibility Study Period: In land contracts, the time a buyer has to confirm the property can be used as intended, with the right to cancel if not.
Soil (Perc) Test: A test of soil drainage to determine whether a septic system can be installed and what type is required.
Buildable Lot: A lot with legal access, adequate size, compatible zoning, available utilities or septic and well approval, and no wetland or flood limits that prevent building.
Annexation: The process by which a city incorporates adjacent unincorporated land, changing taxes, services, and zoning.
Unincorporated Area: Land outside any city's limits, governed directly by the county. Many Orlando addresses are actually in unincorporated Orange County. See Orange County homes.
Historic District: An area with design review for exterior changes and demolition, as in parts of Winter Park, Sanford, and Mount Dora.

Rentals & Investment Property

Investors and second-home buyers will want these terms on hand.

Florida Residential Landlord and Tenant Act (Chapter 83): The state law governing residential leases, deposits, notices, and evictions. Read Florida landlord-tenant laws for investors.
Security Deposit Rules: Florida landlords must disclose where deposits are held. After a tenant moves out, the landlord generally has 15 days to return the deposit, or 30 days to give written notice by certified mail of a claim against it.
3-Day Notice: A notice demanding past-due rent within 3 days, excluding weekends and legal holidays, before an eviction can be filed for nonpayment.
7-Day Notice: A notice for lease violations other than nonpayment, either giving the tenant 7 days to cure or terminating for certain serious violations.
30-Day Notice (Month-to-Month): Since 2023, Florida requires at least 30 days' written notice to end a month-to-month tenancy (previously 15 days).
Eviction: A court action, filed in county court, to remove a tenant. Florida landlords may not use self-help such as changing locks or shutting off utilities.
Squatter Removal Law: A 2024 Florida law lets property owners ask the sheriff to remove unauthorized occupants who are not tenants, by sworn affidavit, when specific conditions are met.
Short-Term (Vacation) Rental: Rentals of less than 30 days or a month. They are allowed only where local zoning and HOA rules permit, which is common in designated resort areas near the theme parks. See Orlando short-term rental rules and Davenport homes.
Vacation Rental License: A license from DBPR's Division of Hotels and Restaurants generally required to operate a vacation rental in Florida, in addition to any local registration.
Transient Rental Taxes: Rentals of 6 months or less are subject to Florida sales tax, any county surtax, and the county Tourist Development Tax, which must be registered for and remitted.
Cap Rate / Cash-on-Cash Return: Cap rate is net operating income divided by price; cash-on-cash is annual pre-tax cash flow divided by cash invested. See calculating returns.
Property Management (Licensing): In Florida, managing and leasing property for others for compensation generally requires a real estate license through a brokerage. See property management costs.
Multifamily (2–4 Units): Duplexes, triplexes, and fourplexes can be financed with residential loans, including owner-occupied FHA. Browse multifamily properties.

Foreclosure, Distressed Sales & Estates

Terms for difficult situations, and for inherited Florida property.

Judicial Foreclosure: Florida requires lenders to foreclose through the courts, which typically takes longer than in non-judicial states and gives owners time to explore alternatives.
Certificate of Sale / Certificate of Title: After a foreclosure auction, the Clerk issues a certificate of sale, then a certificate of title to the winning bidder, usually about 10 days later if there are no objections.
Right of Redemption: A Florida owner can generally stop a foreclosure by paying the full amount due until the Clerk files the certificate of sale (or a later date if the judgment says so).
Deficiency Judgment: A judgment for the shortfall when a foreclosure sale doesn't cover the debt. In Florida, an action for a deficiency must generally be brought within one year after the sale.
Short Sale: A sale for less than the mortgage balance, with lender approval. It requires a short sale rider and patience. See understanding short sales.
Deed in Lieu of Foreclosure: Voluntarily deeding the property to the lender to avoid foreclosure, if the lender agrees.
Loan Modification: A permanent change to loan terms to make payments affordable. Read can a loan modification save your home.
Forbearance: A temporary pause or reduction in mortgage payments, which must eventually be repaid or resolved. See forbearance is over: now what.
REO (Bank-Owned): Real Estate Owned: property a lender took back through foreclosure and now sells, usually as-is, using its own addenda.
Florida Probate: The court process to settle a deceased person's estate and transfer property. Probate is required for real estate titled solely in the decedent's name without a beneficiary designation.
Personal Representative: The court-appointed person (an executor in other states) who administers a Florida estate and, with authority, signs the deed to sell estate real estate.
Summary Administration: A shorter Florida probate process available when the decedent died more than two years ago or the non-exempt estate is $75,000 or less.
Ancillary Administration: A secondary probate in Florida for an out-of-state resident who owned Florida real estate in their own name.
Homestead Descent: If a homestead owner dies leaving a spouse and descendants, the spouse generally receives a life estate with the remainder to the descendants, or may elect a 50% tenancy-in-common interest within a set time.
Elective Share: A surviving spouse's right in Florida to elect 30% of the decedent's elective estate instead of what the will provides.
Revocable Living Trust: A trust you control during life that can hold Florida real estate and avoid probate. Homestead rules still apply, so coordinate with an estate attorney.