Author: Benjamin Boyhan
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What happens if the buyer in a real estate contract dies?
It is a general rule in Florida that the death of a party does not terminate a contract unless the contract was for personal services. Contracts for real estate are not personal services contract, so a death would not terminate the contract. If the buyer to a real estate contract dies prior to closing, the…
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What happens if the seller in a Florida real estate contract dies?
It is a general rule in Florida that the death of a party does not terminate a contract unless the contract was for personal services. Contracts for real property are not personal services contract, so a death would not terminate the contract. If a party to a Florida real estate contract dies, then the contract…
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Disadvantages to moving real estate into an LLC
Moving real estate into a limited liability company (“LLC”) has significant advantages. Chief among them is limiting liability. However, there are cons to moving real estate into an LLC that you should know about:
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The disadvantages of moving real estate into an irrevocable trust
Moving real estate into an irrevocable trust can be a smart move depending on your assets, creditors, beneficiaries and other circumstances surrounding your estate. An irrevocable trust can provide anonymity, avoid probate, and provide creditor protection. While there are some good reasons to move real estate into an irrevocable trust, there are cons that you…
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Why won’t a lender offer a mortgage to your LLC or corporation?
Lenders are generally reluctant to lend to entities, such as limited liability companies (“LLCs”) and corporations because it is more risky than lending to an individual. The primary reason is because the liability of the LLC or corporation is limited to the assets owned by the LLC or corporation. Thus, if the LLC or corporation…
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Revocable versus Irrevocable Trusts
There are important differences between revocable and irrevocable trusts. Knowing the differences will help in deciding the type of trust that works best for your situation. Some of the most important differences between revocable and irrevocable trusts are as follows: • Revocable trust o Ownership of assets – Settlor retains ownership of trust assets in…
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Do you really need a trust?
It is very common for attorneys, financial gurus, and others to recommend a trust to everyone. Trusts are often recommended as a one-size fits all way to pass property to beneficiaries while avoiding probate. A revocable living trust is the most commonly recommended trust and it is genuinely a good instrument to pass property to…
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What is a prepayment penalty in a mortgage?
A prepayment penalty is a fee that some lenders charge if you pay off all or part of your mortgage early. Borrowers may think it is bizarre to be penalized for paying off a mortgage early, but lenders include prepayment penalties in mortgages to ensure they make money. If a lender goes to the trouble…
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How does the property appraiser determine the value of your property for property taxes?
Each county has its own property appraiser. The property appraiser in the county where your property is located will determine your property’s value for tax purposes as of January 1 of the tax year. The factors considered in determining the value of your property for tax purposes include the following factors identified in Florida Statute…
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When can you use a Scrivener’s Affidavit to correct a defective deed?
If a deed has a typo or some other error that has no effect on the vesting of title, then a Scrivener’s Affidavit can be used to clarify the error without the grantor needing to sign a new deed or corrective deed. A Scrivener’s Affidavit is a sworn statement by the person who drafted the…