Frequently Asked Questions
Question about selling
Value comes from what comparable homes nearby have recently sold for, not from what you paid, what you owe, or what a website estimate says. Appraisers and agents look at sales within the last three to six months, in your immediate area, with similar square footage, age, condition, and lot. Adjustments are made for differences like an extra bathroom, a newer roof, or a pool. Automated estimates can miss by a wide margin because they cannot see condition, finishes, or view. The market ultimately sets the price; the listing price only decides how quickly buyers show up.
Focus on the things that cost you money if you skip them. Deferred maintenance, active leaks, an aging roof, non-working systems, and anything a home inspector will flag tend to come back as repair requests or price reductions later. Cosmetic work has a lower return than most sellers expect: fresh paint, clean carpet, decluttering, and landscaping usually pay off, while a full kitchen remodel rarely returns its cost. Before spending on any major project, ask whether buyers in your price range expect it or whether they would rather have the money.
Plan on more than the commission. Typical seller costs include real estate commissions, title and closing fees, documentary stamp tax on the deed (in Florida, $0.70 per $100 of the sale price, and $0.60 in Miami-Dade), prorated property taxes, HOA or condo estoppel fees, any agreed repairs or credits, and the payoff of your existing mortgage. Who pays for title insurance varies by county custom and is negotiable in the contract. A net sheet prepared before you list will show your estimated proceeds so there are no surprises at closing.
Yes. In Florida, sellers must disclose known defects that materially affect the value of the property and are not readily observable to a buyer. That standard comes from case law and applies whether or not you fill out a disclosure form. Past roof leaks, foundation movement, flooding, sinkhole activity, permit issues, and prior insurance claims are common examples. Selling “as-is” limits your obligation to make repairs; it does not eliminate your duty to disclose. Disclosing early is almost always cheaper than a dispute after closing.
It depends on whether you need your equity to fund the next purchase and how much risk you can tolerate. Selling first gives you a firm number and strong buying power, but may leave you needing temporary housing. Buying first is smoother to move into, though it can mean carrying two payments or making an offer contingent on your sale, which is weaker in a competitive market. Bridge financing, rent-back agreements, and extended closing dates are the common tools for closing the gap.
Question about buying
Lenders look at your debt-to-income ratio, credit score, down payment, and cash reserves. A common guideline is keeping total housing costs near 28% of gross monthly income and all debt payments under about 43%, though programs vary. The more useful question is what monthly payment fits your life, including the expenses a lender does not count: maintenance, utilities, and savings. What you qualify for and what you should spend are often two different numbers.
Twenty percent is a common belief, not a requirement. Conventional loans can start around 3%, FHA around 3.5%, and VA and USDA loans allow zero down for those who qualify. Putting down less than 20% on a conventional loan generally means paying mortgage insurance until you build enough equity. Separately, budget for closing costs, which typically run 2% to 5% of the purchase price, plus your deposit, inspection, and appraisal fees. Down payment assistance programs exist in most areas and are worth checking before you assume the number is out of reach.
Yes, and it is worth doing before you tour anything. Pre-approval means a lender has reviewed your income, assets, and credit, so you know your real price range and sellers know your offer is credible. In a competitive market, offers without one are frequently passed over. Pre-qualification is a lighter estimate based on information you provide and carries far less weight. Getting pre-approved early also gives you time to correct credit or documentation issues before they cost you a house.
An inspection is your window to understand the property’s condition and decide how to proceed. The report will list dozens of items, most of them minor. Focus on the major systems: roof, structure, electrical, plumbing, HVAC, and any signs of water intrusion. Depending on your contract, you can request repairs or credits, renegotiate the price, accept the property as-is, or cancel within the inspection period. Specialized follow-up inspections such as wind mitigation, four-point, WDO (termite), or sewer scope are often worth the additional cost.
Budget for property taxes, homeowners insurance, and, where applicable, flood insurance, HOA or condo fees, and special assessments. In Florida, insurance is frequently the largest variable, and premiums differ sharply based on roof age, construction, and location, so get quotes before your inspection period ends. Condo buyers should review the association’s financials, reserves, and any pending assessments, since buildings three stories and higher are subject to milestone inspection and reserve funding requirements. Set aside roughly 1% to 2% of the home’s value annually for maintenance.