Definitions of Real Estate terms as used by Jessica McKiverkin Realty in Tampa, FL. 22 terms defined.
A metric that measures how quickly homes are selling in a market, calculated by dividing closed sales by active inventory over a set period. It indicates whether conditions favor buyers or sellers. A rate below 20% typically signals a buyer's market, while above 20% suggests a seller's market.
A licensed real estate professional who exclusively represents the buyer in a transaction, negotiating price and terms on their behalf. Their duties include loyalty, confidentiality, and full disclosure to the buyer. In Florida, the agency relationship must be clearly disclosed in writing.
A Community Development District fee assessed in many newer Florida neighborhoods to fund infrastructure like roads, drainage, and amenities. The fee is typically added to the property tax bill and can last 20–30 years. Buyers should factor CDD obligations into total monthly housing costs.
Florida's state-backed property insurer of last resort, created for homeowners unable to find coverage in the private market. It often serves coastal and high-risk properties. Coverage limits and eligibility rules change frequently, and policyholders may be required to switch to private insurers when offers are made.
A state-designated boundary along Florida's coast beyond which construction is regulated to protect beaches and dunes. Building seaward of this line requires special permits from the Department of Environmental Protection. It directly influences development potential for beachfront parcels.
A report prepared by a real estate agent that estimates a property's value by analyzing recently sold, pending, and active listings of similar homes nearby. Unlike an appraisal, it reflects current market conditions and pricing strategy. It is the primary tool used to set list prices.
Authorization from local, state, and sometimes federal agencies allowing construction or modification of a private dock or boat lift. Permitting requirements vary based on water body, environmental protections, and structure size. Existing unpermitted docks can become a liability for buyers.
A document prepared by a licensed surveyor that verifies a property's elevation relative to the base flood elevation. It is often required to obtain accurate flood insurance quotes and may lower premiums in high-risk zones. Coastal home buyers frequently request this during due diligence.
A geographic area designated by FEMA based on flood risk, identified by codes such as AE, VE, or X. Properties in high-risk zones typically require flood insurance for federally backed mortgages. In coastal regions, flood zone designation significantly impacts insurance costs and resale value.
A legal document issued by a homeowners association during a sale that confirms outstanding dues, assessments, and any violations tied to the property. It protects buyers from inheriting unpaid balances. Florida law caps the fees associations can charge for preparing these documents.
A Florida property tax benefit that reduces the taxable value of a primary residence by up to $50,000. Homeowners must apply through their county property appraiser by March 1 to qualify. It also provides protections under the Save Our Homes assessment cap, limiting annual increases to 3%.
A high-end property typically priced in the top 10% of a local market, often featuring premium finishes, prime location, and unique amenities. Marketing luxury homes requires specialized photography, global syndication, and private showings. Agents handling these listings often hold designations like CLHMS.
A common nickname for Florida's documentary stamp tax on deeds, which applies to residential sales at $0.70 per $100 of consideration in most counties. Although not a true luxury tax, the cost rises significantly on high-priced homes. It is typically paid by the seller at closing.
The time it would take to sell all current listings at the present sales pace, based on active inventory divided by monthly closings. Fewer than six months generally indicates a seller's market. This figure helps buyers and sellers gauge negotiating leverage and pricing trends.
A Florida tax benefit allowing homeowners to transfer Save Our Homes savings from a previous homestead to a new one, up to $500,000. It must be claimed within three years of giving up the prior homestead. This can substantially reduce property tax liability when moving within the state.
The purchase of a home or condo before it is built, usually directly from a developer based on floor plans and renderings. Buyers often secure lower introductory pricing and customization options but accept timeline and market risk. Deposits are typically held in escrow until closing.
A set of services offered to individuals or families moving to a new area, often including home search assistance, area tours, school information, and corporate housing referrals. These packages streamline long-distance moves and help newcomers settle in quickly. Some employers reimburse agents through relocation networks.
A Florida constitutional provision that limits annual increases in the assessed value of homesteaded property to 3% or the rate of inflation, whichever is lower. This cap can result in significant tax savings for long-term homeowners. The benefit is lost when the property is sold but can be partially transferred via portability.
A vertical barrier built along waterfront property to prevent erosion and protect land from tidal action and storm surge. Seawalls have finite lifespans and repair costs can reach tens of thousands of dollars. Buyers should review the age, condition, and permit history before closing.
A required Florida form establishing that a real estate licensee represents only one party in a transaction with full fiduciary duties. It contrasts with transaction broker representation, which provides limited representation to both sides. Buyers and sellers should understand which relationship applies before signing.
The minimum distance a structure must be built from a shoreline, seawall, or mean high-water line under local zoning rules. Setbacks affect what can be added, renovated, or rebuilt on waterfront lots. Understanding them is critical before purchasing coastal or canal-front property.
An inspection that evaluates a Florida home's ability to withstand hurricane-force winds, examining features like roof shape, attachments, and openings. The resulting report can qualify homeowners for significant discounts on windstorm insurance premiums. It is one of the most common ways Florida owners reduce insurance costs.