New Florida Court Rules: Must be Licensed & Cannot Accept Advanced Fee
Monday, July 20th, 2009FLORIDA COURT RULES THAT OUT OF STATE REAL ESTATE BROKER MUST BE LICENSED—CANNOT ACCEPT ADVANCE FEE FOR SELLING A TIMESHARE
On July 8, 2009, the Circuit Court for Leon County Florida ruled that Stroman Realty, a Texas real estate broker, violated Florida law by not becoming licensed in the State of Florida, and could not collect an advance fee for listing a timeshare.
This was big victory for the State of Florida, and effectively outlaws real estate broker from collecting an advance fee for listing their timeshare no matter where the broker is located. Although the ruling only deals with timeshares or owners located in Florida, this constitutes the vast majority of resale listings.
In the past, real estate brokers have charged advance fees such as appraisal fees, in addition to charging as commission on the sale of the timeshare. This ruling effectively outlaws this practice.
