Wanted to share an important message on something we are seeing more of – 6 month leases or less. The link below is something you can provide your landlord that explains their responsibility to remit tax to the state of Florida for any lease that is 6 months or less.
Hint: A simple way to avoid this is instead of writing a six month lease write it for 6 months + one day.
We should not hold the first month rent in our escrow account when there is a short term lease as we may in some cases have liability to submit sales and use tax. On all short term rentals the first month rent, advance rent, and security deposit should all be credited to the landlord. Landlord should then pay out the commission directly to the Brokerage.
(provided by Nick Moskol, Aventura Manager)
New Tenants’ Bill of Rights in Miami-Dade County effective May 13, 2022
As you may be aware, on May 3, 2022, the Miami-Dade County Board of County Commissioners unanimously voted to create a Tenants’ Bill of Rights. The ordinance became effective as of May 13, 2022 and requires Landlord’s to provide the attached County-created, Notice of Tenant Rights (“Notice”), which you should review. Further information is provided in the below Legal Update from the Miami Association of Realtors, who are still working with the Commissioners with regard to this legislation:
As a result, all listing-side residential lease transactions in Miami-Dade County will be required to have a signed Notice. If BHHS EWM Realty has a residential lease listing in Miami-Dade County, you will want to make sure the Landlord signs and the Tenant counter-signs, each party has a copy, and we have an fully-executed copy in our lease transaction file.
Real estate licensees should NOT sign these forms on behalf of the Landlord or the Tenant.
Where can you find the Notice?:
myEWM.com: The Form is now active in myEWM.com: Go to Company Forms, then MDC-Tenant Bill of Rights. Please see the screen shot below.
Form Simplicity is in the process of programming the Form and we will notify you when it’s been added to our Lease Listing Packages.
THIS AMENDED ORDINANCE ONLY AFFECTS RESIDENTIAL RENTALS IN THE CITY OF MIAMI BEACH.
2/10/2022 from Aniella Gonzalez, Esq.
The CITY OF MIAMI BEACH Commissioners amended an ordinance (Sec. 58-386) last night that you should be aware of for our business and provides you with an opportunity to reach out both to Landlords and Tenants at least 90 days before the end of a Lease term to discuss their respective plans.
On February 9, 2022, the City of Miami Beach Commissioners passed an Ordinance amending Chapter 58 of the Miami Beach City Code regarding rental housing.
A residential Landlord that proposes to increase the rental rate by more than 5% at the end of a 12 month lease or on a month-to-month basis, must provide 60 days’ written notice to the Tenant before the Tenant must either:
- Accept the proposed rent increase of over 5%;
- Reach an acceptable compromise (a negotiated agreement); or
- Reject the proposed rental rate increase.
If the required 60 days written notice has been provided by the Landlord and the Tenant has not agreed to the proposed rent increase or an acceptable compromise within 30 days, the Landlord may impose the proposed increase and require the Tenant to vacate. The Ordinance only states that the notice must be delivered in writing, not the method of delivery.
While this new Ordinance provides you with an opportunity to talk to your Landlords and Tenants, it does not mean that you, as a real estate licensee, are to draft, provide, or deliver the written notice on behalf of the Landlord. Remember, the notice only needs to be given if the Landlord intends on imposing a rent increase of more than 5%.
This information is provided to you, as an Associate of BHHS EWM Realty, and should not be forwarded to any Landlord or Tenant as it is not to be considered the provision of legal advice.
Vice President, Professional Development | Miami-Dade County for Berkshire Hathaway HomeServices EWM Realty