1. What is the 15-Day Rescission Right?
The blog post must start by defining the right clearly, emphasizing that it is a statutory protection.
- The Law: Florida Statute $\S 718.503$ grants a purchaser of a new, developer-sold condominium unit (or a long-term lease of over five years) the right to void the contract.
- The Timeline: The buyer has 15 calendar days to terminate the contract, starting from the later of two events:
- The date the buyer executes (signs) the Purchase Agreement.
- The date the buyer receives all required documents and the full Developer’s Prospectus (or Offering Circular).
- The Outcome: If the buyer sends written notice of cancellation within the 15 days, they are entitled to a full refund of all deposits, typically with interest.
2. The Prospectus: Your 500-Page Homework Assignment
The post should stress that the Prospectus is the definitive legal document, superseding all sales materials and oral promises. Buyers must not rely on glossy brochures.
| Document Title | Why It Matters (The Critical Review Point) |
| Declaration of Condominium | This is the project’s constitution. Look for unit size/square footage finality, definition of common vs. limited common elements, and unit boundaries. |
| Articles of Incorporation & Bylaws | Governing Rules. Defines voting rights, board structure, election rules, and the association’s powers. Critical for understanding who will control the building. |
| Rules and Regulations | Lifestyle Rules. Contains crucial restrictions on pets, leasing (minimum rental periods, specific rental programs), signage, and noise. |
| Estimated Operating Budget | The True Cost of Ownership. This is the first estimate of your HOA/Maintenance Fees. Review the line items for adequacy, especially reserves for structural integrity (SIRS). |
| Management Contract | Fees and Terms. Identifies the initial management company (often affiliated with the developer) and the length and cost of their contract. |
| Floor Plan & Site Plan | Physical Details. Cross-reference the unit floor plan and the official plot plan against the renderings and what the salesperson told you. |
3. How to Use the 15 Days: The Due Diligence Checklist
This section provides actionable steps for the buyer during the period.
- Consult a Florida Real Estate Attorney (Mandatory): This is the most crucial step. The attorney should specialize in new construction and have experience negotiating and reviewing these specific documents.
- Analyze the Financials: Have the attorney (or a financial advisor) scrutinize the Estimated Operating Budget. A low initial HOA fee may indicate underfunded reserves, which can lead to massive special assessments later. Ask: Does the budget comply with the new SIRS requirements?
- Verify Oral Promises: Use the documents to confirm every promise made by the sales team (e.g., “units can be rented monthly,” “the spa will be open 24/7”). If it’s not in the Prospectus or Purchase Agreement, it is not enforceable.
- Scrutinize the Exit Clauses: Review the contract’s “force majeure” and “developer delay” clauses. Understand the circumstances under which the developer can extend the completion date and when (if ever) you can cancel due to those delays.
4. What Happens if I Don’t Rescind?
- Once the 15-day period expires without written notice, the contract becomes firm and binding.
- The developer is then typically authorized to take the initial deposit out of escrow (or the attorney/title company holding it) and place it into their own construction account, making it much harder to recover if you try to cancel later.
The 15-day rescission period is not a formality; it is your one-time, non-negotiable right to perform comprehensive legal, financial, and regulatory due diligence before your capital becomes locked into a multi-year development deal.
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