Buying at judicial auction in Florida — caveat emptor

Platforms by county

• Miami-Dade: miami-dadeclerk.com
• Broward: broward.realforeclose.com
• Palm Beach: palmbeach.realforeclose.com
• Lee (Cape Coral, Fort Myers): lee.realforeclose.com
• Collier (Naples): collier.realforeclose.com
• Hillsborough (Tampa): hillsborough.realforeclose.com
• Orange (Orlando): myorangeclerk.realforeclose.com

Pre-registration typically required (identity verification, fund deposit).

Pre-auction preparation

1. Title search: order a title search abstract from a title company (≈ $100–300). Identifies liens, judgments, mortgages.
2. Verify flood zone on msc.fema.gov.
3. Drive-by the property to assess exterior (interior tour rarely possible).
4. Verify open permits on county building department site.
5. Estimate market value via Zillow, Redfin, recent comparables.
6. Calculate maximum price integrating: possible renovation ($15,000–$80,000), liens to redeem, eviction fees, back taxes.
7. Prepare funds: a cashier's check account on auction day.

Auction process

• Time and date: variable by county, often 9 AM or 11 AM local time.
• Initial bid: starting bid = judgment amount + fees.
• Increases: usually $100 increments.
• Time cap: few-minute extension on each new bid.
• Winner: must immediately deposit remaining (typically to total 5 % or 10 % of bid).
• Balance: within 24 hours, by cashier's check.

After the auction

• Certificate of Sale issued by Clerk within days.
• Objection period: 10 days during which defendant can contest sale.
• Certificate of Title issued if no valid objection. You're owner.
• Title insurance: very difficult to obtain post-auction. Limits resale without curing.
• Quiet Title Action often required to clean title ($3,000–$10,000 + 4–9 months).

Post-purchase eviction

If property is occupied (former owner, former owner's tenant):

• Florida Statutes Ch. 83 governs evictions.
• Former owner loses rights with Certificate of Title.
• Time: 30–90 days for simple eviction, more if contested.
• Costs: $800–$3,000 attorney + writ of possession.
• Cash for keys: offer $1,000–$3,000 to occupant to leave voluntarily and undamaged. Often faster and cheaper than formal procedure.

Major risks

• Unextinguished senior liens (property taxes, IRS, mechanic's liens, HOA arrears) you become responsible for.
• Major title defects (forgotten heir, unfinalized divorce) invalidating your title.
• Property condition: vandalism, prolonged water damage, major infestations.
• Occupant refusing to leave and contesting judicially.
• Back taxes: tax certificates sold separately. Property tax must be paid from possession or property loss.
• Municipal sanctions: fines for code violations accumulating up to $250,000+.

Why REO is generally better

For Canadians, the REO path offers:

• Title insurance available.
• Inspection possible.
• Foreign national mortgage compatible.
• 30–60 days for closing (vs 24 h auction).
• Possession at closing (vs eviction).

Discount is smaller (5–15 % vs 20–40 %), but risk is exponentially lower.

View by province: no Canadian province has as developed a judicial-auction investor culture as FL. In Quebec, sheriff sales (CCQ) are rare and more framed. In Ontario, Power of Sales are common but less risky as title is cleaned. In BC and AB, similar.

Recommendation: for a Canadian without FL experience, avoid auction. Discounts don't offset risks.