Florida condo escrow deposit bonds.
From $100.

When a Florida developer pre-sells condos before construction is finished, buyer deposits normally sit in escrow under Fla. Stat. 718.202. A surety bond is one of the alternative assurances the Division can approve so the developer can use those funds — in an amount equal to the deposits assured. Pricing is 3% of the bond amount, $100 minimum.

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An alternative assurance under Fla. Stat. 718.202 — used in place of holding deposits in escrow

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Amount equals the buyer deposits being assured (up to 10% of the sale price per buyer)

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3% of the bond amount, $100 minimum — your exact price appears at the application; a quick soft credit check may apply

3% of amount$100 minimum, see calculatorSoft pullnever a hard inquiryFastissued after a quick underwriting review

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How it works

Apply to approved assurance.

No long underwriting queue for the standard condo escrow bond — enter your amount, pay, and submit for Division approval. Here is the whole thing:

TODAY · ONLINE

Apply online

Your developer details, the bond amount (the deposits you want to assure), and the effective date — that is the entire application.

SAME DAY · SOFT PULL

Reviewed & issued

The application includes a quick soft credit check that never affects your score. Larger bond amounts may get a quick underwriter review within 48 hours.

NEXT STEP

Submit for Division approval

The alternative assurance must be approved by the Division Director before you use the assured deposits — until then, those funds stay in escrow. Wet-ink originals mailed on request.

About this bond

What it is and who needs it.

What the condo escrow bond actually does

When a Florida developer contracts to sell a condo parcel that isn't substantially complete, Fla. Stat. 718.202 requires buyer payments — up to 10% of the sale price — to be held in escrow so buyers are protected until the unit is built.

Rather than tie that cash up, the statute lets the developer post an alternative assurance: for residential condominiums the Division Director has discretion to accept a surety bond or irrevocable letter of credit in an amount equal to the escrow requirement; for nonresidential condominiums the developer may deliver a bond equal to the aggregate of the assured deposits. The bond stands behind the deposits in escrow's place.

The assurance must be approved by the Division Director before the developer uses the assured deposits — and pending approval, the funds stay in escrow. It is not insurance for the developer: if a buyer is owed a refunded deposit and the developer can't pay, the surety pays and the developer repays the surety. Enter the amount you're assuring — pricing starts from $100.

Fla. Stat. 718.202 (escrow / alternative assurance)Fla. Stat. 718.202 requires a condominium developer to escrow pre-construction buyer deposits (up to 10% of the sale price). For residential condominiums the Division Director may accept an alternative assurance — including a surety bond or irrevocable letter of credit equal to the escrow requirement; for nonresidential condominiums the developer may deliver a bond equal to the aggregate assured deposits. The assurance must be approved by the Division Director before the deposits are used. Confirm your amount with the Division.

You need this bond if you are

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A condominium developer pre-selling units before construction is substantially complete

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Freeing up deposit cash instead of holding 10% buyer deposits in escrow

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Building nonresidential condos assuring the aggregate of buyer deposits

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Seeking Division approval of an alternative assurance under 718.202

One application, issued fast.

Submit the application with the bond amount you are assuring; a quick soft credit check may apply — the executed bond is generated, ready to submit for Division approval.

Start the application →

FAQ

Common questions.

How much is the Florida condo escrow deposit bond?Pricing is 3% of the bond amount, $100 minimum. The bond amount equals the buyer deposits you want to assure (up to 10% of the sale price per buyer) — enter that figure at the application to see your exact price.

What does this bond let me do?It lets a developer use buyer deposits that would otherwise sit in escrow under Fla. Stat. 718.202. The bond is the "alternative assurance" that stands behind those deposits — but the Division Director must approve it before you use the funds.

Is it required, or optional?Holding deposits in escrow is the default requirement. The bond is the optional alternative — you only need it if you want to access the deposits rather than escrow them. The Division approves it case by case.

Is there a credit check?A quick soft credit check may apply — never a hard inquiry, and it never affects your score. Larger bond amounts may get a quick underwriter review; it informs approval, not price. The premium is 3% of the bond amount, $100 minimum.

Can I use a letter of credit instead?Yes — Fla. Stat. 718.202 lets the Division accept an irrevocable letter of credit as well. A surety bond is usually cheaper, since you pay one premium instead of tying up the full amount with your bank.

Which A-rated carriers underwrite these bonds?Typically Arch Insurance Company (A.M. Best A+) or Nationwide Mutual Insurance Company (A.M. Best A). Which one writes your bond depends on the bond type and your state. The carrier's name and official signature are printed on the bond you receive.

How do I contact Light RFP about this bond?Email insurance@lightrfp.com. It reaches the bond team at Light RFP Risk Management Services LLC (NY DFS License # PC-1978982). Write to us about quotes, applications, bond forms or certificates. We will respond within 24 hours.

Related bonds

Other Florida bonds.

Condo escrow bond, issued today.

Priced from $100. Enter the deposits you are assuring and submit for Division approval.

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Your premiumfrom $100

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Florida condo escrow deposit bonds.From $100.