How much of my deposit has to be in escrow?

Payments up to 10% of the sale price must go into escrow while the building isn't substantially complete, with other assurances (a surety bond or irrevocable letter of credit) possible for residential condominiums if the Division director accepts them. Amounts above 10% go into a special escrow account, but your contract may allow the developer to use them for construction costs once construction has begun (§ 718.202(1)–(3)).

Can the developer spend my deposit on construction?

Not the first 10% in escrow under § 718.202(1). Above 10%, only if your contract says so, only after construction has begun, and only for actual construction costs. Look for the boldface legend in your contract.

Who holds the escrow, and can I get a receipt?

The escrow agent must be independent of the developer (for example a bank, a Florida Bar attorney, a licensed broker or a title insurer), and must give you a receipt on request (§ 718.202(1), (8)).

What is the 15-day right to void?

The contract must say you can void it within 15 days after signing and receiving the required documents, and within 15 days after receiving an amendment that materially and adversely changes the offering. You can't waive these rights, and they end at closing (§ 718.503(1)(a)).

Does a changed completion date start a new 15-day window?

Only if it is an amendment that "materially alters or modifies the offering in a manner that is adverse to the buyer." The statute doesn't say whether a particular date change qualifies. Ask your attorney, and don't rely on the 15 days without a legal read.

What is force majeure, and does it excuse delay?

It's a contract clause that excuses or extends performance for listed events outside a party's control, such as storms or government orders. Its effect depends entirely on the wording in your contract, including any cap on extensions.

What happens to my deposit if I default?

Under § 718.202(1)(b), if the buyer defaults on the contract's obligations, the escrowed funds are paid to the developer with interest earned. How "default" is determined is governed by the contract and the statute's release provision, so get advice before missing a payment or sending a notice.

What if the marketing materials promised something different?

Section 718.506 allows a buyer who reasonably relied on a material false or misleading statement in developer-published materials to sue to rescind or recover damages, subject to statutory time limits. Whether your situation qualifies is a question for your attorney.

Do federal land-sales rules (ILSA) apply to a Miami condo?

Generally not for a condominium unit. 15 U.S.C. § 1702(a)(2) exempts sales of improved land with a condominium building, and sales under a contract obligating the seller to build within two years, unless the sale method is adopted to evade the Act. Exceptions and conditions apply; ask your attorney.

Does this article apply outside Florida?

No. It covers Florida's condominium law only. Other states and non-condominium purchases follow different rules.

Miami New Development Delayed? What Happens to Your Deposit

Q: If my Miami pre-construction condo is delayed, do I get my deposit back?

Not automatically. Florida's condominium law requires escrow of your payments while the building is unfinished and sets rules for when funds are released, but the sections of Chapter 718 we reviewed don't set a delay-based refund. Your contract controls: whether you can cancel and recover your deposit depends on its terms, on whether you have a statutory right to void, and on the facts. Ask a Florida real estate attorney.

If a Miami new development runs late, Florida law controls where your deposit sits, but your contract controls most delay remedies. Escrow, release and voiding rules.

AnswerA delay by itself doesn't automatically free your deposit. Under Florida's condominium law, the developer must escrow your payments while the building is unfinished and can't release them to itself except as the statute and your contract allow, but the sections of Chapter 718 we reviewed don't set a delay-based refund. Your contract controls: its completion date, extension and force majeure clauses, plus a few statutory rights to void, decide what you can do about a late project. Not legal advice: ask a Florida real estate attorney to read your contract.

At a glance

Question	What Florida's condominium law says (Fla. Stat. ch. 718, 2026 edition)
Is my deposit held in escrow?	Yes, if the building isn't substantially complete: payments up to 10% of the price go into an escrow account (§ 718.202(1)); the developer may instead seek other assurances approved by the Division for residential condominiums (a surety bond or irrevocable letter of credit)
What about money above 10%?	Held in a special escrow account and not usable by the developer before closing, except for refund or construction costs if your contract says so, with a required boldface legend (§ 718.202(2)–(3))
Who can hold the escrow?	An agent independent of the developer, such as a bank, a Florida Bar attorney, a licensed broker or a title insurer (§ 718.202(8))
When does the money go to me?	If you "properly terminate" under the contract's terms or under chapter 718: to you, with interest earned (§ 718.202(1)(a))
When does it go to the developer?	If you default, or at closing unless the escrow agent has received your written notice of a dispute (§ 718.202(1)(b), (d))
Is there a statutory completion date or delay refund?	The sections of Chapter 718 we reviewed don't set a delay-based refund; your contract controls. Ask a Florida real estate attorney. The prospectus must give the estimated latest completion date, or say it is in the purchase agreement and where (§ 718.504(4)(b)3)
Can I void the contract?	Within 15 days after signing and receiving the required documents, and within 15 days after a materially adverse amendment (§ 718.503(1)(a)); and if the developer failed to follow the escrow rules (§ 718.202(5))

What the escrow rules do (and don't) do

If you sign a contract to buy a condominium unit before construction is substantially complete, § 718.202(1) requires the developer to put payments up to 10% of the sale price in escrow, and the escrow agent must give you a receipt on request. The Division director can accept other assurances for residential condominiums, such as a surety bond or an irrevocable letter of credit. Payments above 10% go into a special escrow account (§ 718.202(2)); if that money sits there more than three months and earns interest, the interest is paid under subsection (1). Under § 718.202(3), if your contract says so, the developer may withdraw the above-10% funds once construction has begun, but only for actual construction costs, and the contract must carry a boldface legend that any payment above 10% "may be used for construction purposes by the developer." Read that legend in your contract: it tells you whether part of your deposit may already be building the project rather than sitting in escrow.

Escrow protects where the money sits. It doesn't set a delivery date. For "completion of construction," § 718.202(4) means a certificate of occupancy for the entire building (or its equivalent), which is the point when these escrow rules stop applying.

When is my deposit released?

Section 718.202(1) lists the release rules: to you if you properly terminate under the contract or chapter 718; to the developer if you default; and otherwise to the developer at closing, unless the escrow agent received your written notice of a dispute before the funds are disbursed. The statute adds that "default determinations and refund of deposits shall be governed by the escrow release provision." If you and the developer disagree, how you give notice, and when, can matter, so ask your attorney before sending anything.

Where delay is actually handled: your contract

Most of the delay answer is contract language. Ask your attorney to look for:

The completion date and how it can move. Is it a fixed date, an outside date or a range? Can the developer extend it, and by how much?
Force majeure. Which events excuse delay, and does the clause cap the total extension?
Your remedy. Does the contract give you a right to cancel and a refund after a stated outside date, or only a right to wait?
Deposit use. Does it contain the § 718.202(3) legend allowing construction use of funds above 10%?
Amendments. Any change to the completion date or the offering is something to read closely, because a materially adverse amendment can start a new 15-day voiding window (see below).

The prospectus also matters: it must state the estimated latest completion date, or say the date is in the purchase agreement and where (§ 718.504(4)(b)3), and it carries a conspicuous warning that oral representations can't be relied upon (§ 718.504(1)(b)). Rely on the documents, not on a sales gallery conversation.

Statutory rights to void

15 days after signing. The contract must carry a legend making it voidable by the buyer within 15 days after execution and receipt of the required documents. Waiver of this right has no effect, and it ends at closing (§ 718.503(1)(a)).
15 days after a materially adverse amendment. The same legend gives you 15 days after you receive an amendment "which materially alters or modifies the offering in a manner that is adverse to the buyer." Budget figures are estimates, and cost changes aren't treated as material adverse changes under the statute. Whether a changed completion date is "materially adverse" is a question for your attorney; the statute doesn't say.
Missing documents. Until the developer delivers the required documents, you may void and get the deposit back with interest under § 718.202 (§ 718.503(1)(b)). The developer generally can't close within 15 days after execution and document delivery unless you agree in writing.
Escrow noncompliance. If the developer doesn't follow § 718.202, the contract is voidable by the buyer and sums paid are refunded with interest at the highest savings-account rate in the area (§ 718.202(5)).

If the marketing said one thing and the building says another

Section 718.506(1) gives a buyer who reasonably relied on a material false or misleading statement in the prospectus, brochures or advertising published by or under the authority of the developer a cause of action to rescind or collect damages before closing, with a time limit for suits after closing (the statute's outer limit is five years after closing). The prevailing party may recover reasonable attorney's fees (§ 718.506(2)). Whether a late delivery date counts as a misleading statement depends on what was said and when. That is a legal question for counsel, not a conclusion this article draws.

Practical steps if your project slips

Pull your documents. Contract, prospectus, escrow agreement and every amendment.
Ask the escrow agent for a receipt or a statement showing where your funds are held (§ 718.202(1) says the agent gives a receipt on request).
Check dates. Find the completion date, any extension right and your cancellation rights, and calendar the 15-day windows if you receive an amendment.
Put questions in writing to the developer and keep copies.
Talk to a Florida real estate attorney before you send a termination or dispute notice, because the release rules turn on how you terminate.
Plan the money. If you've arranged a mortgage rate lock, a home sale or a move around a delivery date, ask your lender and attorney how a new date affects them.

Find a realtor who knows Miami new development

A licensed realtor can help you compare projects, read the delivery-timeline language alongside an attorney and track a developer's communications, but only an attorney can advise you on your contract's legal effect. Find a Realtor on Haute Real Estate Network, including:

Melissa Barragan, Vice President at Dezer Platinum Realty in Sunny Isles Beach. Her profile says she is known for pre-construction in-house development sales at landmark towers including Porsche Design Tower, Residences by Armani/Casa and Bentley Residences.
Maria Kuzina, Broker/Owner of Miami Luxury Real Estate in Miami Beach, which focuses on luxury condos and homes. Her profile lists Miami Beach, Fisher Island, Sunny Isles Beach, Bal Harbour, Surfside, Brickell and Downtown Miami among the markets she serves.

Sources

Florida statutes checked on flsenate.gov on October 11, 2026.

This article is general information, not legal advice. Laws change; confirm current requirements with a Florida real estate attorney before you act.

What Happens to Your Deposit If a Miami New Development Is Delayed?