Pre-Construction Condo Deposits in Florida follow staged payments and escrow rules, and this guide explains how they work for buyers.
Pre-construction buying works differently from a resale. You pay in stages during construction, and Florida law controls how those funds are held.
The Icon Beach Schedule
20% at contract, 20% at groundbreaking, 10% at top-off and 50% at closing. Full detail is on the deposits page.
Escrow Protection
Under Section 718.202, Florida Statutes, payments up to 10% of the price must sit in escrow and cannot fund construction. Amounts above 10% may be used for actual construction costs only if the contract allows it and construction has begun.
Your 15 Days
Section 718.503 gives buyers 15 days to cancel after signing and receiving the developer documents. Use them for an attorney review. This is general information, not legal advice.
How Pre-Construction Condo Deposits Are Staged
Instead of paying the full price at closing, buyers pay a series of deposits tied to construction milestones. At Icon Beach the developer schedule is 20% at contract, 20% at groundbreaking, 10% at top-off and the balance at closing. On a $1,000,000 residence that means $200,000, $200,000, $100,000 and $500,000. See the full deposit page for current terms.
Staged payments let buyers secure a price years before completion while spreading cash flow across construction.
Escrow Rules for Pre-Construction Condo Deposits
Florida law places strict controls on how developers hold deposits. Funds up to 10% of the price must stay in escrow. Amounts above 10% may be used for construction only if the contract permits it and construction has begun. Your contract and the escrow agreement spell out the details, so read both with your attorney.
- Ask which escrow agent holds the funds.
- Confirm whether funds above 10% can be used for construction.
- Keep receipts and deposit confirmations together.
Risks and Planning
Construction timelines can move, and closing costs and financing terms are set at the end, not the start. Buyers relying on a mortgage should speak with a lender early about closing requirements. International buyers should also plan for title structure and tax. See our international buyer guide and broader coverage on Miami Real Estate Trends.
The 15-day cancellation period under Florida law is your window for attorney review after you sign and receive the developer documents. Use it fully.
Budgeting for Pre-Construction Condo Deposits
A practical way to plan is to map each payment to a calendar. Contract signing is immediate. Groundbreaking may follow months later, and top-off typically comes when the structure reaches full height. Closing happens after completion and the certificate of occupancy. Because milestone dates can shift, keep funds for the next deposit liquid rather than tied up in long-term investments.
Remember that pre-construction condo deposits are only part of the cost. At closing you will also pay closing costs, prorated taxes, and initial association contributions defined in the developer documents. Ask for an estimate early so there are no surprises.
Using a Mortgage at Closing
Most buyers fund the deposits in cash and finance the balance at closing. Lenders underwrite based on conditions at that time, including rates, appraisal and the condominium project review. Speaking with a lender a year before completion helps you understand what documentation will be required.
Assignments and Resale Before Closing
Some contracts allow assignment before closing, often with fees and developer approval. Others restrict it. If you think you may want to sell before completion, review the assignment clause with your attorney before signing.
Comparing Pre-Construction Condo Deposits Across Projects
Deposit structures vary. Some developers ask for 10% increments, others for larger upfront payments. Comparing pre-construction condo deposits across several towers is one of the clearest ways to judge how a project fits your cash flow. Our team represents buyers across many South Florida developments and can prepare a side-by-side comparison of schedules, escrow terms and completion timelines so you can choose with confidence.
For Icon Beach specifically, request the latest developer documents and we will walk you through each clause that affects your pre-construction condo deposits.
Pre-Construction Condo Deposits FAQ
Are pre-construction condo deposits refundable?
During the 15-day cancellation window after signing and receiving the developer documents, buyers can cancel. After that, refunds depend on the contract terms.
Who holds pre-construction condo deposits?
An escrow agent named in the contract holds them, under Florida rules for condominium deposits.
Can pre-construction condo deposits be wired from abroad?
Yes. International wires are common; confirm wiring instructions directly by phone to avoid fraud.
Where can I get the current schedule?
Ask our team for the latest developer documents. Call +1 305 571-6319 or use the WhatsApp bubble to speak with our team.