After the Surfside tragedy in 2021, Florida lawmakers moved quickly to prevent another catastrophic building failure. The result? New legislation requiring condo associations to maintain strict reserve funds and complete milestone inspections. While these rules were created to keep people safe, they’ve had serious—and in some cases, devastating—side effects for long-term condo owners, particularly seniors on fixed incomes.
Reserve assessments in some buildings are now exceeding $100,000 per unit. And without meaningful relief, many South Florida residents could be forced to sell or walk away from homes they’ve owned for decades.
What’s Going On?
These financial burdens stem from Florida’s condo safety law passed in 2022, which requires:
- Structural milestone inspections for buildings over 30 years old (or 25 if near the coast)
- Fully funded reserve accounts for necessary structural repairs
These regulations were introduced with the best of intentions. But now, many condo associations are scrambling to comply, and the cost is being passed directly onto homeowners.
You can read more about the impact in this detailed report from Local 10 News.
Proposed Solutions: SB 1742 vs. HB 913
At a recent press conference, Governor Ron DeSantis and other state leaders discussed two competing proposals aimed at easing the burden:
- Senate Bill 1742: Focuses on increasing transparency, modernizing board elections, offering alternative funding methods, and allowing flexibility in reserve requirements.
- House Bill 913: Has been criticized for favoring developers and potentially increasing assessments due to less transparent management practices.
While both bills aim to address the crisis, many residents and association leaders feel the Senate version provides more immediate and equitable relief.
What This Means for Owners
If you own a condo in a building over 25 years old, especially near the coast, these new regulations could significantly affect your finances and resale value. Buildings without the reserves to complete mandatory repairs may become ineligible for financing, which limits buyer options and drives down demand.
Some worry that this could lead to mass buyouts by developers, gentrification, and the displacement of long-term residents. It’s a situation that could ripple through the entire Miami-Dade real estate market.
Enforcement and Oversight
The Department of Business and Professional Regulation (DBPR) is now tasked with greater oversight of condo associations. But with thousands of buildings across the state, many are questioning whether the DBPR has the resources to enforce the law effectively.
There’s growing support for empowering local governments to establish their own task forces, possibly in partnership with law enforcement, to monitor board activity and prevent corruption or mismanagement.
Final Thoughts
This isn’t just a policy issue—it’s a human issue. Many of these buildings are home to families who never expected to face financial ruin due to safety regulations. The challenge now is finding a balance between protecting lives and protecting livelihoods.
If you’re feeling uncertain about your condo’s future or need help understanding how these changes could impact your property’s value, I’m here to help.
Reach out any time: Contact Kim Kaplan Marchena
Kim Kaplan Marchena is a local real estate expert specializing in Northeast Miami’s waterfront condos and single-family homes. She helps buyers and sellers navigate the market with clarity and strategy.