by Mike Colpitts 
Florida Governor Ron DeSantis is expected to extend the deadline for studies on condominiums in the state. The new law that went into effect after the collapse of the Champlain Towers condo in Surfside that killed 98 people in 2021 requires the inspections. The state’s condo market is in a condo crisis.
Condo owners await the governor’s assistance from the legislation, which is on the governor’s desk awaiting his signature.
State house bill (HB 913) is intended to assist condominium associations in their efforts to upgrade units in cases of deferred maintenance. Hundreds of older condo buildings already inspected by state licensed building inspectors are in need of repairs. A condo crisis has resulted in Florida for many condo owners as a result.
Lawmakers in Agreement
The House and Senate have formally approved the extension but the bill has not yet been signed by the governor to become law. DeSantis made revising condo laws one of his top priorities of this year’s legislative session. The changes came after residents and associations argued that the laws passed two years ago were driving up costs and forcing condominium associations to raise their monthly fees.
“You had people that were going to be forced out of their condos potentially because of legislation that had come down the pipe,” DeSantis said during an appearance in Tampa.
State lawmakers passed legislation giving condos with three or more stories a Dec. 31, 2024 deadline to complete structural integrity reserve studies. The inspections are to be repeated every 10 years, detailing how much a condominium association needs to collect in additional association reserves to pay for structural repairs.
The repairs and improvements required by the inspections are hitting older buildings particularly hard. Those that are more than 30 years old are needing more repairs and replacement parts than newer dwellings. The governor is pushing for condo relief to aid hundreds of thousands of condominium unit owners who are unable to afford the higher association dues.
Thousands of condo owners have put their units up for sale as a result of not being able to afford higher condo association fees and additional assessments. The condo crisis has left some retirees and older owners on fixed incomes particularly hard hit in older buildings by the new legislation.
Condo Owners Await Governor’s Assistance
The laws, passed in 2022 and tweaked in 2023, included requiring “milestone inspections” of older buildings and “structural integrity reserve studies” to determine how much money should be saved for “major future repairs.”
House Bill 1021, passed in 2024, was intended to improve the lives of Floridians in condominium communities by prioritizing safety, expanding accountability, and increasing transparency. The DBPR’s Division of Condominiums, Timeshares, and Mobile Homes is responsible for implementing the new legislation.
Milestone inspections were supposed to be completed by the end of 2024 for older buildings that are three stories or higher. Most of those developments are at least 30 years old.
Some condo associations hit owners with large assessments in their race to comply with the deadline. The assessments have been levied in addition to homeowners’ regular association fees. Most condo association fees have at least doubled in the past five years as a result of higher insurance premiums and other expenses.
The law, which will take effect July 1, extends by one year the deadline for structural-integrity studies, which must be completed by Dec. 31.
Lawmakers argued many condo associations were struggling to meet the deadline. The bill also would allow a temporary pause in reserve funding for two years immediately following building inspections and give condo associations more flexibility meeting reserve requirements.
Opportunity in Condo Crisis
The slow process has also made it an opportunity for some investors seeking to make a wise investment at a time when some older condo owners were facing financial difficulties as a result of the legislation. Cash-strapped owners are dumping their homes on the market and some are even selling at a loss.
Inventory is up more than 34% compared to last year. The time it takes to sell has also increased.
If signed into law, the bill will give condo associations more time to submit a study of their savings and fully fund their reserves, two changes that were mandated in response to Surfside. Once it comes time to fund reserves, associations will be allowed to cover those costs using a line of credit or a loan.
“It gives them a little bit of wiggle room,” said Rep. Vicki Lopez, R-Miami, one of the sponsors of the bill. With fewer expenses coming due all at once, she is hopeful that the changes will help some people stay in their condos.