Condo owners wake up to grim reality that their homes are worthless after law change

[240B]

Condo owners wake up to grim reality that their homes are worthless after law change

Daily Mail
By MARIANNE GARVEY
24 June 2025



Florida's condo market has become a nightmare for many residents trying to sell.

The Sunshine State's retirees who flocked there for affordable condos now find themselves stuck with old properties worth virtually nothing that they are desperate to escape.

Pending mandatory repairs and rising HOA fees on aging towers have driven owners to list in a flooded market.

In Boynton Beach for example, a two-bedroom, two-bathroom condo at Hunters Run Country Club with access to a resort-style pool and high-end amenities is selling for just $10,000. The owner paid $60,000 for it in 2001. It's now worth $3 per square-foot.

On Marco Island, a one-bedroom, two-bathroom condo complete with water access at Sunrise Bay Resort is listed for $9,000.

In contrast, a newer build nearby on Marco Island with an oceanfront entrance is selling for $629,000.

But the rock bottom prices still won't move inventory. Buyers aren't biting.

Instead, most are opting for newer builds, which come with modern storm protections, amenities and HOA fees that won't skyrocket any time soon.

The dramatic shift comes after a new Florida law — passed in response to the deadly 2021 Surfside collapse that killed 98 people — imposed strict inspection and funding requirements for aging buildings.

Condo associations must now conduct structural safety assessments and collect hefty reserve funds for future repairs.

'I think we are going to see a growing divide,' attorney Alessandra Stivelman of Eisinger Law tells DailyMail.com

'New condos built to modern codes and with fully compliant reserves will thrive — while older buildings may struggle to survive and face termination, bulk sales, or redevelopment.'

Now, owners are trying to dump their condos. The problem is, no one wants them.

(more)
https://www.dailymail.co.uk/real-estate/article-14839107/florida-condo-law-home-values-hoa.html

[rustynail]

'listed for $9,000', pay the 9k and live there until forced out for nonpayment of fees or something.  Should be good for a year or more?

[libertybele]

It would seem to me that the HOA fees and other fees that have been collected should have gone towards keeping condos up to code. 

The new Florida laws are much needed.

It is a shame, some of these condos are on beautiful pieces of property, but unfortunately after years of neglect they are worthless.  Investors are going to make an absolute killing on buying up these properties and rebuilding. 

Even single-family dwellings that flooded during the hurricanes are finding themselves in similar predicaments if they are older.  They need to be elevated in order to meet code to rebuild which insurance won't cover and people are selling properties for what they can get out of them.  Investors are having a field day.

[cato potatoe]

Most of the oceanfront condos down in south Florida were built on the cheap in the 60s through the 80s.  They look like crap and need to be demolished.  The land would bring $10-20 million per acre at least. 

[240B]

'listed for $9,000', pay the 9k and live there until forced out for nonpayment of fees or something.  Should be good for a year or more?

I don't think it will work that way. There are developers waiting out the residents so they can demolish the buildings and claim the land for new development. Eventually the buildings will be condemned as unsafe for occupation. Many of the buildings involved are 'not fixable' for any amount of money. They have to be torn down and rebuilt.

[libertybele]

'listed for $9,000', pay the 9k and live there until forced out for nonpayment of fees or something.  Should be good for a year or more?

Well, it depends.  After the recent hurricanes and storms some of the condos are inhabitable.

[libertybele]

I don't think it will work that way. There are developers waiting out the residents so they can demolish the buildings and claim the land for new development. Eventually the buildings will be condemned as unsafe for occupation. Many of the buildings involved are 'not fixable' for any amount of money. They have to be torn down and rebuilt.

Exactly.

[240B]

Well, it depends.  After the recent hurricanes and storms some of the condos are inhabitable.

If the land developers can get the buildings condemned and then persuade the city to shut off water and electricity, nobody will be able to live there. They will all be forced to vacate.

[libertybele]

Most of the oceanfront condos down in south Florida were built on the cheap in the 60s through the 80s.  They look like crap and need to be demolished.  The land would bring $10-20 million per acre at least.

Hurricane Ian did a tremendous amount of damage, but even before that, unfortunately the condos weren't upgraded every so often to meet current codes.  Where did all the money from the HOA fees and other fees go?? 

[libertybele]

If the land developers can get the buildings condemned and then persuade the city to shut off water and electricity, nobody will be able to live there. They will all be forced to vacate.

Very true.  However many condos and properties after the hurricanes had to be vacated and condemned anyways.  Those who didn't carry flood insurance found themselves SOL as FEMA wasn't going to fork over a dime.  To boot what many don't realize is that flood insurance will only cover up to $250,000.00 and good luck getting even that.  FEMA is nothing more than a wasteful government money maker that wound up in the long run not helping like those insured were promised.

To make matter worse, mortgage companies are still requiring those in flood zones to carry flood insurance and the premiums are beyond ridiculous.  So basically people are having to pay high premiums and when the time comes their policies are virtually worthless.

[cato potatoe]

Hurricane Ian did a tremendous amount of damage, but even before that, unfortunately the condos weren't upgraded every so often to meet current codes.  Where did all the money from the HOA fees and other fees go??

After a storm it is evident which structures were built prior to 2002, when the unified code was adopted.  In Pinellas co we are going to have a Homestead-like event if a direct hit ever comes about.  Most of the single family homes were built cheaply after WWII.

I think a bunch of condo HOAs charged artificially "low" monthly dues because their residents figured they would sell or die before any serious problems emerged.  It's tough to convince owners on fixed incomes to vote for structural repairs. 

[DefiantMassRINO]

Between building codes, building inspections, and insurance, there may be greener, newer pastures for retireees elsewhere.

Those who have been retired more than 10 years will probably need to move.

In costal Florida, it may make more sense to be a renter than an owner.  Renting offers more mobility than being anchored to an owned property.

[Fishrrman]

240b predicts:
"Eventually the buildings will be condemned as unsafe for occupation. Many of the buildings involved are 'not fixable' for any amount of money. They have to be torn down and rebuilt."

Hmmm...
Might be good times ahead for the building implosion specialists who can take 'em down "just like that"...

[IsailedawayfromFR]

This is eerily similar to what happened in Lahaina, valuable land used by heritage homeowners getting squeezed out so room is made for the big builders.

It is trend