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lorida's real estate market is facing a crisis as the cost of living in older condominiums continues to rise. Condo owners are struggling to sell their properties due to increasing insurance rates and special assessments, but buyers are hesitant to purchase. According to Florida Realtors, sales have dropped nearly 15% compared to last year, with the Tampa Bay metro area experiencing a 20% decline.

    The collapse of the Champlain Tower South condo in Surfside four years ago led lawmakers to strengthen safety inspections and require associations to save for routine maintenance. However, these changes have resulted in higher special assessments and insurance premiums, making it difficult for owners to afford their homes. As a result, many are selling at a loss or dumping their properties on the market.

    Inventory has increased by over 34% compared to last year, giving buyers more negotiating power. The median sales price has dropped 6% from last year and 16% from April 2021, before the Surfside disaster. Experts predict that prices may continue to decline as sellers come to terms with the diminishing value of their condos.

    A bill currently on Governor Ron DeSantis' desk aims to alleviate some of the financial burden on owners by giving condo associations more time to submit a study and fully fund their reserves. Associations will be allowed to cover these costs using a line of credit or loan, providing them with "a little bit of wiggle room," according to Rep. Vicki Lopez.

    However, many experts believe that this change won't significantly impact the market dynamics, as owners will still face rising costs and may be forced to sell their properties. As one broker associate noted, "Someone is going to have to pay, there's no way around it."