T
he real estate market in Florida is experiencing a significant shift due to a new condo law passed in 2022. Senate Bill 4D requires costly inspections for buildings three stories or higher, significantly increasing homeowners' costs. The legislation was passed during a special session in 2022 and mandates that condo associations must have adequate funds for building repairs.

    Florida Senate President Kathleen Passidomo has received complaints about the new regulations and is working to address them. However, she has stated in a memorandum to state senators that there will be no special session to alter existing safety and reserve funding requirements or related issues. Passidomo believes that misconceptions and inaccuracies are growing about the condo safety legislation passed after the collapse of the Champlain Towers in Surfside.

    Realtor Jennifer Levin of Compass in Fort Lauderdale has observed that the Surfside condo building collapse is still causing ripple effects in the market. Rising insurance costs and new laws requiring buildings to have full reserves by next year are causing a significant pullback in the condo market. The increased association fees are making it difficult for buyers to afford these costs.

    According to a report by ISG World, a condo crisis is looming in Florida. The report shows that total active condo listings in Miami-Dade, Broward, and Palm Beach counties increased from 8,497 in the first quarter of 2023 to 20,293 in the second quarter of 2024. The data indicates that a significant number of these listings are for buildings over 30 years old. In Miami-Dade alone, there were 7,961 condo listings over 30 years old in the second quarter of 2024. Broward had approximately 5,166 condo listings over 30 years old, while Palm Beach had 4,669. In contrast, less than 1,000 condos across all three counties were less than 10 years old.