Florida's Condo Safety Laws: What Buyers Should Know

Quick answer: After the 2021 Surfside collapse, Florida passed SB 4-D in 2022 and has updated it since. Condo buildings three stories or taller must have milestone structural inspections, associations must complete structural integrity reserve studies (SIRS), and reserves for those structural items can no longer be waived. For buyers, this means reading the inspection reports, the reserve study, the budget and the minutes before committing, and asking about any planned special assessments.

Florida's condo rules have changed more in the last few years than in decades before. This article is for buyers looking at condos in Palm Beach, Broward and St. Lucie Counties who want to know what the laws require, how they can affect an association's finances and which documents to read before closing.

The laws have been amended more than once, and deadlines and details continue to change. Use this as a general guide and confirm the current rules with your attorney, the association or the Florida Department of Business and Professional Regulation.

Why the laws changed

In June 2021, the Champlain Towers South condominium in Surfside partially collapsed. In response, the Florida Legislature passed SB 4-D in a 2022 special session, followed by further legislation in later sessions. The goal was to make sure condo buildings are inspected regularly and that associations set aside money for major structural repairs instead of deferring them.

Milestone structural inspections

The law requires milestone inspections for condominium and cooperative buildings that are three stories or taller. The inspection is done by a licensed architect or engineer and happens in phases:

• Phase one is a visual examination of the building's structural components. If the inspector sees no signs of substantial structural deterioration, the inspection may end there.
• Phase two is required when phase one finds substantial structural deterioration. It is a more detailed inspection that can include testing and recommendations for repairs.

The first milestone inspection is tied to the age of the building, with earlier timing for buildings near the coast, and repeat inspections follow at set intervals. Local building officials oversee the process.

Structural integrity reserve studies (SIRS)

A SIRS is a study of specific building components that the association is responsible for, to estimate their remaining useful life and replacement or repair cost. Items covered include the roof, structure and load-bearing walls, fireproofing and fire protection systems, plumbing, electrical systems, waterproofing and exterior painting, and windows and exterior doors, along with other items with significant deferred maintenance costs.

Based on the study, the association must fund reserves for those items. This is the change that affects buyers most directly.

Reserves can no longer be waived

Before these laws, many associations voted to waive or reduce reserve contributions to keep monthly fees lower. Under the current rules, associations in covered buildings cannot waive or reduce the required reserves for structural integrity items.

What that can mean in practice:

• Higher regular fees in some buildings as associations fund reserves at the required level.
• Special assessments in buildings that need repairs now, or that have underfunded reserves.
• Loans or other financing arranged by some associations to cover large repair projects, repaid through owner assessments.

Every building is different. A well-maintained building with funded reserves may see little change, while an older building with deferred repairs may face significant costs.

Documents to request and read

When you make an offer on a condo, Florida law gives you the right to receive the association's governing documents and related information. Under Florida Statutes section 718.503, a resale buyer who receives the documents has a limited window to review them and cancel the contract, so read them promptly. Here is what I ask for:

Document	What to look for
Milestone inspection report (if required)	Whether phase two was triggered, and what repairs were recommended
Structural integrity reserve study	Components covered, estimated costs, recommended funding
Current budget	Reserve funding levels and how they compare with the SIRS
Financial statements	Actual reserve balances and operating results
Board and owner meeting minutes	Discussion of repairs, assessments, loans or lawsuits
Notices of special assessments	Amounts, due dates and whether they are already levied
Declaration, bylaws and rules	Leasing, pet, renovation and approval rules
Frequently asked questions and answers sheet	Summary of key association information

Also ask the seller and the association directly whether any assessment is planned or under discussion, and agree in the contract on who pays assessments that are levied before closing.

How this affects financing and insurance

Lenders review condo projects before approving loans, and the condition and finances of a building can affect whether a loan is available. Some buildings may become harder to finance until repairs are complete or reserves are funded. Ask your lender to review the building early.

Insurance matters too. The association insures the building structure under its master policy, and you insure the interior and your belongings. Ask for a copy of the master policy information so your agent can quote the right coverage.

Rules change; confirm details with a Florida real estate attorney, your lender and a licensed insurance agent. The Florida Department of Business and Professional Regulation oversees condominium associations.

A practical approach for buyers

1. Shortlist buildings, not only units.
2. Ask for the milestone inspection status and SIRS before or right after making an offer.
3. Read the minutes, not only the budget.
4. Talk to your lender about the building before your financing deadline.
5. Compare the full monthly cost, including fees and any assessments, with similar buildings.

If you are considering a condo in Fort Lauderdale or elsewhere on the coast, it also helps to check the flood zone; see Flood Zones and Flood Insurance in South Florida. My buyers page explains how I work with buyers through due diligence.

Frequently asked questions

What is a milestone inspection in Florida?

It is a structural inspection required for condominium and cooperative buildings three stories or taller, performed by a licensed architect or engineer. If the first visual phase finds substantial structural deterioration, a more detailed second phase is required.

What is a SIRS in a Florida condo?

A structural integrity reserve study evaluates key building components, such as the roof, structure, fireproofing, plumbing, electrical, waterproofing and windows, and estimates what the association must reserve to repair or replace them.

Can a Florida condo association still waive reserves?

For the structural integrity items covered by the SIRS, associations in covered buildings can no longer waive or reduce required reserves. Other reserve rules may still apply differently, so confirm with the association and current law.

Will I have to pay a special assessment if I buy a condo?

It depends on the building and on your contract. Read the minutes and assessment notices, ask the association about planned projects, and agree in writing on who pays assessments levied before closing.

Next step

If you are looking at condos in South Florida and want help requesting and reviewing association documents within your deadlines, send me a message through the contact page. I'll help you know what to ask for before you commit.

Gabriela Ramalho, PA · REALTOR® with Partnership Realty Inc. · Equal Housing Opportunity