Florida’s condo safety laws, passed after the 2021 Surfside collapse, require structural inspections and fully funded reserves, and they have changed which buildings lenders will finance.
What is different in Florida
- Buildings three stories or taller need milestone structural inspections, first at 30 years of age, then every 10 years.
- Associations must complete structural integrity reserve studies and fund reserves for key components; the option to waive those reserves has ended.
- Large special assessments for repairs or reserves are common, and lenders review them closely.
- Buildings with critical repairs pending are often non-warrantable for Fannie Mae and Freddie Mac until the work is done, which is when portfolio and non-QM lenders matter.
- Rental restrictions and insurance costs vary widely between buildings, so read the documents before you commit.
Questions
Can I get a mortgage on a Florida condo with a special assessment?
Often, yes, especially if the assessment is for completed or funded repairs. Lenders look at the amount, what it pays for and whether the work is done. See also: Mortgage loans in Florida.
What is a milestone inspection?
A structural inspection Florida requires for condo buildings three stories or taller, first at 30 years of age and then every 10 years, with repairs if the inspection finds problems.
Who finances non-warrantable condos in Florida?
Portfolio and non-QM lenders that set their own building rules. South Florida has many, and I compare several for each building.
Related
- Condo financing
- Warrantable vs non-warrantable condos
- Mortgage reserves calculator
- Mortgage payment calculator
Condo financing in other states: California. All of Florida: mortgage loans in Florida.
