Posted on 05/16/2024 2:48:21 PM PDT by dynachrome
Have a Florida condo? Can you afford a $100,000 or higher special assessment for new safety standards?
After the collapse of a Surfside Building on June 24, 2021that killed 98 people, the state passed a structural safety law that is now biting owners.
Not only are insurance rates soaring, but owners are hit with huge special assessments topping $100,000.
(Excerpt) Read more at mishtalk.com ...
“”When you buy a condominium, you are surrendering much of the control over your property to a governing body””
That is just one reason I would never buy a condo.
But he’s a very astute investor who is sitting on these assets because he knows that leveling the building is the best thing that can happen. The land itself is so valuable that owning a 15% stake in it puts him in an excellent financial position.
I understand the sentiment, but in many areas it’s no worse than owning a home in a town with a municipal government. You already surrender a lot of control over your property in that case.
Unfortunately for his, it is only 15% of the value of the land, not any improvements created. He will still probably make money with land valuation increases, but the “new” condos will require venture funding, and he will get none of the value of what they build.
Just keep in mind that it is generally bored old biddies who will serve on the HOA board and they are always looking to make up new rules. They walk around with clipboards to make sure you are not letting your dog poop on the grass or having too many plants on your balcony. Yes, that is the drawback of condo living.
The upside is that I never have to mow grass, rake leaves, or shovel snow.
Some of these buildings aren’t safe to live in... it’s not a minor thing in Florida.
I would not buy into anything that was controlled or regulated by some condo/HOA association.
He bought into this development years ago when the condos were cheap, and has been renting them to tenants since then. The town has since become a very hot, trendy area for real estate … and the property is now zoned to allow for a much larger building on the site. He’ll make a fortune when the building is eventually demolished. If he wasn’t such an honest guy he’d probably be tempted to burn it down now. LOL.
I hear ya.
My brother sold his condo in central Florida a couple of months ago. He was on the board for his association. He predicted this to me some time back. Also, this has created huge liability problems for condo association board members. He said it is now very unwise to be on a condo board. What will the associations do when no one will do that job?
This is a long way from bottom.
Are you kidding, even new construction, with the right hurricane can be totally blown away For those who opt to live in hurricane zones I would suggest one story reinforced concrete homes.
True dat
“government is always concerned with your safety.”
Is that you, Dr. Fauci? sarc of course.
“There’s nothing worse than a condo development filled with old people who are hell-bent on running the place as cheap as possible because they’re 70+ years old and have no interest in paying to replace building elements that will last for 40-50 years. I suspect this scenario is far more common in Florida than in most other states.”
hence, the new florida legislation that mandates inspection and maintenance to prevent seaside condo towers from collapsing from lack of maintenance ...
You bet, when that large apartment building fell down in Florida the state attorneys and those in the insurance biz were licking their chops.
I believe Florida law gives a lot of protection to condo board members. Basically, the board members and other volunteers acting on behalf of the condo association are indemnified against lawsuits except in cases where it can be proven they were acting in bad faith. This is why the insurance carrier for the HOA in the Trayvon Martin case paid out a large settlement to the mutant’s family. George Zimmerman was covered under the HOA’s indemnification rules because he was acting as a “neighborhood watch” volunteer.
Exactly. The new law is basically there to protect morons from themselves.
They cheated out and neglected the structures for decades. Time to pay the piper.
Of course they are, of course they are. 👎
He was on a board and worked with the association attorney. I’m taking his word on it. He’s a smart guy with a lot of experience in the area.
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