Posted on 08/18/2024 6:50:34 AM PDT by dennisw
The figure is an 143 percent leap from the 8,353 in the same period last year. Almost 90 percent of those for sale are in buildings more than 30 years old.
Under the new guidelines, condos older than 30 years or more than three stories will require increased inspections from December 31.
Read More REVEALED: The cities offering the most apartment space on a $1,500 budget article image The cost of insurance and Homeowners' Association fees to cover the special assessment requirements has also jumped.
'Condo costs are shocking,' said Juan Castro, a Redfin Premier agent in Orlando. 'Condos that used to have a $400 monthly maintenance fee may now have a $700 fee. It's causing buyers to rethink their plans.'
Arkadiy Kats, 71, already pays $340 a month for a special assessment and $897 a month for monthly condo HOA fees.
Starting next year, he is expected to contribute an additional $731 toward reserves.
Florida condo owners are slashing prices by up to 40 percent as they strive to dodge massive incoming repair costs.
Some units have had almost half a million wiped off their asking price as safety fears trigger a wave of sell offs in what realtors have described as the worst real estate crisis in decades.
One three-bedroom, two-bathroom condo in Saint Petersburg was listed at around $1.2million at the start of the year.
But still without a buyer, the owner slashed the asking price first to $898,000 and last week to $715,000.
State legislation brought in following the 2021 collapse of the Champlain Tower South in Surfside, Miame-Dade County, which killed 98 people, means hundreds of thousands of condo owners must now fork out hefty sums for previously neglected maintenance.
(Excerpt) Read more at dailymail.co.uk ...
shades of ‘08?
Every single one of these is simply being appropriately revalued to the accrued maintenance bills.
They were living a financial lie that was physically unsafe.
Doing so many at once is saturating the market, but, they had no problem riding the prices up, either.
No more like Shades of KAMUNSM and Bidenomics!! Don’t EVER FORGET!!
40% makes up for part of the monumental rise in prices over the last 5 years
Exactly. I sold my condo 5 years ago for $110k.
Current asking price $300k.
Without dips, it becomes unaffordable for the next generation of buyers. The endless money printer of government helps to destroy market fundamentals.
Century Village-all 4 of them-has many listings. There’s a $300 recreation fee. Probably worth it. Then there’s required insurance. What does it cost to just sit in one and breathe?
Exactly.
If $300/month busts a budget then the property isn’t affordable in the first place.
Fact is, many condo’s need the inspections as they are crumbling.
shades of ‘08?
Nope, “08 was caused by bad lending practices. These condos are just being repositioned to the true market. As the article notes, owners are having to put additional funds in reserves to meet the challenges of deferred maintenance and management.
Also this is only effecting a small part of the total market, even in Florida.
I suspect that with the example shown, that the home owner will walk away with a profit, if he owned it for 20 plus years. And they had a place to live for 20 years.
Looks like 700+
Maybe one should expect a mess if they live in a condom.
It’s Florida’s nature repeating itself. When an economy sinks, second homes are the first to go. The deals after the crash will be epic.
How right you are!
If you think that's bad, what about the financial lie that we all live with $35 trillion in debt (and rapidly growing) hanging over our collective heads?
Chickens do come home to roost.
Oh, for eff sake, don’t EVER buy a condo with an HOA!! Good times or bad, you’re buying into a little tyrannical feifdom which is usually protected and supported by even worse state laws! Plus, if you ever get hit with a “Special Assessment”, it takes years, if ever, to get rid of it. Single family homes with HOAs can obviously be pestersome, but they are usually more reasonable - and far less abusive and communistic.
They were living a financial lie that was physically unsafe.
And the market is responding as it should. A sad reality , but inevitable. Old and aging structures are not increasing in value . Just like owning a house trailer on the beach, the difference being, condo junk can’t be hauled away without knocking it down.
This buying opportunity comes attached to rapid homeowners insurance premiums, ridiculous HOA fees, requirement to learn Spanish, and increasing crime.
Holding costs are significant - though if money is no object, no worries.
Investment yields will be minimal
At 40% off, prices would still be way too high.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.