6 days ago
'It's sad': Florida's condo fee crisis could trigger the 'next wave of homeless people' in the state
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A building safety law that was passed in the wake of the Surfside tragedy in Florida has resulted in a tremendous amount of financial pressure on condo owners. Now, one state lawmaker warns it could prompt the "next wave of homeless people," with elderly residents living on fixed incomes at the forefront.
The law requires associations for condos three stories or higher to fully fund their maintenance reserves. Previously, they could waive filling these reserves, which potentially allowed damage to build up over decades. It's also mandatory for buildings at least 30 years old to undergo structural assessments and address any critical issues. Many owners have blamed these rules for adding upwards of tens of thousands of dollars in new fees.
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Rep. Mike Caruso rang the alarm after the issue was dropped from a special session in January.
"It's sad, and we're not going to address it here in the Florida House," Caruso told the Miami Herald. "I'm shocked by it."
Here's what has Caruso concerned about elderly condo owners.
New building safety law
In 2021, 98 people died when Champlain Towers South, a 12-story condominium in the Miami suburb of Surfside, partially collapsed. Legislators rushed to pass safety reforms and a new bill was signed into law.
But there was a problem. Many condo associations were short on reserve funds. This means that the costs for now-mandatory inspections and repairs were passed on to unit owners. These extra fees, or special assessments under Chapter 718 of the Florida Statutes, are typically levied in addition to existing fees.
Seniors on a fixed income are especially vulnerable to sudden maintenance fee increases. This is even more true for seniors still paying off a mortgage on their condo. What's more, Florida has one of the highest proportions of Americans over 65 in the country at 21.70% of the population, according to the U.S. Census Bureau.
Taken together, this can put seniors on a fixed income in dire straits.
Downsizing to a smaller place or refinancing the mortgage rate on your current home could be challenging in this economy — with 30-year fixed-rate mortgages hovering at 6.72% as of July, 2025.
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Read more: BlackRock CEO Larry Fink has an important message for the next wave of American retirees —
Another source of financial stress
Florida, which is prone to natural disasters, is also facing an insurance crisis. Prominent home insurance providers like Farmers, AAA, and Progressive have been steadily reducing or permanently shutting down operations.
Home insurance prices in Florida are among the highest in the nation. The average annual premium for a $300,000 dwelling in the state was $5,340 as of March 24, nearly two-and-a-half times the national average of $2,242, according to Bankrate.
But this doesn't mean you can't get affordable insurance coverage for your home.
is an online marketplace that lets you compare rates offered by leading aggregators near you for free. A side-by-side comparison of insurance premiums and other features can help you save up to $482 a year on average.
After entering basic details about yourself and your home, OfficialHomeInsurance will sort through its database of over 200 insurance companies and display the best deals for you.
From here, you can find the lowest home insurance rates available in only minutes.
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This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
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