Background: The Surfside Collapse & Legislative Response
The June 2021 collapse of the Champlain Towers South condominium in Surfside, Florida, which killed 98 people, triggered a comprehensive overhaul of Florida's condominium safety laws. The Florida Legislature enacted a series of laws that fundamentally changed the obligations of condominium associations, particularly regarding structural inspections and reserve funding.
| Legislation | Key Changes |
|---|---|
| SB 4-D (2022) | Created milestone inspection and SIRS requirements for condominiums 3+ stories |
| SB 154 (2023) | Clarified and expanded the 2022 law; set specific deadlines and penalties |
| HB 1021 (2024) | Further amendments to condo safety requirements and association governance |
| HB 913 (2025) | Extended the initial SIRS completion deadline from December 31, 2024 to December 31, 2025 for associations existing on or before July 1, 2022; additional refinements to milestone inspection and reserve requirements |
Condominium Law — Chapter 718, F.S.
Milestone Inspections (§553.899, F.S.)
Milestone inspections are required for condominium buildings that are 3 stories or higher. The inspection must be performed by a licensed Florida engineer or architect.§553.899, F.S.
Phase 1
When required: Required by December 31 of the year the building reaches 30 years of age (25 years for buildings within 3 miles of the coastline), and every 10 years thereafter.
A visual examination of the building's structural components. If no substantial structural deterioration is found, no further action is required.
Phase 2
When required: Required only if Phase 1 reveals substantial structural deterioration.
A more detailed inspection that may include destructive or non-destructive testing to determine the extent of the deterioration and the necessary repairs.
Structural Integrity Reserve Study (SIRS) — §718.112(2)(g), F.S.
Condominium associations with buildings 3 stories or higher must complete a Structural Integrity Reserve Study (SIRS) byDecember 31, 2025 (extended from the original December 31, 2024 deadline by HB 913, effective July 1, 2025, for associations existing on or before July 1, 2022), and every 10 years thereafter. The SIRS must be performed by a licensed engineer or architect and must include a reserve schedule for the following structural components:§718.112(2)(g), F.S.
Critical change: As of December 31, 2025, condominium associations subject to SIRS requirements can no longer waive or reduce reserve funding for structural components. Full funding of the SIRS reserve schedule is mandatory. Associations that missed the 2025 deadline are subject to DBPR enforcement. This has resulted in significant special assessment increases at many South Florida condominium buildings.
Buyer Cancellation Rights (§718.503, F.S.)
Resale (§718.503(2), F.S.)
The buyer has 3 business days after executing the contract or receiving the required condominium documents (declaration, articles of incorporation, bylaws, rules, most recent financial statements, and FAQ sheet), whichever is later, to cancel the contract for any reason. Note: business days exclude weekends and legal holidays — this is a meaningful distinction from calendar days.
New Construction (§718.503(1), F.S.)
The buyer has 15 calendar days to cancel after receiving all required documents from the developer.
Estoppel Certificates (§718.116(8), F.S.)
An estoppel certificate confirms the current status of a unit owner's account, including any outstanding assessments, pending special assessments, or violations. The association must provide the estoppel certificate within 10 business days of the request. The maximum fee is $299 (standard). If the unit is delinquent, an additional $179 fee may apply. Expedited processing (within 3 business days) carries an additional $119 fee, for a maximum of $418 expedited. These fees were adjusted for inflation by the DBPR in 2022 from the original $250 statutory cap. Buyers and their agents should always request and review the estoppel certificate before closing to ensure there are no undisclosed financial obligations attached to the unit.§718.116(8), F.S.
HOA Law — Chapter 720, F.S.
Key Differences from Condominiums
Condominiums (Ch. 718)
- Subject to SIRS requirements
- Subject to milestone inspection mandates
- Reserve funding for structural items is mandatory (cannot be waived)
- Governed by DBPR
HOAs (Ch. 720)
- NOT subject to SIRS requirements
- NOT subject to milestone inspection mandates
- Reserve funding can still be waived or reduced by majority vote
- Governed by DBPR (limited oversight)
HOA Disclosure Requirements
When selling a property in an HOA community, the seller must provide the buyer with an HOA disclosure summary that includes information about assessments, restrictions, and the buyer's right to review governing documents. The buyer has 3 days after receiving the disclosure summary to cancel the contract.
HOA Estoppel Certificates (§720.30851, F.S.)
Under §720.30851, F.S., the HOA must provide an estoppel certificate within 10 business days of the request. This document confirms the current status of the owner's account and any outstanding or pending assessments.§720.30851, F.S.
Impact on Financing & Insurance
Mortgage Lending
Fannie Mae, Freddie Mac, and FHA have all updated their condominium project approval guidelines in response to the Surfside collapse. Lenders now routinely request evidence of:
- Current milestone inspection (if applicable) with no unresolved substantial structural deterioration
- Completed SIRS with adequate reserve funding
- No deferred maintenance that poses a safety risk
- No pending litigation related to structural issues
Buildings that do not meet these requirements may be classified as "non-warrantable," meaning conventional mortgage financing (Fannie Mae/Freddie Mac) is unavailable. FHA-insured loans require the building to be on the FHA Condominium Approval list. Buyers in non-warrantable buildings must seek portfolio loans or pay cash.Fannie Mae Selling Guide
Insurance
Condominium buildings without a current SIRS or with deferred structural maintenance may face higher insurance premiums, reduced coverage, or outright coverage denials from property insurers. This directly affects both the association's master policy and individual unit owners' HO-6 policies. Insurance availability and cost should be verified before purchasing a condominium unit in any older South Florida building.
What Buyers Should Request Before Purchasing a Condo
- 1Most recent Structural Integrity Reserve Study (SIRS) — verify compliance and review the funding plan
- 2Most recent milestone inspection report (Phase 1 and Phase 2 if applicable)
- 3Current reserve fund balance and schedule of planned contributions
- 4History of special assessments over the past 5 years and any pending or planned assessments
- 5Estoppel certificate confirming the unit's account status
- 6Association's current master insurance policy declarations page
- 7Most recent audited financial statements
- 8Minutes from the last 12 months of board meetings (to identify any discussed but not yet approved assessments)