Why Florida Condo Owners Are Rushing to Sell — And What Buyers Need to Know

Neil Caron
Apr 23
2 min read

Soaring insurance premiums. Surprise assessments. Financing hurdles.

Florida’s condo market is facing a perfect storm—and many owners are heading for the exits.

At ReadySetLoan, we help buyers and sellers understand what’s driving the shifts in real estate markets across the country. One of the most dramatic examples right now? Florida’s condo crisis.

🚨 What's Going On in Florida?

Florida is home to nearly 20% of all U.S. condominiums, but recent changes in insurance, regulation, and financing have created a financial pressure cooker for many condo owners.

Retirees Rob and Karen Dickson, who bought their dream condo in Punta Gorda in 2021, soon saw costs skyrocket:

Their insurance doubled after a hurricane.
A $7,200 special assessment hit their building.
Monthly HOA fees jumped from $800 to $1,000.

Their solution? Sell. But with 43 other units on the market in the same community, they had to accept an offer $20,000 below asking.

And they’re not alone.

📉 Condo Prices Are Falling—Especially for Older Buildings

While flashy new condos in Miami might still be commanding higher prices, older properties are being hit hard:

Condos 30+ years old have dropped 22% in value in the last two years.
At the same time, fewer than 25% of associations have complied with Florida’s new safety regulations—enacted after the tragic Surfside collapse in 2021.

Buyers are understandably cautious. So are lenders.

⚠️ The Financing Freeze

Financing a Florida condo has never been trickier:

Over 1,400 Florida condo buildings are on Fannie Mae’s “blacklist”—flagged for insurance issues or deferred repairs.
If a building is flagged, buyers might not qualify for conventional mortgages.
Even minor application errors have blocked entire buildings from getting approved.

“They won’t finance anything until the repairs are done,” says Anibal Torres, a mortgage lender with CMG Financial.

At ReadySetLoan, we work with buyers to understand how these factors impact their loan options and long-term equity. We don’t originate loans—but we do arm you with the knowledge to ask the right questions.

🧠 RSL Perspective

🏁 RSL Piggy Points:

Rising fees and assessments have pushed many Florida condo owners to sell—often under market pressure.
Buyers should be especially cautious with older properties and buildings undergoing repairs.
Not all condo buildings are mortgage-eligible. Work with your lender and consult resources like ReadySetLoan to avoid surprises.
Legislative changes in Florida may ease the burden—but uncertainty still clouds the market.

📌 Bottom Line

If you’re looking to buy in Florida—or thinking of selling—don’t go it alone. The condo market is shifting rapidly. From financing restrictions to safety reforms, every decision needs a strategic plan.

Let ReadySetLoan be your trusted resource and guide. We break down complex issues into plain English and help you approach the finish line with confidence.