As a Florida insurance professional who handled condo association coverage I am starting to hear out loud the we words that have been only in condo dwellers’ and managers’ thoughts: Buying into a residential association now is to obligate yourself to large and serious unfunded and unknown liabilities: hurricane loss deductibles, landscaping, insurance costs and, most unnerving, deferred maintenance. Maintenance that will be extremely expensive but must be done (see Surfside collapse) will be obligations of tens of thousands and as high as hundreds of thousands of dollars per unit or homeowner. Many of them (and I am one of them) cannot or will not pay the necessary assessments triggering association wide defaults. You should consider carefully and investigate thoroughly before buying into a Florida HOA, POA or condo association.
@@1969bones69- I’ve heard that quite a bit from people in Florida while in other countries there simply isn’t enough space in the cities for everyone to have a single family home. I just assumed Florida was the same way.
@@1969bones69 Renting is still going to put you in the same predictament as a Condo owner because rents increase every year and you still may not have those outer pocket expenses .
Here in the Philippines with hollow block, rebar, the structural integrity of condos in Makati, Quezon City, Cebu is quite good. You don't have the unknowns of massive supplemental assessments compared to litigation happy Florida. So maybe worldwide thus isn't an issue.
Looked at a condo in Galveston, 450k and HOA of 988 a month which only paid for water, sewer, trash and buidling maintenance). Looked at the fine print and there was an assessment currently for another 900 amonth. The parking garage was unuseable pending structural repair and another assessment and therefore you had to park in the street for $25 a day(2x750 a month=1500). There was also pending litigation regarding structural damage due to termites. The pest control company only had a 2 million dollar policy. Therefore 2 more assessments were coming down the road. I was going to pay cash for the property but calculated total assessments(and parking) could run 4,000 a month for a paid off condo. Then there was taxes and insurance and utilities.... Agent acted it was no big deal.......wtf.
Holy shit!! And if you weren't so persistent and pushed to learn of all those extra monthly costs coming soon (which is probably why current owners were selling!) the realtor nor the sellers were going to voluntarily alert you to these charges you would be stuck paying for years!! Good for you!!!
@@schoomzer What are assessments? In Texas, assessments refer to what many people call "dues." Each owner in a property owners' association must make these payments. Failure to pay assessments can result in fines and serious penalties, including foreclosure.
Brokers only care about your money. They could care less whether it is a good deal or not, they just want to get your money. Brokers fees are crashing down b/c they are so shady and unscrupulous.
Hi, I had to comment on this video because I do live in Florida and can't wait to get out soon!! You're right about a lot of the information you're stating. The 3 areas you're not hitting hard enough are the property tax, insurance, and the special assessments on the condos, some being as high as $225,000.00 (I'm not joking). If you want specific information, let me know, and I will email all the specifics. Great job on your videos!
That was very well presented. I'm a realtor in Central Florida and about to retire, praise God. Moving out of state where I can better afford to live a good life.
Gas is 2.88, taxes are 80 bucks an acre I pay 495 taxes on 3b2b and most of this money is for the trash can in Columbus Co NC. Thirty miles to the beach, large freshwater lake, Waccamaw River flows out of Lake Waccamaw.. Research us and you will know where your next house will be built.
If your home is paid off just put your money into a separate investment account and pay whatever your insurance payment was. My relatives did that and had more money than they knew what to do with. They remodeled their flooded house three times and still had money leftover. When you look at your annual payout plus your deductible you can easily buy a roof shortly. And if you don’t have to you have your money still instead of buying an insurance man another home. Stop feeding the criminal machine if insurance. Build quality and buy quality to mitigate your future needs. Go standing seam and you’ll never have to replace your roof.
What happens to their paid off house if a grease fire burns it to the ground or someone working on their property hurts themselves and sues for 100k or more? Not having insurance on your paid home is not an option for me
@@TropicalTodd THINK and EDUCATE yourself. You CAN get general, "normal" house insurance for a reasonable amount with wind and water damage exclusion. I got one. I'm covered for burglary, fire, lightening, theft, liability. I'm not covered for weather related flooding, wind and hurricane. I'm saving net: $4K/year plus the $7K deductible. I'm currently at $15K for possible damages (2x4K + 7K) and have a new(!) 160mph rated roof. New roofs did not suffer much, or in many cases, had any damage from hurricane Ian - two neighbors with new roofs had zero roof damage. BTW: If you have an INDUCTON stove/range you'll not have grease fires. There is no flame(gas) or red glowing super hot(electric) surface to ignite grease. I've got one of those too... ...and it's far more energy efficient than gas or electric.
Assuming that people understand that their gambling that nothing’s going to happen to their home. Because of something does and you don’t have enough money to repair it then you get to walk away with nothing.
If your house is paid off you still may not have money. It's called being house rich & cash poor. Millions pf people who did the right thing and were able to pay off their home and be retired also. But many also fell behind because of the bills that don't stop. Utilities are sky high. If you have a claim against your home owners insurance your premium shoots up or you get dropped outright. Any personal emergency could change a person's finances and put them one step away from homelessness when they were once doing just fine.
Your property taxes will try to force you out of your home through quarterly tax increases that are illegal but no one fights. It's time to get private equity out of real estate, my family gives mortgages to the buyer and let's them pay it off at a reasonable time while getting money every month, better then the stock market.
No, you’re not going to find that in most states because they’re required to keep reserves by law. Florida allowed their boards to vote to not keep a reserve.
Good video. Informative. Great and useful information. Educational. Owned a condo in downtown tampa in 2023. Hoa was 727 a month. Got no amenities except a pool and hot tub I never used. After 1 year hoa went up to 861.09 per month and roof assessment for 4 thousand dollars. Decided to sell. Bought this condo for 409 thousand. Sadly in may 2024 only got a little over 272 thousand dollars. But I moved to a better place. My hoa is only 626 a month includes cable and the condo is all furnished. Has a club house. The other place did not. This place is bigger. Has in unit washer dryer that works and fan above my bed. All worked out.😊😊😊
I bought at 201 w.laurel on riverwalk near the Barrymore hotel. Near the armature. I would recommend Dunedin. Great area. Affordable. Walkable. Oriented to seniors. Has a senior center with great and diverse activities. Superior library with weekly movies. Restaurants shops. A ⛵ marina. Near clearwater tarpon springs. Good places to buy food. Love it. ❤❤❤
I live in Dunedin, every body and their brother wants a to move here! Rices are skyrocketing so be prepared to shell out, home insurance is high, Gov DeSants is not addressing this issue. But, the town is nice and close beach access to Honeymoon Island state Ark. Clearwater beach is close but the traffic to get there is killer.
What is great about Dunedin is that it is walkable. I do not own a car. Live 10 minutes from Dunedin plaza. Has Bealls dollar store lots for less KFC Julian s Italian restaurant drug store. 30 min. Walk from dunkin walgreens Publix st. Pete bagels ups. And 35 min. Walk from downtown and ⛵ marina. In October and November the Walk will be more comfortable. 😊😊😊😊😊. Enjoy walking. 😊😊😊😊
@@JuneKovac How is he supposed to address the issue? Increased hurricanes are the future. Repair costs are astronomical. Are taxpayers supposed to subsidize the true cost of Florida living?
I was on a Board in an older condo across from the beach in Boca Raton. What you described is exactly what I encountered when we needed to raise fees to cover repairs and improvements for our 40 year old building. Older tenants who lived there for many years fought us tooth and nail when we tried to issue special assessments. It got old, tiring, and simply no longer fun to own the condo. Sold it.
Well, if you were on the board there now. You would be forced to do all of this, and the older owners would have nothing to say that’s what all these videos are about. They’re not allowed to use their vote to make the building a death trap like Surfside did.
@@neilkurzman4907 Amen. It is about time the state government stepped in to enforce safety issues. I think people need to really understand what condo life is all about before buying one. Never, never buy a condo in the 40 year range. Nothing but one problem after another. Especially if the individual owners never updated their windows to make them hurricane proof.
@@MarkMphonoman At the be of the Florida real estate industry, Florida allowed this situation to fester for many years. Before buying into a condo, you should definitely gauge the condition of the buildings and their reserves because that represents a future expense for you. My condo complex is just one and two stories and it’s over 40 years old. Currently in a reasonable state of upkeep. But we had assessments in the past because we didn’t have sufficient reserves to cover obvious repairs. Like 20 year roofs being 20 years old.
@@neilkurzman4907 We had to use special assessments to fix our A/C, roof, and elevator. Residents fought us tooth and nail. Interestingly, drove by the condo on a recent trip to southeast Florida. From the outside the place looks great. Lol
@@MarkMphonoman That’s right we had a pool assessment apparently after 40 years, you have to dig them up and start over. I think it was 300 apiece and two years.
*****🔥***** CORRECTION *** you said the condos are not going to go down 50 or 60 but I tell you that they will because in 2008 they went down a lot but we didn't have an insurance problem and now we do and now we also have a recession that is going to be extremely bad so yes condominiums will go down even more. I know I'm correct. I predicted the 2008 crash when no one was talking about it. And made money on my homes
So would you say wait to buy a condo or don't fool with them at all? I'm being optimistic about the condominium market, I think if you know how to shop for them you can catch a steal!!!! So just curious your opinion I'm in the shopping for a condo market
25 years old Condo (apartment with services, lift, of street parking) in Germany. Our monthly HOA is 300euro. This includes winter heating and water usage. common area cleaning, lighting, lift operation, 15 year painting. Aannual window cleaning, biweekly lawn and plant care, sink fund for maintenance outside of schedule. I can't begin to imagine why HOA in USA are so high, but it seems pools and basement car parks have high ongoing costs.
Florida condos with an HOA are a waste of money. Tenents pay all that money for nothing. I live in a 55+ golf community in another state with an HOA. We are lucky we don't have to pay 900 a month like in another 55+ golf community. Ours is quarterly which isn't bad.
If you are selling a condo you should be required to put a reserve to insure the association is viable. After all they have not been paying into the reserve fund at the right level. If not, the new owners should have to pay it upfront this reducing the selling price..
If you’re buying a condo, you should check on the reserves and schedule maintenance on the building before you buy. If you can’t, then don’t.
4 месяца назад+31
Everyone in an accident is suing for money ..someone I know was hit wasn't hurt....but sued for 40 thousand dollars ...spent it with in 1 year...with nothing to show for it ..
Stop blaming DeSantis for condo laws to protect residents. If condos did their due diligence and stop wanting dues as cheap as 1980 thats on the condo association, not DeSantis. Boards and residents voted for their budges that were rediculously low and did not have enough money for repairs. Residents got theirselve into this mess, not Gov DeSantis. He is saving lives from what happened a few years ago on the coast. Now it's pay up time for those condos that had super low dues for decades. Not all condos were this recklessly managed. Time to pay the piper!
Ronny boy is a Trump cult member and a hole Picking fights w/ Disney, making sure bridges are only lit up in red, white and blue and now no balloon releases. Worst Gov. in a long time. He's done nothing for the insurance crisis, homeless, VETS, nothing nothing nothing!
FL condo owners are lucky all special assessments aren’t due upon deed transfer. In Michigan the seller has to pay all special assessments in full at closing!
@@Leslie-xo9gy Down here after the Surfside collapse, we've seen HOA rates go up from 300/month to up to 2k+ a month in a shockingly short amount of time. This is because many condominiums have been hemorrhaging money to crooked associations (20k embezzled from a condo association where my mother lives), and associations simply don't have the cash to afford the mandated 50 year inspections and other repairs that come along with it. It's been devastating the market.
@@DanceFlame7 I know it’s so sad but my MI condo insurance went up 1000% as well- it’s not just Florida- any older properties that did not have a good reserve & deferred maintenance will suffer the increases. Our roofs are old- not covered! Insurance companies cannot replace a property built in the 60’s if the owners never bothered to plan ahead or due updates. Many Boards didn’t raise dues or spent funds on amenities instead. Each property has a unique situation- I have a license to manage condos in FL and it sure seems keeping costs down for decades has come back to haunt owners that enjoyed low monthly dues without thinking “that’s too low to take care of my home”. Ian changed the entire industry- sorry for your mom 😢
@@DanceFlame7 no they weren’t hemorrhaging money to crooked associations. They refuse to collect money to do maintenance. This is all backlog maintenance. They also didn’t keep any reserves to keep those common charges low. Then there’s people like you that blame everyone else except the owners they did this to themselves.
Things are VERY different in South Florida, today. Insurance, HOA and property taxes will continue to increase, except for insurance, which will end, because of excessive storm losses. Only the rich, who can pay cash for everything, will be able to live in South FL.
Is a 50-60% crash in prices possible? Yes, but it is highly unlikely and that is the key. You are probably right in my opinion. The key thing I would say to people is to remain clam and think rationally.
To add to this incredible video, reserve specialist companies can also permitted to perform the SIRS reserve study. 1. If you are buying a condo, ask for the Structural report, but also ask the condo building if they have an Electromechanical inspection ….. This could be another surprise if they don't have it; it is not required but could cost you $$$$ if some of those items need to be replaced soon. Waiving any Reseves besides the SIRS is an automatic sign-in for Special assessments. Beware, but not afraid to buy a condo. Underfunded reserves and the Board being afraid to repair the building now are going to cost 3 times more.
Look at the concrete bridges over the intercostal. The ones that haven't been replaced yet were all built in the 1960s. You'll see concrete scabbing off down to rusting rebar on bridge spans and support columns. And you'll see a lot of patches where they've already done repairs. The same thing is happening to all the concrete condos along the beaches and the intercoastal.
@@ConnieLeFan The people of Surfside died because they refuse to fix their own building because it was too expensive. They neglected it for decades and didn’t like the bill. This video is because a lot of other condos in Florida did the exact same thing. It’ll allow them to keep common charges low and resale values high.
I Lived in a waterfront condo in LBTS area. We sold our unit in 2017 as I was nervous that I couldn’t keep up with the rising HOA ($1700-3500/mo.) in 7 years. Plus the condo insurance was also very high. Now that my wife and I are almost fully retired, we are again looking to move back to the same area. Unfortunately the prices have gone up more than 3X from what we sold for in 2017. Crazy. But my wife misses the beach and the lifestyle. Hopefully prices will come down for us again.
My word. I enjoy a few special weeks at the beach during vacations, but I can’t imagine paying the absurd HOA fees, special assessments and high insurance premiums for such a privilege. Amazing to me what people will pay for sitting on the sand with a few palm trees. I’ll take my four seasons, mature oak trees and affordable lifestyle in the Midwest any day. Each to his own, though.
The new law in Florida Senate Bill 4-D (SB 4-D) requires fully funded reserves for buildings THREE STORIES OR HIGHER. I wish ALL condo buildings were included in the bill. Many of the investors, working folk, and retirees are glad to let the next owner deal with deferred maintenance.
Did any of the Surfside HOA board members get prosecuted for manslaughter of 98 residents because they did not do their due diligence and keep up with maintenance of the building?
Smart move❤. Wish I could leave (been here decades) but I’m stuck here for medical reasons. So many other beautiful places to live without the headaches that go with it. You can make over $100k a year and still feel poor. Everyone has their hand out💰
The real estate market in Florida is headed for a crash. Unknown to most people in Florida, that are already facing high home insurance costs, is the the "Socialist" National Flood Insurance Program, the US program that provides flood insurance because private insurers won't right flood insurance is broke, and Congress may defund the program in September of this year. How people in Florida are not aware of this is pretty surprising to me. Congress agreed to extend the program until Sept, at which time the NFIP will have to come in with some kind of fix that places more of the burden for claims on the areas of the country that generate the most in claims, and this will be the Florida coast and Texas cost. The NFIP plan they are proposing will re-structure the rate program so that people in true 100 year flood plains will pay less, but people in storm prone areas will pay far more. There are other plans, but this one would triple the cost of flood insurance in Florida, but it will still be cheaper than private flood insurance. That market is growing and if the NFIP gets de-funded, then private insurers will likely step in with even more expensive programs.
This is end of illusion of affordability. In a way I’m glad it finally ended, however tragic and painful it is now for everybody involved. Next illusion to end is single family house affordability. It will take a while, though, longer than beach condos.
I live in SE NC in Wilmington - Myrtle Beach area. We are starting to experience same problems as many oceanfront buildings are now reaching 30-40-50yr age. Here we have storm surge as our beaches aren’t nearly as wide as Miami + we have offshore seismic activity (landslides on Continental Shelf and military exercises). My parents owned an oceanfront condo in 20 story high rise at Myrtle Beach (2BR 1600SF) - a foreclosure that they got for around $60k in 1976 (half price) - it was built in 1973 just before US entered a deep recession. Today this condo would likely be priced $750k - $1M. The building had a gift shop, small bar & grill, and vending machines, and an internal rental agency (all of these operated by HOA at a profit to help offset maintenance costs). I think my dad might have served on the HOA Board (he was a businessman and a damn good accountant). If I’m not mistaken the monthly HOA fees were something like $125-150mo - very high at time and = to $750-1000 today but I’m pretty sure the building was on firm financial footing.
Imagine some of those new buildings in Miami, 60 - 70 stores right on the beach and a few with car elevators so that the unit owner can park their cars in the sky, literally. The cost to maintain these buildings over the long run will be high.The old codgers in Florida wanted to defer maintenance after "they" were dead. This is what you get with going cheap.
I'm surprised they couldn't paint the concrete with a specific paint that would resist salt in the air? I am not a construction person at all It was just a thought
Excellent Information! Low Rise (2 story) Condos on the SW Coast (Cape Coral) ARE GOLD! No controls... Exemptions. Atlantic coast is long gone for Condos... SW Coast is Booming... Especially in Cape Coral. Hurricanes do not matter. Insurance is still (and always will be) available and affordable to retirees. SW Florida Coast is the place to be in 2024.
I live in Cape Coral and this area is getting flooded with condos on the market. I believe Lee and Collier County have an increase of about 40% of condos hitting the market. I live in a single family home and not in an HOA and pre Hurrricane Ian my homeowners insurance was around $2300 and this year it was $8300. No one I know is saying insurance is cheap and a lot of policies getting canceled.
so wait until after 2025 and see if prices goes south enough? i have been thinking about moving into south florida, a condo 4- bedroom 6500+ sqft, but insurance and hoa fees got me put off.
Not to mention that most of those beach condos are built on barrier islands, or by a less fancy name, sand bars. Sand bars are not actually real estate, they’re a constantly changing part of the shoreline system, and may look solid this year, but next year the entire thing gets sucked out to sea and moved 40 miles down the coast. These islands cannot sustain huge concrete buildings for the long term. To the ocean, that condo is just another rock for it to erode.
There are a lot of condos that have healthy reserves and have maintained their buildings for a long time. Those buildings won’t be impacted as much. It’s going to be the ones that have kick the can down the road.
@@neilkurzman4907 years ago i was looking at condos in Minneapolis and a lot of the buildings had those assessments on them and looking at the building and unit had me wondering where did all the money go. It looked like someone took the money and did nothing with it.
I was not lucky enough to be solicited by such a roofing company. I just paid full price to replace my roof. The alternative was to be canceled by my insurance company. It's truly legalized crime. It's called, extortion.
I live in my hometown of Sarasota. I fo not own ANY properties governed by an HOA and never have. The bliss you enjoyed far grom the "underclass" is coming to bite you. Some of the people in your area may not be as monied as you are and end up walking away leaving empties and vastly more liabilities for the remaining owners. We could talk about yhis dilemma all day long.
Check out Dunedin. I moved 3 times in 3 years since moving from New York city in 2021. Took me a long time but I believe I found the right place. It is walkable. I never owned a car. It is affordable. Bought my place cash. Includes cable. Have not had cable in almost 3 years. Dunedin has activities for seniors. Great senior center. Great library. Nice main st. Shops restaurants. A ⛵ marina. Near clearwater tarpon springs safety harbor ⚓. Lots of great things. You should check into it. Worth your while. 😊
What is interesting about your video is you did not mention the 3rd option a Condo Owner in FL has... That is turn it into a Rental Property. This is what I am doing.
Two of our HOA directors got into a man cat fight. One man slandered the other and got many neighbors all upset. The slandered man sued. Cost to each of 120 townhome owners - extra $100 month E & O insurance for board of directors. Now a renter is suing the board for same man on board who sued the slanderer because apparently he yelled at her. Renter is an attorney. Welcome to HOA.
Having been in a condo with some major outstanding potential financial liabilities, knowing what happens in condo and co-op management, stay as far away from condos and co-ops as possible. Also, stay away from any developments with an HOA. If you move to Florida, the best you can do is only have a 10/10 wind damage rating, which is essentially every home in the state, and don't live anywhere too near the coast. Always, check the environmental assessments, not be in a flooding area and is rated as such, etc. I don't really think there's any help coming for home owners' insurance premiums dropping or for auto insurance. I guess you just have to plan for exorbitant prices for those and hope you can survive on your income.
His is what I'm saying .. people always want to politicise citiy government for the increases in real estate and rent .. when will people sstop doing that .. and see that it has nothing to do with politics .. its greed from oligarchs
These should be taken over for government housing. There are many people in need, veterans should be first, elderly second. No one should have to live in their car or van.
@@KathleenGreer-hk6yltaken over? Do you mean take away from people that used life savings to live in them/ and have been paying maintenance fees for years? Or do you mean government paying people cash for their unit? And where do you think the government take over coin is coming from, your mom’s butt????
@@KathleenGreer-hk6yl By government takeover, do you mean condos taken away from people that have used their life saving/paid maintenance fees for years in order to live there? Or do you think the government should pay people for their property? And from where will this mystical, magical, unicorn money appear?
My views of condos changed dramatically after watching some house flippers channel down in the keys. The subject was concrete spalling. I watched them repair it and then wondered how you could do it to a high-rise condo. Answer is, it's probably cheaper to tear it down and build another. High rise concrete structures in florida are not a good way to pass on generational wealth. They'll wipe you out. Own the land.
It really depends on when the condominium is located. If it’s in a good location, a taller building can be built that pays everybody out from the original complex, which is happening at some areas when they see what it’s going to cost to repair their neglected building.
in south carolina i live in a waterfront 3 bedroom 40 year old condo. there are 240 units in the complex. our reserve study suggested $5 million in neglected maintenance. prior boards were told they needed $3 million but they did absolutely nothing. our regime fees were $250 per month. we got a $2 million dollar loan, increased the regime fees to about $350 and had two special assessments. the work is nearly done. i do not feel sorry for some people who say they cannot afford these fees. frequently they bought the units for 100k and now some are worth over $200 k. they can get a reverse mortgage or home equity line of credit. or they can even delay by making some good faith payments until interest rates decrease. the only thing we could not do is delay fixing the units threatening to collapse.
It may come to pass that many older condo development units become, essentially, unsellable or only sold at fire sale prices, because of the long-deferred financial responsibilities. Also, at some point in the coming two years or so, there has to be some degree of deaths of owners which will also push units onto the market and those that inherit certainly don't want to be on the hook for all the costs, so aren't going to be holding onto the properties, so will be very highly motivated to sell, just to avoid all the crushing charges and running costs. I guess we'll begin to see in 2025 what the impact is going to be, how many condo terminations might be initiated.
1:25 I just came across a super 8mm student film I made back in Largo Junior high (pre middle schools) I shot it in 1972 or 3, titled (dramatically) "Rape of a County". I had mom drive me around to a number of condo construction sites out on the beach and other area developments. I think that was when they plowed over the 40 acre orange grove next to our neighborhood... As a concerned 8th grader I knew it was unsustainable. This was the beginning of that 20 story tower sitting on a parking/pool deck plinth that we see everywhere.
I am about to launch a 2 bdrm 2 bath condo on the mkt in Central West Florida. TWO story walkup building not subject to this law. HOA fees under $300/month. $169,9999 buyers agents compensated. Not everywhere in Florida is rotting from salt. Not everywhere has been cheap and not maintained. Some people have taken pride in where they lived not just come on the cheap for the winter
totally agree! I live in a 2 story condo near Oldsmar and love it. 1/1, 805 sq. feet on a canal. $152 per YEAR tax bill (homestead exemption) and a fully funded monthly HOA of $253.01 per month. Tennis & pickle ball courts, gym, Jr. Olympic size pool and spa. Roof and paint is replaced every 10 years and landscaping and mowing is weekly & it's gated.
The beginning of the condo crisis is years and years of neglect, neglect, neglect of regular routine maintenance by unit owners and the association members for whom they are responsible, responsible, responsible. The new laws force them to be responsible because they refused to be responsible on their own: there are laws when and because humans do not do the right thing on their own. Now, question is, will investors be able to take advantage of these people´s years and years of irresponsible behavior? That could mean convincing unit owners and their associations to sell the entire lots as the buildings that creak on them continue to rot as nature does to them without constant human intervention.
A couple reasons, people move here and drive like idiots. They are in a hurry to get to wherever they are going and don't care who gets in the way. Senior citizens have the "right" to drive, irrespective of their ability. Not to mention, those that move here and don't bother to get insurance. The system doesn't pick them up because they still have a New York DL and plates, 15 months after moving here. Doesn't really matter until they rear-end my motorcycle, and hand the responding LEO her insurance card. Only to find out 2 days later when I file the claim that it had lapsed for non-payment and she's gone!!!@@!!! Don't get me started!!
People must know assessments mean construction, and there’s nothing worse than having your balcony closed off for a year or more… pool closed etc…not to mention dust and jackhammers going 10 hours a day for 18 months or longer living in the mist of construction a nightmare…!
What if there is a million dollar liability claim? Very few people can "self insure" that. Liability insurance is not for your benefit, it is for the third party, so they get paid no matter what your financial situation is.
@@Tugela60 You must not understand liability. Liability is the coverage of damage done to others property. That's why it is mandatory. If you own your vehicle and you drive it into a lake, your not going to sue yourself for damages. You don't get millions worth of coverage when you insure your car with say Gieco. You get what you pay for. IE $200 a month may get you 20k liability on a non sports car. If you do a million worth of damage the insurance only covers 20k. Your on the hook for the rest. Every state sets the minimum liability a car must have to be registered. If Florida is 20k like NY. You then you put 20k in the account and your done, self insured.
@@mc365mc No, you don't understand what mandatory insurance is for. It is not for protecting YOUR car, it is for protecting OTHER people you might injure or damage, so they are covered for any damages irrespective of your financial state. That is what liability is. What happens to your car is not liability. It might be someone else's liability, and that is why THEY need insurance, so your rights are covered should something happen as a result of their actions.
@Tugela60 SELF-INSURANCE CERTIFICATE (BASED ON NET WORTH) The certificate of self-insurance issued by this department as per section 324.171, Florida Statutes, provides limits of liability insurance in the amount of $10,000 of bodily injury to, or death of, one person in any one crash, $20,000 of bodily injury to, or death of, two or more persons in any one crash, $10,000 of injury to, or destruction of, property of others in any one crash and personal injury protection coverage as per section 627.733(3)(b), F.S. The department will require proof of an individual’s unencumbered net worth by providing bank statements or appraisals of other assets when applicable. A Natural Person is defined as an individual, a living human being. Individual - Filing Requirements A notarized copy of the Statement of Net Worth completed in its entirety (balance sheet indicating assets and liabilities) showing a unencumbered net worth of at least $40,000, application attached.
I bought a new condo in Cebu Philippines. Cost me little and not much in maintenance nor insurance fees. And if an earthquake flattens it no biggie didn’t cost me much to begin with. No way I would pay 400k+ for a Florida condo that even paid off could cost me $1500 or more a month
Yeah, no maintenance, just have to worry about masked gunmen doing home invasions. If you are cool with that, then the Philippines is a great cheap option 😂
@@TropicalTodd I know people who come from the Phillipines. They have told me stories of their experience there. Security is an issue. I am from a third world country myself, I know what their stories mean.
@@Tugela60 I had a gun put to my head at a gas station, not in Cebu but in Detroit. I speak of experience not stories. I have zero concern of mask men barging into my condo in the Philippines.
@@TropicalTodd My brother's wife had gunmen jump out as she pulled into the driveway of their house and steal their car. They tried to take her too, but she refused, which is probably the only reason she is still with us today. Their house had been broken into at least four times, maybe more, they stopped talking about it. Eventually they moved to a protected gated community where things were more secure and safe. We had multiple episodes of people wandering around our garden in the middle of the night. House was burglarized twice. Once when we were in bed asleep, once while we were away on vacation (came back to the place trashed). On another occasion found some guy wandering around inside our house "looking for work" after my mom left the door open to go hang up washing outside. My sister had her place broken into. On another occasion she was robbed at knifepoint on the street. And that is just my immediate family. Pretty all of my friends had violent encounters, cars stolen in front of them, people just walking into their house off the street and rifling through purses. One of my friends had his home burglarized while the were asleep, fingerprints taken by the police subsequently showed the burglar had previously murdered another family. People have burglar guards on all their windows and doors, razor wire and electric fences around their houses. They don't park on the street outside their houses because of car theft. You have to watch your back walking down the street. It really sucks when crime becomes so normalized that it is part of everyday life. I have been in North America for over 30 years. In all that time I have never experienced any crime, nor has anyone else I know. The worst thing was one lady I know had her car keyed once. There is simply no comparison.
This happened because our governor Did not have a better plan we should’ve been given more time. There are literally not enough professional engineers, or architects to make this happen for all condos by the end of the year.
And this folks is how you force demo and eviction through regulation to make room for new and more expensive development and income base. Barring legitimate structural issues from some of the dumb developing on beaches that went on. Sandy soil is all over Fl but to build right on the beach is very risky. You have to wonder how much over regulation there is with this vs what is warranted to keep buildings safe. Take away is Condo owning comes at risk depending on thr COA, and buying a SFR 20 mins inland is a much better option.
The issue is the increase is SUBSTANTIAL and not sustainable for a person on fixed income. Let’s be honest NOT every retiree has a savings in Florida. It should be against the law as predatory and a crime . Raising it by 500 is criminal
Here is the unknown. Let's say you get a 40,000 dollar assessment and you say I can handle that. I guarantee there will be a clause in the special assessment for "unforeseen repairs." I have been through home remodels on my home (kitchens, bathrooms, etc.) Construction repair estimates are just that estimates. Let's say they start opening walls and start finding corroded electrical wiring that wasn't anticipated or water pipes with cracks, etc. or patios that need reinforcements, etc., etc. In an older building the result may be a tear down as the best choice.
I live on a lake in Missouri. Taxes on a 500k home are 4k a year. Insurance is $1800 a year. Taxes are fixed, forever, as I am a senior. 3k square feet home, walkout, and I have TWO kayaks. Yep, it isn't Florida. Thank God.
@@martycallmer9865 - I live thirty miles from St. Louis. You're correct. The city of St. Louis is a nightmare. Doesn't impact me, or my family, in the slightest. 30 miles is a lot.
As a Florida insurance professional who handled condo association coverage I am starting to hear out loud the we words that have been only in condo dwellers’ and managers’ thoughts: Buying into a residential association now is to obligate yourself to large and serious unfunded and unknown liabilities: hurricane loss deductibles, landscaping, insurance costs and, most unnerving, deferred maintenance. Maintenance that will be extremely expensive but must be done (see Surfside collapse) will be obligations of tens of thousands and as high as hundreds of thousands of dollars per unit or homeowner. Many of them (and I am one of them) cannot or will not pay the necessary assessments triggering association wide defaults. You should consider carefully and investigate thoroughly before buying into a Florida HOA, POA or condo association.
@@1969bones69- I’ve heard that quite a bit from people in Florida while in other countries there simply isn’t enough space in the cities for everyone to have a single family home. I just assumed Florida was the same way.
Rent is still paying someone else's bills .@@1969bones69
@@1969bones69 Renting is still going to put you in the same predictament as a Condo owner because rents increase every year and you still may not have those outer pocket expenses .
It's over.
Here in the Philippines with hollow block, rebar, the structural integrity of condos in Makati, Quezon City, Cebu is quite good. You don't have the unknowns of massive supplemental assessments compared to litigation happy Florida. So maybe worldwide thus isn't an issue.
Looked at a condo in Galveston, 450k and HOA of 988 a month which only paid for water, sewer, trash and buidling maintenance). Looked at the fine print and there was an assessment currently for another 900 amonth. The parking garage was unuseable pending structural repair and another assessment and therefore you had to park in the street for $25 a day(2x750 a month=1500). There was also pending litigation regarding structural damage due to termites. The pest control company only had a 2 million dollar policy. Therefore 2 more assessments were coming down the road. I was going to pay cash for the property but calculated total assessments(and parking) could run 4,000 a month for a paid off condo. Then there was taxes and insurance and utilities....
Agent acted it was no big deal.......wtf.
Holy shit!! And if you weren't so persistent and pushed to learn of all those extra monthly costs coming soon (which is probably why current owners were selling!) the realtor nor the sellers were going to voluntarily alert you to these charges you would be stuck paying for years!! Good for you!!!
@@ConnieLeFan Seriously who would even think about doing that deal? Crazy AF.
That's not an asset. That's a liability.
@@schoomzer What are assessments? In Texas, assessments refer to what many people call "dues." Each owner in a property owners' association must make these payments. Failure to pay assessments can result in fines and serious penalties, including foreclosure.
Brokers only care about your money. They could care less whether it is a good deal or not, they just want to get your money. Brokers fees are crashing down b/c they are so shady and unscrupulous.
This video basically told me to never move to Florida. I’ll stay in SC
Wages are lower here and while food and rent is sky high!
@@blackorchid2494 Yeah, good luck with that
If you think condos and apartments on the Grand Strand don't have the same issues😂😂😂
@@francismarion6400 Good thing I don’t live there lol
Myrtle beach has gotten a bit out of hand the last 2.5 years. Special assessments, rising HOA costs
Hi, I had to comment on this video because I do live in Florida and can't wait to get out soon!! You're right about a lot of the information you're stating. The 3 areas you're not hitting hard enough are the property tax, insurance, and the special assessments on the condos, some being as high as $225,000.00 (I'm not joking). If you want specific information, let me know, and I will email all the specifics. Great job on your videos!
So true
I don't have a dog in the fight, or even the possibility, but this was still a VERY educational video.
Same here, I've always been anti-HOA and this makes me more.
Thanks for this summary and explanation. Your unbiased, reality based assessment is what is missing on most videos about this subject.
Thanks for watching!
That was very well presented. I'm a realtor in Central Florida and about to retire, praise God. Moving out of state where I can better afford to live a good life.
Good for you. Hopefully you have said goodbye to being an agent as well.
Gas is 2.88, taxes are 80 bucks an acre I pay 495 taxes on 3b2b and most of this money is for the trash can in Columbus Co NC. Thirty miles to the beach, large freshwater lake, Waccamaw River flows out of Lake Waccamaw.. Research us and you will know where your next house will be built.
If your home is paid off just put your money into a separate investment account and pay whatever your insurance payment was. My relatives did that and had more money than they knew what to do with. They remodeled their flooded house three times and still had money leftover. When you look at your annual payout plus your deductible you can easily buy a roof shortly. And if you don’t have to you have your money still instead of buying an insurance man another home. Stop feeding the criminal machine if insurance. Build quality and buy quality to mitigate your future needs. Go standing seam and you’ll never have to replace your roof.
What happens to their paid off house if a grease fire burns it to the ground or someone working on their property hurts themselves and sues for 100k or more? Not having insurance on your paid home is not an option for me
@@TropicalTodd THINK and EDUCATE yourself.
You CAN get general, "normal" house insurance for a reasonable amount with wind and water damage exclusion. I got one.
I'm covered for burglary, fire, lightening, theft, liability.
I'm not covered for weather related flooding, wind and hurricane. I'm saving net: $4K/year plus the $7K deductible. I'm currently at $15K for possible damages (2x4K + 7K) and have a new(!) 160mph rated roof.
New roofs did not suffer much, or in many cases, had any damage from hurricane Ian - two neighbors with new roofs had zero roof damage.
BTW: If you have an INDUCTON stove/range you'll not have grease fires. There is no flame(gas) or red glowing super hot(electric) surface to ignite grease. I've got one of those too... ...and it's far more energy efficient than gas or electric.
Assuming that people understand that their gambling that nothing’s going to happen to their home. Because of something does and you don’t have enough money to repair it then you get to walk away with nothing.
If your house is paid off you still may not have money. It's called being house rich & cash poor. Millions pf people who did the right thing and were able to pay off their home and be retired also. But many also fell behind because of the bills that don't stop. Utilities are sky high. If you have a claim against your home owners insurance your premium shoots up or you get dropped outright. Any personal emergency could change a person's finances and put them one step away from homelessness when they were once doing just fine.
Your property taxes will try to force you out of your home through quarterly tax increases that are illegal but no one fights. It's time to get private equity out of real estate, my family gives mortgages to the buyer and let's them pay it off at a reasonable time while getting money every month, better then the stock market.
Great informative video, thank you. Love the delivery of sentence with a slice of sarcasm!
Thanks for watching!
people are extremely cheap, due to this you will find MOST associations will have unfunded reserves..
Agreed, this is gonna backfire big time.
No, you’re not going to find that in most states because they’re required to keep reserves by law. Florida allowed their boards to vote to not keep a reserve.
Good video. Informative. Great and useful information. Educational. Owned a condo in downtown tampa in 2023. Hoa was 727 a month. Got no amenities except a pool and hot tub I never used. After 1 year hoa went up to 861.09 per month and roof assessment for 4 thousand dollars. Decided to sell. Bought this condo for 409 thousand. Sadly in may 2024 only got a little over 272 thousand dollars. But I moved to a better place. My hoa is only 626 a month includes cable and the condo is all furnished. Has a club house. The other place did not. This place is bigger. Has in unit washer dryer that works and fan above my bed. All worked out.😊😊😊
What condo in downtown tampa was it? I am looking to buy condos in the future in Tampa, just curious….
I bought at 201 w.laurel on riverwalk near the Barrymore hotel. Near the armature. I would recommend Dunedin. Great area. Affordable. Walkable. Oriented to seniors. Has a senior center with great and diverse activities. Superior library with weekly movies. Restaurants shops. A ⛵ marina. Near clearwater tarpon springs. Good places to buy food. Love it. ❤❤❤
I live in Dunedin, every body and their brother wants a to move here! Rices are skyrocketing so be prepared to shell out, home insurance is high, Gov DeSants is not addressing this issue. But, the town is nice and close beach access to Honeymoon Island state Ark. Clearwater beach is close but the traffic to get there is killer.
What is great about Dunedin is that it is walkable. I do not own a car. Live 10 minutes from Dunedin plaza. Has Bealls dollar store lots for less KFC Julian s Italian restaurant drug store. 30 min. Walk from dunkin walgreens Publix st. Pete bagels ups. And 35 min. Walk from downtown and ⛵ marina. In October and November the Walk will be more comfortable. 😊😊😊😊😊. Enjoy walking. 😊😊😊😊
@@JuneKovac How is he supposed to address the issue? Increased hurricanes are the future. Repair costs are astronomical. Are taxpayers supposed to subsidize the true cost of Florida living?
I was on a Board in an older condo across from the beach in Boca Raton. What you described is exactly what I encountered when we needed to raise fees to cover repairs and improvements for our 40 year old building. Older tenants who lived there for many years fought us tooth and nail when we tried to issue special assessments. It got old, tiring, and simply no longer fun to own the condo. Sold it.
Well, if you were on the board there now. You would be forced to do all of this, and the older owners would have nothing to say that’s what all these videos are about. They’re not allowed to use their vote to make the building a death trap like Surfside did.
@@neilkurzman4907 Amen. It is about time the state government stepped in to enforce safety issues. I think people need to really understand what condo life is all about before buying one. Never, never buy a condo in the 40 year range. Nothing but one problem after another. Especially if the individual owners never updated their windows to make them hurricane proof.
@@MarkMphonoman
At the be of the Florida real estate industry, Florida allowed this situation to fester for many years. Before buying into a condo, you should definitely gauge the condition of the buildings and their reserves because that represents a future expense for you.
My condo complex is just one and two stories and it’s over 40 years old. Currently in a reasonable state of upkeep. But we had assessments in the past because we didn’t have sufficient reserves to cover obvious repairs. Like 20 year roofs being 20 years old.
@@neilkurzman4907 We had to use special assessments to fix our A/C, roof, and elevator. Residents fought us tooth and nail. Interestingly, drove by the condo on a recent trip to southeast Florida. From the outside the place looks great. Lol
@@MarkMphonoman
That’s right we had a pool assessment apparently after 40 years, you have to dig them up and start over. I think it was 300 apiece and two years.
Excellent video! You covered it all, much appreciated! All facts and truths👍
Unnecessary red tape building codes
*****🔥***** CORRECTION *** you said the condos are not going to go down 50 or 60 but I tell you that they will because in 2008 they went down a lot but we didn't have an insurance problem and now we do and now we also have a recession that is going to be extremely bad so yes condominiums will go down even more. I know I'm correct. I predicted the 2008 crash when no one was talking about it. And made money on my homes
So would you say wait to buy a condo or don't fool with them at all? I'm being optimistic about the condominium market, I think if you know how to shop for them you can catch a steal!!!! So just curious your opinion I'm in the shopping for a condo market
Outstanding breakdown, Mike. You are awesome.
Thanks for watching!
25 years old Condo (apartment with services, lift, of street parking) in Germany.
Our monthly HOA is 300euro.
This includes winter heating and water usage. common area cleaning, lighting, lift operation, 15 year painting. Aannual window cleaning, biweekly lawn and plant care, sink fund for maintenance outside of schedule.
I can't begin to imagine why HOA in USA are so high, but it seems pools and basement car parks have high ongoing costs.
I sold my Port Richey condo in 2022 because I fully knew what you w
Ere going to say in 2024. I’m one smart SOB
Smart. Hard to believe people did not sell before like you did
Florida condos with an HOA are a waste of money. Tenents pay all that money for nothing. I live in a 55+ golf community in another state with an HOA. We are lucky we don't have to pay 900 a month like in another 55+ golf community. Ours is quarterly which isn't bad.
You lost plenty of money. Not that smart. Unless of course it was a dump on structurally compromised building.
If you’re a speculator or a flipper, even you have to be careful in offering to buy a foreclosure condo in a poorly maintained condo complex.
Young flipperachi
If you are selling a condo you should be required to put a reserve to insure the association is viable. After all they have not been paying into the reserve fund at the right level. If not, the new owners should have to pay it upfront this reducing the selling price..
If you’re buying a condo, you should check on the reserves and schedule maintenance on the building before you buy. If you can’t, then don’t.
Everyone in an accident is suing for money ..someone I know was hit wasn't hurt....but sued for 40 thousand dollars ...spent it with in 1 year...with nothing to show for it ..
How did they prove to the Insurance Doctors that he was hurt if they were not ?
@@sarahann530 Soft tissue "damage" or permanent "headaches", can't be unproven
@tonysofla Yes it can be unproven using an mri
@@sarahann530 not with whiplash
@Kodakcompactdisc Whiplash can be seen on an MRI . How long did it take to win the case ,how much did the lawyer receive?
Stop blaming DeSantis for condo laws to protect residents. If condos did their due diligence and stop wanting dues as cheap as 1980 thats on the condo association, not DeSantis. Boards and residents voted for their budges that were rediculously low and did not have enough money for repairs. Residents got theirselve into this mess, not Gov DeSantis. He is saving lives from what happened a few years ago on the coast. Now it's pay up time for those condos that had super low dues for decades. Not all condos were this recklessly managed. Time to pay the piper!
Ronny boy is a Trump cult member and a hole Picking fights w/ Disney, making sure bridges are only lit up in red, white and blue and now no balloon releases. Worst Gov. in a long time. He's done nothing for the insurance crisis, homeless, VETS, nothing nothing nothing!
FL condo owners are lucky all special assessments aren’t due upon deed transfer. In Michigan the seller has to pay all special assessments in full at closing!
The condo market there must be suffering. Are people still buying, and are their costs worth not waiting longer for home prices to go down?
@@DanceFlame7 there’s a lot of uncertainty for sure, each association is in its own status/situation so a sale would require a lot of due diligence
@@Leslie-xo9gy Down here after the Surfside collapse, we've seen HOA rates go up from 300/month to up to 2k+ a month in a shockingly short amount of time. This is because many condominiums have been hemorrhaging money to crooked associations (20k embezzled from a condo association where my mother lives), and associations simply don't have the cash to afford the mandated 50 year inspections and other repairs that come along with it. It's been devastating the market.
@@DanceFlame7 I know it’s so sad but my MI condo insurance went up 1000% as well- it’s not just Florida- any older properties that did not have a good reserve & deferred maintenance will suffer the increases. Our roofs are old- not covered! Insurance companies cannot replace a property built in the 60’s if the owners never bothered to plan ahead or due updates. Many Boards didn’t raise dues or spent funds on amenities instead. Each property has a unique situation- I have a license to manage condos in FL and it sure seems keeping costs down for decades has come back to haunt owners that enjoyed low monthly dues without thinking “that’s too low to take care of my home”. Ian changed the entire industry- sorry for your mom 😢
@@DanceFlame7 no they weren’t hemorrhaging money to crooked associations. They refuse to collect money to do maintenance. This is all backlog maintenance. They also didn’t keep any reserves to keep those common charges low.
Then there’s people like you that blame everyone else except the owners they did this to themselves.
We owned a home in Sarasota, we paid HOA, what did we get for it? nothing....
oh I doubt that! I bet you got a lot of headaches from it lol
Why did you buy in a HOA and pay the dues if you knew you were getting nothing in return ? Seems silly
@@sarahann530 when 80% of all houses have HOA's the what do you do? Quit your job and move to another area? lol
@@RussellD11 About 45% of the houses in Florida are in HOAs ,why post bullshit ?
@@sarahann530 im talking certain areas bro.. not state wide...
Great, knowledgeable coverage of the Florida condo market, better and more respectful than Bordenaro out of Miami, too. I subscribed.
Welcome aboard!
Things are VERY different in South Florida, today. Insurance, HOA and property taxes will continue to increase, except for insurance, which will end, because of excessive storm losses. Only the rich, who can pay cash for everything, will be able to live in South FL.
Is a 50-60% crash in prices possible? Yes, but it is highly unlikely and that is the key. You are probably right in my opinion. The key thing I would say to people is to remain clam and think rationally.
Wait a minute!!!! People thinking rationally! Isn't that an oxymoron???? Thanks for watching!
This was an excellent presentation I wish you every success with your channel. Cheers from Perth Australia.
Thanks for watching!
To add to this incredible video, reserve specialist companies can also permitted to perform the SIRS reserve study.
1. If you are buying a condo, ask for the Structural report, but also ask the condo building if they have an Electromechanical inspection ….. This could be another surprise if they don't have it; it is not required but could cost you $$$$ if some of those items need to be replaced soon.
Waiving any Reseves besides the SIRS is an automatic sign-in for Special assessments.
Beware, but not afraid to buy a condo.
Underfunded reserves and the Board being afraid to repair the building now are going to cost 3 times more.
As long as contractors continue to operate with impunity the situation will only get worse.
I don’t understand how Honolulu condos have escaped this. Many are old and subject to adverse conditions such as hurricanes and salty air.
Maybe they actually keep the structure of their buildings up! They have always had really high HoAs
One friend in Makiki 1,000 percent increase another by sandy beach 400 percent increase both with very little notice.
Same! I live here and these buildings are trash
“We don’t have Ron, duh!”
Look at the concrete bridges over the intercostal. The ones that haven't been replaced yet were all built in the 1960s. You'll see concrete scabbing off down to rusting rebar on bridge spans and support columns. And you'll see a lot of patches where they've already done repairs.
The same thing is happening to all the concrete condos along the beaches and the intercoastal.
Condo sales dropping from from 2621 to 1853 is one hell of a lot more than 9%.
Nothing like giving your money to a bunch of idiots
LOL. You actually bring up a good point. An honest HOA is bad enough but inept and corrupt HOAs are a nightmare.
A corrupt anything is a nightmare, and unfortunately, corruption is out of control and us everywhere, due to uncontrolled GREED!
@@ConnieLeFan
The people of Surfside died because they refuse to fix their own building because it was too expensive. They neglected it for decades and didn’t like the bill.
This video is because a lot of other condos in Florida did the exact same thing. It’ll allow them to keep common charges low and resale values high.
@@neilkurzman4907You are perfectly right. The video is highly misleading and tries to make an impression it is a general problem. It is not.
@@pawelpap9we will see.
Great video! I’d think really hard before buying anything in Florida right now. Greetings from West Palm Beach 🏝️.
Thanks for watching!
I Lived in a waterfront condo in LBTS area. We sold our unit in 2017 as I was nervous that I couldn’t keep up with the rising HOA ($1700-3500/mo.) in 7 years. Plus the condo insurance was also very high. Now that my wife and I are almost fully retired, we are again looking to move back to the same area. Unfortunately the prices have gone up more than 3X from what we sold for in 2017. Crazy. But my wife misses the beach and the lifestyle. Hopefully prices will come down for us again.
My word. I enjoy a few special weeks at the beach during vacations, but I can’t imagine paying the absurd HOA fees, special assessments and high insurance premiums for such a privilege. Amazing to me what people will pay for sitting on the sand with a few palm trees. I’ll take my four seasons, mature oak trees and affordable lifestyle in the Midwest any day. Each to his own, though.
@@thomburleson7661 I agree 100% as my son lives near Chicago - heck of a lot cheaper.
Something has to give. Perhaps not 50% down, but that huge increase in inventory and DOM are going to come to roost within the year.
The new law in Florida Senate Bill 4-D (SB 4-D) requires fully funded reserves for buildings THREE STORIES OR HIGHER. I wish ALL condo buildings were included in the bill. Many of the investors, working folk, and retirees are glad to let the next owner deal with deferred maintenance.
Did any of the Surfside HOA board members get prosecuted for manslaughter of 98 residents because they did not do their due diligence and keep up with maintenance of the building?
Very good and honest
Thanks for watching!
The market is very close to crashing,I left FL 2 years ago
Don't come back
@@donpeace894it’s that bad? Why are you wanting to leave too, I honestly don’t think it’s that bad. 🤷♀️
@@yvonnepedersen7031 I love Florida I'll never leave cept in a pine box
Smart move❤. Wish I could leave (been here decades) but I’m stuck here for medical reasons. So many other beautiful places to live without the headaches that go with it. You can make over $100k a year and still feel poor. Everyone has their hand out💰
The real estate market in Florida is headed for a crash. Unknown to most people in Florida, that are already facing high home insurance costs, is the the "Socialist" National Flood Insurance Program, the US program that provides flood insurance because private insurers won't right flood insurance is broke, and Congress may defund the program in September of this year. How people in Florida are not aware of this is pretty surprising to me. Congress agreed to extend the program until Sept, at which time the NFIP will have to come in with some kind of fix that places more of the burden for claims on the areas of the country that generate the most in claims, and this will be the Florida coast and Texas cost. The NFIP plan they are proposing will re-structure the rate program so that people in true 100 year flood plains will pay less, but people in storm prone areas will pay far more. There are other plans, but this one would triple the cost of flood insurance in Florida, but it will still be cheaper than private flood insurance. That market is growing and if the NFIP gets de-funded, then private insurers will likely step in with even more expensive programs.
This is end of illusion of affordability. In a way I’m glad it finally ended, however tragic and painful it is now for everybody involved. Next illusion to end is single family house affordability. It will take a while, though, longer than beach condos.
The background music is distracting.
i’m deaf in 1 ear. what music?? 😂😂😂
😂😂 Thanks for watching!
I live in SE NC in Wilmington - Myrtle Beach area. We are starting to experience same problems as many oceanfront buildings are now reaching 30-40-50yr age. Here we have storm surge as our beaches aren’t nearly as wide as Miami + we have offshore seismic activity (landslides on Continental Shelf and military exercises).
My parents owned an oceanfront condo in 20 story high rise at Myrtle Beach (2BR 1600SF) - a foreclosure that they got for around $60k in 1976 (half price) - it was built in 1973 just before US entered a deep recession. Today this condo would likely be priced $750k - $1M. The building had a gift shop, small bar & grill, and vending machines, and an internal rental agency (all of these operated by HOA at a profit to help offset maintenance costs). I think my dad might have served on the HOA Board (he was a businessman and a damn good accountant). If I’m not mistaken the monthly HOA fees were something like $125-150mo - very high at time and = to $750-1000 today but I’m pretty sure the building was on firm financial footing.
Imagine some of those new buildings in Miami, 60 - 70 stores right on the beach and a few with car elevators so that the unit owner can park their cars in the sky, literally. The cost to maintain these buildings over the long run will be high.The old codgers in Florida wanted to defer maintenance after "they" were dead. This is what you get with going cheap.
Very good video I learn a lot
I'm surprised they couldn't paint the concrete with a specific paint that would resist salt in the air? I am not a construction person at all It was just a thought
When signing that you have read the c c and r’s be sure to pay close attention to special assessments.
Excellent Information! Low Rise (2 story) Condos on the SW Coast (Cape Coral) ARE GOLD! No controls... Exemptions. Atlantic coast is long gone for Condos... SW Coast is Booming... Especially in Cape Coral. Hurricanes do not matter. Insurance is still (and always will be) available and affordable to retirees. SW Florida Coast is the place to be in 2024.
I live in Cape Coral and this area is getting flooded with condos on the market. I believe Lee and Collier County have an increase of about 40% of condos hitting the market. I live in a single family home and not in an HOA and pre Hurrricane Ian my homeowners insurance was around $2300 and this year it was $8300. No one I know is saying insurance is cheap and a lot of policies getting canceled.
Few if any make reference to the fact that Champlain Towers wasn't even built according to construction code. Was this the case for all buildings?
so wait until after 2025 and see if prices goes south enough?
i have been thinking about moving into south florida, a condo 4- bedroom 6500+ sqft, but insurance and hoa fees got me put off.
Thank you for the facts . . .
Thanks for watching!
Not to mention that most of those beach condos are built on barrier islands, or by a less fancy name, sand bars. Sand bars are not actually real estate, they’re a constantly changing part of the shoreline system, and may look solid this year, but next year the entire thing gets sucked out to sea and moved 40 miles down the coast. These islands cannot sustain huge concrete buildings for the long term. To the ocean, that condo is just another rock for it to erode.
There are a lot of condos that have healthy reserves and have maintained their buildings for a long time. Those buildings won’t be impacted as much. It’s going to be the ones that have kick the can down the road.
That is true! Thanks for watching!
The HOA fees have been going in so much pocket not in repair bills are set up for a trust to repair major upgrades
You are funny and informative. Thx.
Thanks for watching!
Why not just wait a year or two and let the CURRENT owners pay the special assessments and much higher HOA . Then buy the fully funded HOA condo ?
I think those special assessment costs are like a lien on the unit that stretches over years.
@@floridaman7 then that of course is going to affect the selling price
@@neilkurzman4907 years ago i was looking at condos in Minneapolis and a lot of the buildings had those assessments on them and looking at the building and unit had me wondering where did all the money go. It looked like someone took the money and did nothing with it.
Excellent advice Mike!
HOA fees, parking fees, maintenance fees, and so forth. No Thanks!
What about high rise office buildings?? they should be getting same treatment.
YES! Thanks for watching!
Very informative, thank you.
Thanks for watching!
I was not lucky enough to be solicited by such a roofing company. I just paid full price to replace my roof. The alternative was to be canceled by my insurance company. It's truly legalized crime. It's called, extortion.
I live in my hometown of Sarasota. I fo not own ANY properties governed by an HOA and never have.
The bliss you enjoyed far grom the "underclass" is coming to bite you. Some of the people in your area may not be as monied as you are and end up walking away leaving empties and vastly more liabilities for the remaining owners.
We could talk about yhis dilemma all day long.
Good information thanks.
Thanks for watching!
Not in Ponte Vedra Beach- WE have no high rises on the beach
This is about the 12th video regarding Florida's doomed condo market in the past month...I am no longer considering moving to Florida.
Check out Dunedin. I moved 3 times in 3 years since moving from New York city in 2021. Took me a long time but I believe I found the right place. It is walkable. I never owned a car. It is affordable. Bought my place cash. Includes cable. Have not had cable in almost 3 years. Dunedin has activities for seniors. Great senior center. Great library. Nice main st. Shops restaurants. A ⛵ marina. Near clearwater tarpon springs safety harbor ⚓. Lots of great things. You should check into it. Worth your while. 😊
"move to South Carolina...they never have hurricanes there!"
🤣🤣🤣
Or Moscow!
You were the only one to catch that!!! Thanks for watching!
The condo collapsed in Miami, Florida on June 24, 2021 and not 2022.
What is interesting about your video is you did not mention the 3rd option a Condo Owner in FL has... That is turn it into a Rental Property. This is what I am doing.
That doesn’t protect you from any of these costs or fee increases
@@neilkurzman4907 Yes it does... The Renter absorbs them.
Most condo associations limit the number of rental properties in the building or ban them altogether.
@@neilkurzman4907 Sure it does.... I just raise the rent (with proof of increases to my tenant)... They tend to understand... or move.
It'll work until your rent exceeds what people can pay. Then you have an empty condo. Thanks for watching!
Two of our HOA directors got into a man cat fight. One man slandered the other and got many neighbors all upset. The slandered man sued. Cost to each of 120 townhome owners - extra $100 month E & O insurance for board of directors. Now a renter is suing the board for same man on board who sued the slanderer because apparently he yelled at her. Renter is an attorney. Welcome to HOA.
So your insurance is now $120,000 a month?
Having been in a condo with some major outstanding potential financial liabilities, knowing what happens in condo and co-op management, stay as far away from condos and co-ops as possible. Also, stay away from any developments with an HOA. If you move to Florida, the best you can do is only have a 10/10 wind damage rating, which is essentially every home in the state, and don't live anywhere too near the coast. Always, check the environmental assessments, not be in a flooding area and is rated as such, etc. I don't really think there's any help coming for home owners' insurance premiums dropping or for auto insurance. I guess you just have to plan for exorbitant prices for those and hope you can survive on your income.
His is what I'm saying .. people always want to politicise citiy government for the increases in real estate and rent .. when will people sstop doing that .. and see that it has nothing to do with politics .. its greed from oligarchs
I live in NY co-op built in1966. I have 2 special assessments each month. My maintenance is as high as rent. Nobody is going to buy.
Wtf lol
So you live in a converted apartment building. And your building didn’t keep sufficient reserves.
Good video... I'm staying in Colorado.....
You like winter? 😮
Guys, Florida condos are about to be sold at fire sale prices. Florida is done.
These should be taken over for government housing. There are many people in need, veterans should be first, elderly second. No one should have to live in their car or van.
@@KathleenGreer-hk6yl The problem is the govt doesn't want them either.
@@KathleenGreer-hk6yltaken over? Do you mean take away from people that used life savings to live in them/ and have been paying maintenance fees for years? Or do you mean government paying people cash for their unit?
And where do you think the government take over coin is coming from, your mom’s butt????
@@KathleenGreer-hk6yl
By government takeover, do you mean condos taken away from people that have used their life saving/paid maintenance fees for years in order to live there? Or do you think the government should pay people for their property? And from where will this mystical, magical, unicorn money appear?
Not sure anyone would want to buy in. The properties are toxic.
My views of condos changed dramatically after watching some house flippers channel down in the keys. The subject was concrete spalling. I watched them repair it and then wondered how you could do it to a high-rise condo. Answer is, it's probably cheaper to tear it down and build another. High rise concrete structures in florida are not a good way to pass on generational wealth. They'll wipe you out. Own the land.
It really depends on when the condominium is located. If it’s in a good location, a taller building can be built that pays everybody out from the original complex, which is happening at some areas when they see what it’s going to cost to repair their neglected building.
in south carolina i live in a waterfront 3 bedroom 40 year old condo. there are 240 units in the complex. our reserve study suggested $5 million in neglected maintenance. prior boards were told they needed $3 million but they did absolutely nothing. our regime fees were $250 per month. we got a $2 million dollar loan, increased the regime fees to about $350 and had two special assessments. the work is nearly done. i do not feel sorry for some people who say they cannot afford these fees. frequently they bought the units for 100k and now some are worth over $200 k. they can get a reverse mortgage or home equity line of credit. or they can even delay by making some good faith payments until interest rates decrease. the only thing we could not do is delay fixing the units threatening to collapse.
St johns county has 35 ft building restriction.most of the Buildings over 35 were built by henry Flagler
It may come to pass that many older condo development units become, essentially, unsellable or only sold at fire sale prices, because of the long-deferred financial responsibilities. Also, at some point in the coming two years or so, there has to be some degree of deaths of owners which will also push units onto the market and those that inherit certainly don't want to be on the hook for all the costs, so aren't going to be holding onto the properties, so will be very highly motivated to sell, just to avoid all the crushing charges and running costs. I guess we'll begin to see in 2025 what the impact is going to be, how many condo terminations might be initiated.
1:25 I just came across a super 8mm student film I made back in Largo Junior high (pre middle schools) I shot it in 1972 or 3, titled (dramatically) "Rape of a County". I had mom drive me around to a number of condo construction sites out on the beach and other area developments. I think that was when they plowed over the 40 acre orange grove next to our neighborhood... As a concerned 8th grader I knew it was unsustainable. This was the beginning of that 20 story tower sitting on a parking/pool deck plinth that we see everywhere.
Really interesting.
Thanks for watching!
Top Show
I am about to launch a 2 bdrm 2 bath condo on the mkt in Central West Florida. TWO story walkup building not subject to this law. HOA fees under $300/month. $169,9999 buyers agents compensated. Not everywhere in Florida is rotting from salt. Not everywhere has been cheap and not maintained. Some people have taken pride in where they lived not just come on the cheap for the winter
Florida is a a cesspool and everyone is figuring this out.
totally agree! I live in a 2 story condo near Oldsmar and love it. 1/1, 805 sq. feet on a canal. $152 per YEAR tax bill (homestead exemption) and a fully funded monthly HOA of $253.01 per month. Tennis & pickle ball courts, gym, Jr. Olympic size pool and spa. Roof and paint is replaced every 10 years and landscaping and mowing is weekly & it's gated.
Agreed! Thanks for watching!
Was looking to buy in Florida! NOT ANYMORE! HOA,S TOO HIGH ! WILL KILL THE MARKET!
The beginning of the condo crisis is years and years of neglect, neglect, neglect of regular routine maintenance by unit owners and the association members for whom they are responsible, responsible, responsible. The new laws force them to be responsible because they refused to be responsible on their own: there are laws when and because humans do not do the right thing on their own.
Now, question is, will investors be able to take advantage of these people´s years and years of irresponsible behavior?
That could mean convincing unit owners and their associations to sell the entire lots as the buildings that creak on them continue to rot as nature does to them without constant human intervention.
Some parts of america just replaced taxes with enforced costs like insurances and hoas
DeSantis's legacy of no regulations....You reap what you sow.
Explain what regulation prevents high HOA's? What state has them?
Why is car insurance so expensive? Is it the large number of shysters in Florida?
A couple reasons, people move here and drive like idiots. They are in a hurry to get to wherever they are going and don't care who gets in the way. Senior citizens have the "right" to drive, irrespective of their ability. Not to mention, those that move here and don't bother to get insurance. The system doesn't pick them up because they still have a New York DL and plates, 15 months after moving here. Doesn't really matter until they rear-end my motorcycle, and hand the responding LEO her insurance card. Only to find out 2 days later when I file the claim that it had lapsed for non-payment and she's gone!!!@@!!! Don't get me started!!
Hate to say, no way I would ever by a condo, I moved out of FL after 35 years.
People must know assessments mean construction, and there’s nothing worse than having your balcony closed off for a year or more… pool closed etc…not to mention dust and jackhammers going 10 hours a day for 18 months or longer living in the mist of construction a nightmare…!
They got a bit greedy. They just wanted more money !! And have put themselves in a very bad position !
I thought in Florida you could self insure your auto liability with an escrow account?
What if there is a million dollar liability claim? Very few people can "self insure" that.
Liability insurance is not for your benefit, it is for the third party, so they get paid no matter what your financial situation is.
@@Tugela60 You must not understand liability.
Liability is the coverage of damage done to others property. That's why it is mandatory. If you own your vehicle and you drive it into a lake, your not going to sue yourself for damages.
You don't get millions worth of coverage when you insure your car with say Gieco. You get what you pay for. IE $200 a month may get you 20k liability on a non sports car. If you do a million worth of damage the insurance only covers 20k. Your on the hook for the rest. Every state sets the minimum liability a car must have to be registered. If Florida is 20k like NY. You then you put 20k in the account and your done, self insured.
@@mc365mc No, you don't understand what mandatory insurance is for. It is not for protecting YOUR car, it is for protecting OTHER people you might injure or damage, so they are covered for any damages irrespective of your financial state. That is what liability is.
What happens to your car is not liability. It might be someone else's liability, and that is why THEY need insurance, so your rights are covered should something happen as a result of their actions.
@@Tugela60 Why do you keep saying that. I never said for protecting your own property.
@Tugela60 SELF-INSURANCE CERTIFICATE (BASED ON NET WORTH)
The certificate of self-insurance issued by this department as per section 324.171, Florida Statutes, provides limits of liability insurance in the amount of $10,000 of bodily injury to, or death of, one person in any one crash, $20,000 of bodily injury to, or death of, two or more persons in any one crash, $10,000 of injury to, or destruction of, property of others in any one crash and personal injury protection coverage as per section 627.733(3)(b), F.S.
The department will require proof of an individual’s unencumbered net worth by providing bank statements or appraisals of other assets when applicable.
A Natural Person is defined as an individual, a living human being.
Individual - Filing Requirements
A notarized copy of the Statement of Net Worth completed in its entirety (balance sheet indicating assets and liabilities) showing a unencumbered net worth of at least $40,000, application attached.
Good Educational Content
Thanks for watching!
I bought a new condo in Cebu Philippines. Cost me little and not much in maintenance nor insurance fees. And if an earthquake flattens it no biggie didn’t cost me much to begin with. No way I would pay 400k+ for a Florida condo that even paid off could cost me $1500 or more a month
Yeah, no maintenance, just have to worry about masked gunmen doing home invasions. If you are cool with that, then the Philippines is a great cheap option 😂
@@Tugela60 happens in America. I lived in the Philippines for several years and never experienced what you stated
@@TropicalTodd I know people who come from the Phillipines. They have told me stories of their experience there. Security is an issue. I am from a third world country myself, I know what their stories mean.
@@Tugela60 I had a gun put to my head at a gas station, not in Cebu but in Detroit. I speak of experience not stories. I have zero concern of mask men barging into my condo in the Philippines.
@@TropicalTodd My brother's wife had gunmen jump out as she pulled into the driveway of their house and steal their car. They tried to take her too, but she refused, which is probably the only reason she is still with us today. Their house had been broken into at least four times, maybe more, they stopped talking about it. Eventually they moved to a protected gated community where things were more secure and safe. We had multiple episodes of people wandering around our garden in the middle of the night. House was burglarized twice. Once when we were in bed asleep, once while we were away on vacation (came back to the place trashed). On another occasion found some guy wandering around inside our house "looking for work" after my mom left the door open to go hang up washing outside. My sister had her place broken into. On another occasion she was robbed at knifepoint on the street. And that is just my immediate family. Pretty all of my friends had violent encounters, cars stolen in front of them, people just walking into their house off the street and rifling through purses. One of my friends had his home burglarized while the were asleep, fingerprints taken by the police subsequently showed the burglar had previously murdered another family. People have burglar guards on all their windows and doors, razor wire and electric fences around their houses. They don't park on the street outside their houses because of car theft. You have to watch your back walking down the street. It really sucks when crime becomes so normalized that it is part of everyday life.
I have been in North America for over 30 years. In all that time I have never experienced any crime, nor has anyone else I know. The worst thing was one lady I know had her car keyed once.
There is simply no comparison.
This happened because our governor Did not have a better plan we should’ve been given more time. There are literally not enough professional engineers, or architects to make this happen for all condos by the end of the year.
And this folks is how you force demo and eviction through regulation to make room for new and more expensive development and income base. Barring legitimate structural issues from some of the dumb developing on beaches that went on. Sandy soil is all over Fl but to build right on the beach is very risky. You have to wonder how much over regulation there is with this vs what is warranted to keep buildings safe. Take away is Condo owning comes at risk depending on thr COA, and buying a SFR 20 mins inland is a much better option.
The issue is the increase is SUBSTANTIAL and not sustainable for a person on fixed income. Let’s be honest NOT every retiree has a savings in Florida. It should be against the law as predatory and a crime . Raising it by 500 is criminal
It is a beach in Florida that's not covered in condos Atlantic Beach Florida my hometown
Here is the unknown. Let's say you get a 40,000 dollar assessment and you say I can handle that. I guarantee there will be a clause in the special assessment for "unforeseen repairs." I have been through home remodels on my home (kitchens, bathrooms, etc.) Construction repair estimates are just that estimates. Let's say they start opening walls and start finding corroded electrical wiring that wasn't anticipated or water pipes with cracks, etc. or patios that need reinforcements, etc., etc. In an older building the result may be a tear down as the best choice.
Now is the time to buy.
I live on a lake in Missouri. Taxes on a 500k home are 4k a year. Insurance is $1800 a year. Taxes are fixed, forever, as I am a senior. 3k square feet home, walkout, and I have TWO kayaks. Yep, it isn't Florida. Thank God.
truth be told I have visited St Louis many times cuz my back office was located there. it was depressing
@@martycallmer9865 - I live thirty miles from St. Louis. You're correct. The city of St. Louis is a nightmare. Doesn't impact me, or my family, in the slightest. 30 miles is a lot.