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Housing market crashing! The Big Short Part 2 has begun
Home builders in Western Florida keep inundating the market with supply. Cities like Sarasota, Lakewood Ranch, Cape Coral, and Naples have a deluge of newly built homes hitting the market in 2025, just as buyer demand has dropped. The result is a massive wave of inventory and homes for sale, which is dragging down prices.
According to Zillow's Home Value Index, there's already been a 6-8% YoY drop in counties like Sarasota and Manatee. And the declines could get bigger in the future based on Reventure's forecasts.
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https://youtu.be/V7nn9rqUYi4
Condo owners wake up to grim reality that their homes are worthless after law change
Florida's condo market has become a nightmare for many residents trying to sell.
The Sunshine State's retirees who flocked there for affordable condos now find themselves stuck with old properties worth virtually nothing that they are desperate to escape.
Pending mandatory repairs and rising HOA fees on aging towers have driven owners to list in a flooded market.
In Boynton Beach for example, a two-bedroom, two-bathroom condo at Hunters Run Country Club with access to a resort-style pool and high-end amenities is selling for just $10,000. The owner paid $60,000 for it in 2001. It's now worth $3 per square-foot.
On Marco Island, a one-bedroom, two-bathroom condo complete with water access at Sunrise Bay Resort is listed for $9,000.
In contrast, a newer build nearby on Marco Island with an oceanfront entrance is selling for $629,000.
But the rock bottom prices still won't move inventory. Buyers aren't biting.
Instead, most are opting for newer builds, which come with modern storm protections, amenities and HOA fees that won't skyrocket any time soon.
The dramatic shift comes after a new Florida law — passed in response to the deadly 2021 Surfside collapse that killed 98 people — imposed strict inspection and funding requirements for aging buildings.
Condo associations must now conduct structural safety assessments and collect hefty reserve funds for future repairs.
'I think we are going to see a growing divide,' attorney Alessandra Stivelman of Eisinger Law tells DailyMail.com
'New condos built to modern codes and with fully compliant reserves will thrive — while older buildings may struggle to survive and face termination, bulk sales, or redevelopment.'
Now, owners are trying to dump their condos. The problem is, no one wants them.
The State of Florida Property Management Association (SFPMA) reports that at Miami's Cricket Club, a 50‑year‑old tower, each of the 217 owners were hit with an extra $134,000 in assessments.
Summit Towers in Hollywood, Florida, faced a $56 million assessment, or $99,000 for each of the 567 condos, which completely tanked the value of the building.
Condos built over 30 years ago have seen a staggering 22 percent drop in value over the past four years, reports SFPMA.
Meanwhile, new units have climbed in value 12 percent in just two years.
Mortgage insurer Fannie Mae has now blacklisted more than 1,400 Florida condos due to deferred repairs or insurance lapses, which halts any attempt at a sale.
Hard‑hit condo dwellers on fixed incomes and retirees see no way out.
'That's the million-dollar question – what will happen next and when,' Stivelman says.
'While this cycle of new and replacement buildings may help improve the safety and durability of Florida's condo inventory, it also raises concerns about displacement, affordability, and access for long-time residents.
Moar here at sauce,
https://www.dailymail.co.uk/real-estate/article-14839107/florida-condo-law-home-values-hoa.html
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