Florida HOA
What to Check Before Closing

What Florida Requires Sellers to Disclose

Florida law (Chapters 718 and 720) gives buyers specific rights regarding HOA and condo association documents. For a standard HOA (homeowners association) purchase, the seller must provide governing documents — the Declaration of Covenants, Conditions & Restrictions (CC&Rs), Bylaws, and current Rules and Regulations. For condominium purchases, the seller must provide the full condo package including the reserve study, budget, and meeting minutes within a specific window, and buyers have a right to rescind within 3 days of receipt for condos.

Most buyers receive these documents and read the rules about paint colors and pets. The buyers who protect themselves read the documents that indicate financial health and future obligations: the reserve study, the annual budget, the minutes from the last 12 months of board meetings, and the pending litigation or assessment records. These documents tell a far more important story than whether you can park a boat in your driveway.

Eight Documents Every Buyer Must Review

• Reserve Study (most recent): Shows the HOA’s assessment of all major capital components — roofs on common areas, pools, elevators, paving, etc. — their remaining useful life, and the current reserve fund balance vs what is needed. An underfunded reserve is a special assessment risk. For condo communities, this is the most important financial document in the package.
• Annual Budget: Shows how the HOA allocates revenue from dues. Look for the percentage going to reserves vs operating expenses. A community funding reserves at less than 70% of the recommended level is running thin. Compare this year’s budget against last year’s — unexplained increases in line items may signal emerging problems.
• Board Meeting Minutes (last 12 months): Where the real story lives. Read every set of minutes. Look for: discussion of deferred maintenance, mentions of upcoming special assessments, vendor contract disputes, resident complaints about specific issues, and any mention of legal actions. Minutes reveal what the glossy brochure omits.
• Special Assessment History (last 5 years): Ask specifically whether any special assessments have been levied in the last 5 years, what they were for, and what the total amount was. A history of special assessments indicates either aging infrastructure, underfunded reserves, or unexpected major repairs — all of which may recur.
• Pending or Active Litigation: Florida law requires disclosure of pending litigation involving the HOA. Construction defect claims, insurance disputes, and resident lawsuit history all affect the HOA’s financial stability. Any active litigation should be reviewed by a real estate attorney before closing.
• CC&Rs (Declaration of Covenants, Conditions & Restrictions): The foundational rules governing what you can and cannot do with your property. Read the sections on: rentals (age verification requirements, rental duration minimums/maximums), pets (weight limits, breed restrictions), modifications (what requires HOA approval), and guest policies.
• Rules and Regulations: The more specific operational rules — amenity hours, parking rules, pool use policies, renovation notification requirements, and community conduct standards. For active adult communities, look specifically at age verification procedures for resale — the rules should clearly specify how the 55+ age restriction is enforced at the point of resale.
• Management Company Contact and Contract: Who manages the community day-to-day and when the management contract expires. A management contract expiring within 12 months of your closing means the HOA board may renegotiate terms — which can affect service quality or costs. The management company is who you will call when something goes wrong.

What to Ask Before You Close

Your real estate agent can facilitate a call with the HOA management company during the due diligence period. These are the 15 questions that experienced buyers ask — and that most first-time 55+ community buyers skip.

• What is the current reserve fund balance, and what percentage of the recommended reserve level does that represent?
• Has the board discussed any pending special assessments in the last 12 months? Are any currently under consideration?
• Has the community had any special assessments in the last 5 years? What were they for and what were the amounts?
• Is there any active litigation involving the HOA as plaintiff or defendant?
• When was the last reserve study conducted? Is the community currently on the recommended reserve funding schedule?
• What is the current delinquency rate on HOA dues? What percentage of homeowners are more than 30 days late?
• Are there any known major capital expenditures planned in the next 2 years — pool resurfacing, roof replacement on common buildings, paving, elevator work?
• When does the current management contract expire, and has the board begun renewal discussions?
• What is the process for age verification at resale? How does the community enforce the 55+ requirement when a home changes hands?
• Are there any rental restrictions? What is the minimum rental duration, and how many homes in the community are currently rented?
• What is the pet policy — weight limits, breed restrictions, number of animals permitted?
• What modifications require HOA approval, and what is the typical turnaround time for approval requests?
• Has the HOA received any complaints from county code enforcement or other regulatory bodies in the last 3 years?
• Is there any pending or planned amendment to the CC&Rs or Bylaws? What is it proposing to change?
• What is the community’s process if a homeowner disputes an HOA decision or fine?

What to Walk Away From

None of these situations automatically kill a deal, but all five require either a seller credit equal to your risk exposure, a material price reduction, or a clear written representation from the HOA that specific issues are resolved. Your real estate attorney can draft the language. If the seller refuses to address any of these conditions, exercise your right to walk away during the inspection period.