Florida legislature, real estate edition: Here’s what you need to know
Lawmakers voted on a number of real estate-related bills this legislative session that Gov. Ron DeSantis signed or is expected to sign into law.
The session ended on Friday. One pair of bills that would have allowed the demolitions of properties in historic districts across coastal cities died in the Florida House last week, as legislators wrapped up the busy session.
Here’s a look at what passed and what did not:
SB 102 | Affordable housing | Status: Signed into law
DeSantis has already signed into law a landmark housing bill that incentivizes developers to build affordable and workforce housing, sets aside more than $700 million in funding and supersedes local zoning rules. It goes into effect July 1. Read more about the bill here.
HB 1355/SB 264 | Restricting foreign investment in real estate | Status: signed into law
DeSantis also signed sister bills restricting foreign investment in Florida real estate from China, Venezuela, Cuba, Russia, Iran, Korea and Syria. The law bans real estate purchases by Chinese people and businesses domiciled in China and those who are not U.S. citizens or residents. Those who currently own real estate and fall under those parameters must register their ownership with the state, which critics of the legislation compared to Nazi Germany.
Foreign investors from the other “countries of concern,” including Venezuela and Cuba, are banned from buying agricultural land in the state, as well as real estate within 10 miles of military and critical infrastructure facilities. The latter includes seaports, airports, chemical manufacturing facilities, electrical power plants, water treatment plants and gas plants. The law lays out punishments for those who knowingly sell such real estate to people or entities from those countries.
One exception that was later added to the bill: A foreign national with a non-tourist visa could purchase one residential property of up to 2 acres if the property is not on or within five miles of a military installation.
Real estate brokers have called the restrictions “discriminatory.” The law will likely hurt the foreign buyer condo market in South Florida for any properties within 10 miles of airports, in particular. It’s also expected to ban parents of Chinese students attending Florida colleges and universities from buying condos or homes for their children.
SB 154 | Condo associations | Status: Passed, waiting for governor’s signature
Florida lawmakers made changes to a bill that aims to clarify aspects of the condo safety law passed last year, in the wake of the deadly Surfside condo collapse. Last year’s law resulted in condo association boards scrambling to meet looming deadlines for financial and structural repairs.
This bill gives local municipalities some authority in enforcement, and limits the “milestone” inspection requirements for residential condominium or cooperative buildings. It also makes it easier for boards to pass larger budgets without requiring a special meeting, by allowing associations to exclude key items — including the funding of reserves and insurance premium hikes — from the maximum budget increase, said attorney Darci Cohen, a partner at Miami-based Mark Migdal & Hayden.
The condo safety law signed in 2022 eliminated associations’ ability to waive the funding of their reserves, giving them until the end of 2024 to raise their monthly dues or enact special assessments to fully fund reserves, if needed, by the start of 2025. It requires buildings to have an architect or engineer complete structural integrity reserve studies, which will then determine how much a building has to have in its reserves.