An Israeli Investor in Florida: HOA, Hurricane Insurance and Mandatory Structural Inspections in Condo Buildings

On 24 June 2021 the Champlain Towers South building in Surfside, near Miami, partially collapsed. Following the disaster, Florida changed the rules for condo buildings: periodic structural inspections, a duty to fund reserves for major repairs, and transparency towards buyers. Whoever buys a unit in such a building today also buys a share of its obligations, so the check before signing is broader than an inspection of the unit itself.

This guide explains what the law requires of the association, which documents to ask for, how to assess the risk of a special assessment, and what to know about insurance. On choosing a state, property tax and landlord-tenant law, see the guide to choosing a US state.

1What changed in Florida law after Surfside?

SB 4-D (chapter 2022-269), signed on 26 May 2022, created two obligations: a periodic structural inspection (milestone inspection) and a structural integrity reserve study (SIRS). The law was amended in the following years, among others by HB 913 (chapter 2025-175), signed on 23 June 2025 and in force from 1 July 2025.

2What is a milestone inspection, and when is it required?

It is a structural inspection carried out by an architect or engineer licensed in Florida. The first inspection is required by 31 December of the year the building reaches 30 years from its certificate of occupancy, and every 10 years after that. The local authority may bring the inspection forward to 25 years based on local conditions, such as proximity to salt water.

1. Phase one: a visual examination of the structure. It must be completed within 180 days of receiving the local authority's notice. If there are no signs of substantial structural deterioration, phase two is not required.
2. Phase two: required when phase one found substantial structural deterioration, and may include destructive testing. Within 180 days of submitting the phase one report, the engineer files a progress report with a timeline.
3. Repairs: under the law, repairs must begin within 365 days of the authority's receipt of the phase two report. If the owners cannot show that repairs are scheduled or under way, the authority determines whether the building is safe for occupancy.

Within 45 days of receiving the report, the association must send the engineer's summary to all unit owners, post it in a conspicuous place in the building, and publish the report and summary on the association's website if it is required to have one.

3What is a SIRS, and why does it affect HOA dues?

A SIRS is a study that sets how much money the association must save to repair or replace the building's structural components. It is required at least every 10 years and is prepared by an engineer, an architect or a certified reserve specialist. The components in the study:

• Roof, and the load-bearing structure: load-bearing walls and primary structural systems.
• Fireproofing and fire protection systems, plumbing and electrical systems.
• Waterproofing and exterior painting, windows and exterior doors.
• Any other item whose deferred maintenance or replacement cost exceeds USD 25,000 (inflation-adjusted) and whose failure affects these components. HB 913 raised the threshold from USD 10,000.

What it means for a buyer: for budgets adopted on or after 31 December 2024, an association required to have a SIRS may not decide on reserves lower than the law requires for these components. A building that did not save for years will have to close the gap, through higher dues, a special assessment or a loan. The deadline for completing the first SIRS in existing associations was 31 December 2025, so it is worth asking whether the study was completed and what it found.

4What is the risk of a special assessment?

A special assessment is a one-off payment, or a payment in instalments, that the association levies beyond regular dues, usually for repairs. Under section 718.116(10), the purpose of the assessment must be stated in the notice to owners, and the money is used only for it. The law also allows reserves to be funded by special assessments, a line of credit or a loan, with the approval of a majority of the total voting interests.

Two provisions matter especially to a buyer. Under section 718.116(1), a unit owner is liable for all assessments that come due while they are the owner, and a new owner is jointly and severally liable with the seller for assessments the seller did not pay. And under the same section, the association has a lien on the unit to secure the debt, which it may foreclose in a procedure similar to a mortgage foreclosure.

5Which documents should you request from the association and the seller before signing?

In a resale, section 718.503(2) requires the seller to give the buyer, at the seller's expense, current copies of the following documents. The buyer may cancel the contract by written notice within 7 days, excluding weekends and holidays, from the later of signing the contract and receiving the documents, and until closing.

• The declaration of condominium, the articles of incorporation, the bylaws and the association's rules.
• The annual financial statement and the annual budget.
• The milestone inspection summary, if one was required.
• The latest SIRS, or a statement that one has not been completed.
• The turnover inspection report from the developer to the owners, if carried out on or after 1 July 2023.
• The Frequently Asked Questions and Answers document and the governance form of the condominium division.

For contracts signed after 31 December 2024, the contract must also include a conspicuous statement on the status of the milestone inspection, the turnover report and the SIRS. When buying directly from a developer, the cancellation period under section 718.503(1) is 15 days.

Besides these documents, ask for an estoppel certificate. Under section 718.116(8), the association issues it within 10 business days, and it sets out the payments and debts on the unit. The issuance fee is capped at USD 250 when nothing is owed, plus up to USD 100 for expedited delivery and up to USD 150 when there is a debt. The certificate is valid for 30 days when hand delivered or sent electronically, and 35 days when sent by mail. As a member of the association you may also request the association's records, and it must make them available within 10 working days.

6What does the association insure, and what do you need to insure yourself?

Under section 718.111(11), the association insures the condominium property at replacement cost, with a reappraisal at least once every three years. Its cover excludes your contents and the unit's components: floor, wall and ceiling coverings, electrical fixtures, appliances, water heaters, built-in cabinets and countertops, and window treatments. These are insured under a condo unit owner policy. The deductible on the association's policy is set by the board, and damage below it may come back to the owners as an assessment.

• Hurricane deductible: under section 627.701, a home insurer must offer a hurricane deductible of USD 500, 2%, 5% or 10% of the dwelling limit. It applies on an annual basis, to all hurricane losses in the calendar year.
• Flood: according to FEMA, most home insurance policies do not cover flood damage, and a separate policy is needed. A new policy under the National Flood Insurance Program (NFIP) typically has a 30-day waiting period.
• Mortgage: a property in a high-risk flood area financed by a mortgage from a government-backed lender must carry flood insurance.
• Citizens: Florida's state-backed insurer is phasing in a flood insurance requirement for residential policyholders, reaching all policies from 1 January 2027. According to its 2023 notice, condo units insured on a condominium unit owners form are exempt from the requirement.

7What else matters to an investor who lives in Israel?

• Rental rules: read the declaration and the rules for any restrictions on letting, and check them against your investment plan.
• Holding structure: if the property will be registered in the name of an LLC, see the guide to LLCs for Israelis.
• Management: the management agreement should cover tracking association notices, meetings and assessments. See the guide to property management agreements in the USA.
• Closing: on title insurance and escrow in the transaction, see the guide to title insurance and escrow.
• Tax: Florida property tax falls due on 1 November, with a 4% discount for payment in November. The other deadlines are in the annual calendar for owners of property abroad.

8What to do before signing, and how we accompany you

Before making an offer on a Florida condo unit, it is worth obtaining the association's document package, the SIRS and the inspection summary, and reading them together with the minutes of the last two years. We go through the documents with the client from the perspective of an Israeli investor and coordinate with a local lawyer licensed in Florida, with an insurance agent and with an engineer when needed. The engineering inspection itself is carried out by an engineer.

Read next · 9 min readTitle Insurance and Escrow in a US Transaction: What Protects You and What Does NotTitle insurance and escrow in the US: what the owner's policy covers, exceptions to check, how the escrow account works and how to defend against wire fraud.Read the guide