Buying a Florida Condo: Milestone Inspections and Reserves
A condo in Downtown Orlando, Altamonte Springs, Winter Park or Kissimmee can be a smart way into the market, but since Florida tightened its condo safety laws, the building matters as much as the unit. Two documents now sit at the center of every condo purchase: the milestone inspection summary and the structural integrity reserve study. Here is how to read them before you fall in love with a floor plan.
Key takeaways
- Condo and co-op buildings of three or more habitable stories need a structural milestone inspection when they reach 30 years old, then every 10 years.
- Those buildings also need a structural integrity reserve study (SIRS) that sets how much the association should save for roofs, structure, windows and more.
- As a buyer you are entitled, at the seller’s expense, to the milestone summary and the reserve study, or a statement that they have not been completed.
- A building with deferred repairs and thin reserves can mean higher assessments later, so read the numbers before you make an offer.
Which buildings the rules cover
Under Florida Statutes section 553.899, a condominium or cooperative building that is three habitable stories or taller must have a milestone inspection by December 31 of the year it turns 30, based on its certificate of occupancy, and every 10 years after that. A local enforcement agency can move the first deadline to 25 years where local conditions call for it, such as nearness to salt water. Smaller buildings, including single-family through four-family homes with three or fewer stories, are outside the law.
The inspection is done by a licensed engineer or architect, not a home inspector. Phase one is a visual review. If the professional finds substantial structural deterioration, phase two adds deeper testing. The association must give owners the inspector’s summary within 45 days of receiving the report.
The reserve study is the money side
The milestone inspection tells you about condition. The reserve study tells you about cash. Section 718.112 requires a structural integrity reserve study at least every 10 years for covered buildings, looking at the roof, structure, fireproofing and fire protection, plumbing, electrical systems, waterproofing and exterior painting, and windows and exterior doors. For each item it must estimate remaining useful life and replacement cost, then recommend an annual reserve amount.
When you read it, compare the recommended reserve funding with what the association’s budget actually sets aside. A large gap is not automatically a deal breaker, but it tells you a special assessment or a monthly fee increase may be coming.
What you are entitled to before closing
Section 718.503 says a buyer who is not purchasing from the developer is entitled, at the seller’s expense, to the condominium documents, the annual budget and financial statement, the inspector-prepared milestone summary if one applies, and the most recent reserve study or a statement that none has been completed. The resale contract also has to carry conspicuous language about your review and cancellation rights, so read that clause closely and keep your dates straight.
- Declaration, bylaws and rules (pets, rentals, parking, minimum lease terms)
- Current budget, financial statement and the monthly fee breakdown
- Milestone inspection summary and any repair plan that followed
- Reserve study and the association’s funding plan
- Any pending or approved special assessments
Bring in the rest of the team early
A condo purchase touches inspection, insurance and lending at the same time. The unit inspection versus the milestone inspection explains why the two answer different questions. Ask your lender about the building’s eligibility before you go under contract, and ask an insurance agent how the association’s coverage and your own policy fit together.
If you are still deciding where to start, our step-by-step Central Florida buying guide walks through the full timeline.
Condo buying questions
Does a new building need a milestone inspection?
Not until it reaches the age in the statute. A newer building still must have a reserve study if it is three stories or taller, so ask for it.
Can I cancel if the documents worry me?
Your contract’s conspicuous cancellation language controls, and the timing is short. Ask your agent to calendar it the day you sign.
Where can I check association rules and complaints?
The state’s Division of Florida Condominiums, Timeshares, and Mobile Homes publishes condo guidance for owners and buyers.
This article is general information, not legal advice. Check your contract with a Florida real estate attorney or your agent. To talk through a condo you are considering, call Quality Real Estate Services at 407-476-6667.