Good news for Fort Lauderdale, Florida Condo Owners. A new Florida bill will require banks to pay up to 12 months of outstanding maintenance expenses or 1% of the original mortgage balance. This is a long overdue change in our condo laws that will influence a bank to expedite the sale of their foreclosure short sales and REO condos. Up until now the banks tend to prolong the foreclosure process, placing a higher cost on procrastination will certainly generate a higher incentive for a bank to dispose of their distressed properties. view FORT LAUDERDALE DISTRESSED HOMES PLEASE CLICK HERE. FORT LAUDERDALE FORECLOSURE CONDOS CLICK HERE.
Condo relief measure heads to Crist: The Florida House on Wednesday passed condominium relief legislation that requires lenders to pay more in past-due assessments on foreclosed properties. The bill, which passed the Senate earlier this month, now goes to Crist.
Currently, when a bank forecloses on a condo, the lender pays the association six months of overdue assessments or 1 percent of the original mortgage debt, whichever is less. This bill would require lenders to fork over 12 months of assessments or 1 percent of mortgage debt.
The bill also restricts common-area uses and suspends voting rights for condo owners who are 90 days delinquent. In addition, the bill would make it easier for condo associations to opt out of expensive fire sprinkler upgrades that must be completed by 2014.
With no line-item veto at his disposal, Crist rejected a similar bill last year. He sided with fire marshals and others, who cited the lack of sprinkler systems as a safety issue.
Staff writers Paul Owers and Marcia Heroux Pounds, the Orlando Sentinel and The Associated Press contributed to this report. Copyright © 2010, South Florida Sun-Sentinel