About Coconut Creek's The Township

New Law Which Gives A Condominium Owner The Right To Avoid A New Restriction In Renting In Florida

Recently, I was called by a condominium owner who purchased a condo with the purpose of renting the unit, without ever having the intention of living in the unit whatsoever. After purchasing the unit, and subsequently, renting the unit to a long term renter, the condo board decided to put up a vote to stop owners form renting their units. The vote was casts, and majority rules, renting was now abolished in the condominium sub-division, and added to the condominium documents.

Letters went to to all residents and owners, there will be no more renting as of this date. All leases will be honored until the 12 month lease terminates. Therefore, any owner who does not plan on moving back into the unit, must therefore sell the unit immediately.

Hence, the phone call and I was asked by this owner, what my professional opinion on this matter. I told the owner I was not an attorney, but I did cite a statue from the Florida Supreme Court ruling.

In the case of Woodside Village Condominium Association Vs. Jahren, the Florida Supreme Court ruled that a condominium's governing documents may be amended to restrict an owner's right to rent their unit. The investor-defendants argued that they relied on the documents, when they purchased the unit, which at the time allowed them unrestricted rentals. The courts specifically held that a buyer, when purchasing a condominium, must agree to the possibility that the documents may be amended.

In response to the ruling by the Supreme Court, The Florida Legislature passed, In July of 2004, a new law which gives a condominium owner the right to avoid a NEW restriction in the renting of their apartment if they voted against it, thereby keeping in tact the rules in existence when they purchsed the unit.

Owners of rental units, who voted no against changing the condo rules are thereby allowed to keep renting their units without fear of the condominium board. The board has no right, according to this law, to force owners to sell their units because of the rule change.

But, when and if they do sell their units, the next buyer who purchases the unit cannot rent the unit and must agree to follow all amended rule changes.

Just another reason to call a professional realtor. For more information, please don't hesitate to call.

Nicholas Goglucci, PA.

Re/max In Motion

954-650-7800