What is the difference between an HOA and a condo association in Florida?

What you own in each

Section 718.103 defines a condominium as a form of ownership made up entirely of units, with an undivided share in the common elements attached to each unit. The common elements are everything in the condominium property that is not part of a unit, so in a typical building the roof, exterior walls, hallways and grounds are owned in shares by all the unit owners together.

Section 720.301 defines a homeowners' association as a Florida corporation that operates a community where membership is a mandatory condition of owning a parcel and the association can impose assessments that may become a lien. Each parcel is a lot, tract or other piece of real property that can be conveyed separately; the common areas are property the association owns or maintains for the community.[1][2]

Which law applies

Condominium associations follow Chapter 718. Section 720.302 says Chapter 720 does not apply to any association subject to regulation under Chapter 718 (condominiums), Chapter 719 (cooperatives) or Chapter 721 (timeshares), except where Chapter 720 expressly borrows one of their provisions. Membership is mandatory in both: in a condominium it is a required condition of unit ownership, and in an HOA it is a mandatory condition of parcel ownership.

A community can have both. A condominium building inside a larger master-planned community may have its own condominium association and also belong to a master HOA, each with its own documents and assessments.[3][1][2]

What that changes for a buyer

Insurance is one practical difference. Section 718.111 requires every condominium association to carry adequate property insurance on the condominium property, while the unit owner insures personal property and items such as floor, wall and ceiling coverings, appliances and built-in cabinets. In an HOA community, the owner of a house usually insures the whole house, and the association insures its own common areas.

The resale paperwork also differs: a condo resale comes with a set of association documents and a cancellation period, and an HOA sale comes with the statutory HOA disclosure summary. Both are covered in the related answers below.

• Ask which association (or associations) the property belongs to and get each one's declaration, rules and budget.
• For a condo, ask for the master insurance policy and plan your own unit-owner policy around what it excludes.
• Order the estoppel certificate from every association that levies assessments on the property.[4]