By Carrie Liotta, Space Coast Waterfront Real Estate Specialist | 321coastalliving.com
You’ve been watching the listings. Maybe it’s that riverfront unit in Merritt Island with the boat dock, or the oceanfront high-rise in Cocoa Beach with launch views. The price looks right. The association fees seem manageable. But there’s a question you should be asking that most buyers aren’t: Has this building completed its Structural Integrity Reserve Study, and what will that mean for my wallet?
If you’re looking at waterfront condos on Florida’s Space Coast right now, this isn’t optional information. It’s the difference between buying a dream home and inheriting a financial crisis you didn’t see coming.
I’m Carrie Liotta, and I’ve spent my career helping buyers navigate waterfront real estate across Brevard County. I’m ranked in the top 5% of all realtors in Brevard County, and there’s a reason for that: I know how to read what most people miss. Right now, across Florida—and especially in coastal communities like ours—there’s a seismic shift happening in how condos are maintained, funded, and valued. And if you don’t understand it, you could walk into a purchase that costs you tens of thousands more than you planned.
The Law Everyone’s Talking About
After the 2021 Surfside collapse revealed catastrophic underfunding of condo reserves, Florida legislators acted. Senate Bill 4-D, later refined by House Bill 913 in 2025, fundamentally changed the rules. Here’s what matters to you as a buyer:
Any condominium or cooperative building three or more habitable stories in height must complete a Structural Integrity Reserve Study by December 31, 2025.
That SIRS—pronounced “sirs,” not initials—isn’t a suggestion. It’s a mandated engineering assessment performed by licensed professionals that evaluates eight critical structural components:
- Roof
- Load-bearing walls and primary structural members
- Floor
- Foundation
- Fireproofing and fire protection systems
- Plumbing
- Electrical systems
- Waterproofing and exterior painting
- Any other structural element exceeding $25,000 in repair or replacement cost
Once that study is complete, associations must fully fund reserves based on its findings. No waivers. No votes to defer. Starting January 1, 2025, condo owners can no longer vote to skip or reduce reserve contributions for structural items.
This is where it gets personal. If the building you’re considering hasn’t done this study yet—or worse, has done it and discovered massive deferred maintenance—you could be walking into a special assessment that rivals your down payment.
What This Actually Means for Waterfront Buyers on the Space Coast
Let me be blunt: coastal condos face accelerated wear. Salt air corrodes rebar. Hurricanes stress roofing systems and structural integrity. Seawalls need replacement. Concrete spalling is common in buildings over 20 years old.
I’ve represented clients who fell in love with a Cocoa Beach oceanfront condo, only to discover during due diligence that the building’s SIRS revealed $8 million in needed repairs across 120 units. That’s roughly $66,000 per owner—money that has to be paid through increased association dues or special assessments.
Now imagine you didn’t ask. Imagine you bought that unit, moved in, and six months later received a letter notifying you of a $50,000 special assessment. That’s not hypothetical. It’s happening across Florida right now, and it’s happening more in coastal communities where environmental factors compound deferred maintenance.
The Questions I Ask Before My Clients Make an Offer
When I’m working with waterfront condo buyers—whether it’s Merritt Island, Cocoa Beach, Cape Canaveral, or anywhere along the Indian or Banana Rivers—here’s my due diligence checklist:
- Has the building completed its SIRS? If the deadline is December 31, 2025, and we’re approaching that date, any building that hasn’t completed this study is either scrambling or ignoring the law.
- What did the SIRS reveal? Get the actual report. Don’t rely on summaries from the seller or even the association president. I want to see the licensed engineer’s findings, the estimated costs, and the funding schedule.
- What is the current reserve balance? If the SIRS says they need $5 million in reserves and they have $200,000, that gap will be filled by owners. You included.
- Are special assessments already planned or likely? Some associations are transparent about this. Others bury it in meeting minutes you’ll never see unless you ask.
- What is the building’s age and last major capital improvement? A 1980s building with original plumbing and electrical systems is a different risk profile than a 2010 construction with recent upgrades.
- How is the association funded relative to HB 913 requirements? Under the new law, associations can use loans, lines of credit, or special assessments to meet reserve requirements. Which path is this building taking, and what does that mean for your monthly carrying costs?
These aren’t “nice to know” questions. They’re deal-critical. And most buyers don’t ask them because most agents don’t think to guide them here.
Why Space Coast Waterfront Condos Deserve Extra Scrutiny
Brevard County’s waterfront real estate is unique. We have oceanfront high-rises in Cocoa Beach and Cape Canaveral. We have riverfront mid-rises along the Indian and Banana Rivers in Merritt Island. We have canal-front townhomes and smaller condo communities scattered through our barrier islands.
Each of these faces specific environmental stressors:
Oceanfront properties endure salt spray, wind-driven rain, and direct hurricane exposure. Concrete balconies, exterior cladding, and structural steel are all vulnerable to accelerated corrosion. If you’re looking at a beachside building built in the 1970s or 1980s, expect the SIRS to uncover significant deferred maintenance.
Riverfront properties face saltwater intrusion from tidal waterways, seawall degradation, and foundation concerns in areas with high water tables. A building on the Indian River might look pristine from the lobby, but the seawall holding back the river could be on borrowed time.
Canal-front communities often have smaller reserve budgets because they’re lower-density, but they still face the same corrosive environment. And with fewer units to spread costs across, individual owner liability can be proportionally higher.
This is why working with a local waterfront specialist matters. I’ve sold properties in every micro-market across the Space Coast. I know which buildings have been proactive, which have deferred maintenance for decades, and which are ticking time bombs for unsuspecting buyers.
The Financial Reality: What Buyers Are Actually Facing
| Building Characteristic | What Traditional Agents Focus On | What You Actually Need to Know |
|---|---|---|
| Monthly HOA Fees | “Fees are $450/month—great for the area” | “Fees are $450 now, but the SIRS shows $6M in needed repairs with only $300K in reserves. Expect fees to double or a $40K special assessment within 18 months.” |
| Building Age | “Built in 1985—solid construction” | “Built in 1985, original plumbing and electrical, no major capital improvements in 15 years, and the SIRS is overdue. High risk.” |
| Amenities | “Pool, gym, boat docks—fantastic lifestyle” | “Amenities are maintained, but the seawall is failing, the roof is 8 years past recommended replacement, and the elevators need modernization. Those aren’t in the budget.” |
| Reserve Fund | Never mentioned or “adequately funded” | “Current reserves: $1.2M. Required per SIRS: $8.5M. Shortfall: $7.3M. Funding plan: 5-year special assessment of $60K per unit.” |
| Recent Sales Comps | “Units selling at $400K” | “Units were selling at $400K before the SIRS was released. Now they’re listing at $350K and sitting because informed buyers know about the pending assessment.” |
That table isn’t exaggeration. Those are real patterns I’m seeing in the market right now. And the gap between what inexperienced agents tell buyers and what’s actually happening financially is staggering.
The HB 913 Adjustments: Slight Relief, But Not a Free Pass
In July 2025, Florida passed HB 913, which provided some financial flexibility:
- Extended the SIRS deadline from December 31, 2024 to December 31, 2025 for initial studies
- Raised the threshold for reserve requirements from $10,000 to $25,000 per component
- Allowed alternative funding mechanisms including loans, lines of credit, and payment plans for owners
- Clarified “habitable stories” so that three-story buildings with ground-level parking count as three habitable stories only if the parking is living space
This bought associations some breathing room, but it didn’t eliminate the financial reality. If your building needs $5 million in repairs, that money has to come from somewhere. The law now allows associations to borrow it rather than demanding immediate lump sums from owners, but debt service still gets passed through to you via higher monthly fees.
What Smart Buyers Are Doing Right Now
The buyers who are winning in this market—the ones who are securing waterfront properties without inheriting financial disasters—are doing three things:
1. They’re asking for documentation before making offers.
Not after. Before. I send my buyers into contract with eyes wide open. That means requesting:
- The completed SIRS (if available)
- Meeting minutes from the past 12 months
- Reserve study and current reserve balances
- Any pending or planned special assessments
- The building’s milestone inspection report (required for buildings 30+ years old in most areas, 25+ years near the coast)
2. They’re working with agents who understand the numbers.
This isn’t about staging or marketing photos. This is about financial forensics. Can your agent read a reserve study? Do they know the difference between SIRS and non-SIRS reserve items? Can they calculate what a $4 million shortfall means per unit?
If the answer is no, you’re flying blind.
3. They’re making funding status a negotiation point.
If a building has completed its SIRS and the numbers are ugly, that’s leverage. Sellers know informed buyers are scarce. If you come in with full knowledge of the financial situation, you can negotiate price reductions that offset future assessments.
I’ve negotiated deals where we reduced the purchase price by $30,000 because the SIRS revealed a $50,000 per-unit assessment coming within 24 months. The seller knew we knew, and they adjusted. But that only works if you have the information and the representation to use it.
Case Study: What Due Diligence Looks Like on a Cocoa Beach Oceanfront Condo
Last year, I worked with a couple relocating from North Carolina. They were looking at a sixth-floor oceanfront unit in Cocoa Beach. Listed at $525,000. Beautiful views. Renovated interior. Association fees of $620/month. Seemed like a solid deal.
Before we made an offer, I requested the building’s SIRS. It had been completed three months prior. The findings:
- Roof replacement needed within 18 months: $1.8 million
- Concrete balcony restoration: $2.3 million
- Elevator modernization: $850,000
- Plumbing riser replacement: $1.1 million
- Total: $6.05 million
- Current reserves: $780,000
- Shortfall: $5.27 million
The building had 94 units. That’s a $56,000 per-unit shortfall. The association was planning a combination of special assessments and increased monthly fees to address it over five years.
My clients had two options:
- Walk away
- Negotiate a price reduction to offset the known liability
We made an offer at $475,000—a $50,000 reduction. The seller countered at $490,000. We settled at $485,000. That $40,000 savings essentially covered most of the upcoming assessment.
But here’s the key: without requesting that SIRS, my clients would have bought at $525,000 and been blindsided six months later when the special assessment notices went out.
That’s a $40,000 swing based on asking one question most buyers don’t know to ask.
The Merritt Island and Riverfront Factor
Let’s talk about Merritt Island and our riverfront communities specifically. These properties—along the Indian River, Banana River, and Sykes Creek—offer a different value proposition than oceanfront high-rises. Lower density. Often smaller buildings. Quieter. Better for boaters.
But don’t assume “smaller and quieter” means “financially safer.”
Many of our riverfront condos were built in the 1970s and 1980s. They have aging infrastructure, original seawalls, and in some cases, have operated with minimal reserve funding for decades because owners voted to keep fees low.
HB 913 ended that practice. Now, every three-story building—even a modest riverfront complex with 30 units—must comply. And when you spread a $1.5 million seawall replacement across 30 owners instead of 200, the per-unit cost is significantly higher.
I’ve seen riverfront properties in Merritt Island where buyers focused on the lifestyle—boat dock, fishing, manatees, proximity to Cocoa Beach—and completely ignored the financials. Then they moved in and received a $45,000 assessment notice for seawall work that had been deferred for 15 years.
That’s preventable. It just requires asking the right questions before you close.
Why Carrie Liotta and 321 Coastal Living?
I’m not writing this to scare you. I’m writing this because waterfront living on Florida’s Space Coast is one of the best lifestyle decisions you can make—as long as you do it with your eyes open.
I’ve built my reputation by being the agent who digs deeper. The one who reads the fine print. The one who knows which buildings are well-managed and which are disasters waiting to happen. I’m ranked in the top 5% of realtors in Brevard County because I don’t just sell properties—I protect my clients from making expensive mistakes.
If you’re serious about waterfront real estate—whether it’s Merritt Island, Cocoa Beach, Cape Canaveral, Indian Harbour Beach, or anywhere along Brevard’s coastline—this is the kind of expertise you need on your side.
Visit 321coastalliving.com to see current listings, or check out my YouTube channel at youtube.com/@CarrieLiottaSpaceCoastRealtor where I break down market trends, neighborhood deep dives, and property walkthroughs with the kind of detail you won’t get anywhere else.
Frequently Asked Questions
What is a Structural Integrity Reserve Study and why does it matter to me as a buyer?
A Structural Integrity Reserve Study is a comprehensive engineering assessment required by Florida law for all condominiums three or more habitable stories in height. It evaluates critical structural components like the roof, foundation, load-bearing walls, plumbing, electrical systems, and waterproofing to determine their condition and remaining lifespan. For buyers, this matters because the study reveals how much money the association needs in reserves to address repairs and replacements—and if there’s a shortfall, you’ll be responsible for covering your share through increased fees or special assessments. Always request the SIRS before making an offer on any waterfront condo on the Space Coast.
How do I know if a building has completed its SIRS by the December 31, 2025 deadline?
Ask directly. Before making an offer, request documentation from the seller or association showing the completed SIRS report. If the building is approaching the December 31, 2025 deadline and hasn’t completed the study, that’s a red flag. Buildings that wait until the last minute are often either financially unprepared or poorly managed—or both. As the Space Coast’s waterfront real estate specialist, I make sure my clients have this information before they commit to a purchase, not after.
What should I do if I’m already under contract and just discovered a major reserve shortfall?
First, review your contract’s contingencies. Most Florida real estate contracts include an inspection period and the right to review association documents. If you’re still within that window, you have options: renegotiate the purchase price to account for the known assessment, request a seller credit, or walk away if the numbers don’t work. If you’re past contingencies, your options narrow significantly—which is why getting this information early is critical. Working with an experienced waterfront specialist like me ensures you’re protected from day one.
Are smaller waterfront buildings on Merritt Island or along the rivers subject to the same SIRS requirements as oceanfront high-rises?
Yes. Any condominium or cooperative building that is three or more habitable stories in height must comply with SIRS requirements, regardless of location or size. That includes smaller riverfront complexes in Merritt Island, canal-front communities, and mid-rise buildings along the Indian and Banana Rivers. In fact, smaller buildings can be riskier because there are fewer owners to spread assessment costs across. A $1 million seawall repair divided among 30 units is far more painful per owner than the same repair divided among 150 units. This is why local expertise matters—I know which buildings in Brevard County have been proactive and which haven’t.
How can I find a realtor who actually understands SIRS and reserve requirements instead of just focusing on staging and photos?
Look for an agent with a proven track record in waterfront real estate who can demonstrate they understand financial due diligence, not just marketing. Ask them directly: Can you explain what a SIRS is? Have you reviewed one for a client before making an offer? Do you know how to read reserve study reports and calculate per-unit assessment exposure? If they can’t answer those questions confidently, keep looking. As a top 5% ranked realtor in Brevard County and the Space Coast’s leading waterfront specialist, I’ve built my business on this exact expertise. Visit 321coastalliving.com or my YouTube channel to see the level of detail I bring to every transaction.
Want to Go Deeper?
If you’re serious about buying waterfront real estate on Florida’s Space Coast and want to make sure you’re fully informed before you make an offer, here are additional resources:
- Schedule a buyer consultation: I offer detailed pre-purchase consultations where we review your target properties, request association documentation, and analyze reserve studies together. Visit 321coastalliving.com to get started.
- Watch neighborhood deep dives: My YouTube channel (youtube.com/@CarrieLiottaSpaceCoastRealtor) features detailed walkthroughs of waterfront communities across Brevard County, including Merritt Island, Cocoa Beach, Cape Canaveral, and more—with honest assessments of building conditions, management quality, and financial health.
- Florida Division of Condominiums resources: For official information on SIRS requirements and compliance, visit the Florida Department of Business and Professional Regulation’s Division of Condominiums at condos.myfloridalicense.com
- Review HB 913 details: The full text of House Bill 913 and its implications for condo buyers and owners is available through the Florida Legislature’s website.
Waterfront living on Florida’s Space Coast is an incredible opportunity. Boating from your backyard. Watching rocket launches from your balcony. Manatees swimming past your dock. Sunrise over the Atlantic. It’s why people move here.
Just make sure you’re buying the dream—not inheriting someone else’s deferred maintenance nightmare.
That’s where I come in.
Carrie Liotta
Top 5% Realtor, Brevard County
Space Coast Waterfront Real Estate Specialist
321coastalliving.com
YouTube: @CarrieLiottaSpaceCoastRealtor