Assessments & Special Assessments

Reflects Florida law as of August 2026. Foreclosure of an assessment lien is covered separately in HOA & Condo Foreclosure.

Do I have to pay an assessment I think is wrong?

The Florida Supreme Court settled this in Ocean Trail Unit Owners Ass'n v. Mead, 650 So. 2d 4 (Fla. 1994). A condominium board had bought adjoining land without authority; owners sued and won; the board then levied a special assessment to pay the judgment. The Court held the assessment enforceable: a "unit owner's duty to pay assessments is conditional solely on whether the unit owner holds title to a condominium unit and whether the assessment conforms to the declaration of condominium and bylaws of the association." Owners who object to what the board is doing "should seek a remedy through elections or, if factually supported, in an action for breach of fiduciary duty." Withholding payment is not a remedy, and it starts the interest, fee, lien, and foreclosure sequence described below. The same practical principle generally applies in HOAs: an owner ordinarily cannot withhold a valid assessment simply because the owner disputes the board's decisions or believes the association has failed to perform another obligation. The governing declaration, assessment provisions, and Chapter 720 determine the owner's payment duty and available defenses.

An assessment may be challenged if it was not authorized or validly adopted. Examples include a special assessment approved without the required notice, an assessment imposed without an owner vote required by the declaration, or an allocation that conflicts with the declaration's allocation formula. Even then, withholding payment can create lien and foreclosure risk. Depending on the circumstances, an owner may pay under written protest, tender undisputed amounts, seek prompt legal advice, or pursue court relief before a lien is recorded.

Regular assessments and the budget

Regular assessments are your share of the annual budget, allocated by the percentage or formula in the declaration. In a condominium, the association must provide the statutory notice of the annual budget meeting and make the proposed budget available to owners. If the proposed budget would require assessments exceeding 115 percent of the prior year's assessments, the board must also present a substitute budget that excludes discretionary expenditures not required to be included in the budget. Owners may have the opportunity to adopt the substitute budget under the voting procedure stated in section 718.112(2)(e) and the condominium's bylaws. In an HOA, the association must provide the annual financial report and budget information required by section 720.303. The association must give each member a copy of the annual budget or written notice that a copy is available on request at no charge; the association's annual revenues determine the level of financial report it must prepare, not whether you are entitled to the budget. Where applicable, the budget must separately identify recreational amenity expenses and fees.

Reserve requirements differ substantially between condominiums and HOAs.

For condominiums, the annual budget must include the reserve accounts and reserve funding required by section 718.112(2)(f). This includes traditional reserve categories, such as roof replacement, building painting, pavement resurfacing, and other deferred-maintenance or replacement items that meet the statutory threshold. Condominiums subject to the structural integrity reserve study requirement must also fund reserve items identified in the study, subject to the statute's transition rules and limits on reserve waivers or reductions.

For HOAs, reserve funding usually depends on the declaration, whether the developer established reserves, and whether the membership created reserves. Once statutory HOA reserves exist, owners may be able to waive or reduce funding for a budget year by the vote required under section 720.303(6), unless the governing documents impose a stricter rule.

Special assessments

A special assessment is generally an assessment imposed in addition to regular budgeted assessments. Associations commonly use special assessments for unbudgeted repairs, reserve shortfalls, insurance deductibles, operating deficits, capital projects, litigation expenses, or judgments. Whether a particular charge is properly treated as a special assessment depends on the declaration, the budget, the notice, and the method by which the assessment was authorized.

Both condominium and HOA associations must provide heightened notice before a board meeting at which a nonemergency special assessment will be considered. In general, the association must send or deliver written notice to owners and post notice at least 14 days before the meeting. The notice must disclose that a special assessment will be considered and describe its purpose.

For a condominium, the notice must also state the estimated cost of the proposed special assessment. The condominium and HOA statutes are similar but not identical, so the required delivery method, posting procedure, and notice contents depend on the type of community. Sections 718.112(2)(c) and 720.303(2)(c). A nonemergency special assessment adopted without the required notice may be challenged. In a condominium, an emergency may permit the association to proceed without the usual 14-day special-assessment notice when the statutory emergency standard is met. Chapter 720 contains no comparable emergency exception for HOAs, so an HOA special assessment adopted without the 14-day notice is open to challenge regardless of the reason given.

Beyond notice, whether the board can levy a special assessment on its own depends on the declaration. Many declarations allow the board to specially assess for repairs and emergencies but require a membership vote for capital improvements or for amounts above a stated threshold. Read the assessment article of your declaration. When a board has authority under the governing documents and follows the required procedure, courts often defer to a reasonable board decision that maintenance, repairs, or other common-expense work is necessary. That deference is not unlimited. An assessment may still be challenged if the board acted outside its authority, failed to follow required notice or voting procedures, acted in bad faith, engaged in self-dealing, or imposed an assessment that conflicts with the declaration. In Farrington v. Casa Solana Condominium Ass'n, 517 So. 2d 70 (Fla. 3d DCA 1987), owners tried to stop a special assessment for stucco and water-damage repairs; the court upheld it because the board had consulted engineers, architects, and counsel and "used its 'business judgment' in determining a special assessment was needed immediately." And in Cedar Cove Efficiency Condominium Ass'n v. Cedar Cove Properties, Inc., 558 So. 2d 475 (Fla. 1st DCA 1990), ground-floor owners who did not benefit from balcony repairs still had to share the cost, because repairs to components the association maintains are common expenses borne by everyone.

A condominium subject to the structural integrity reserve-study requirements may use a special assessment, loan, or line of credit to fund required reserve contributions and qualifying repairs. The required owner approval, the allowable borrowing terms, and the applicable reserve obligations depend on section 718.112(2)(f), the condominium's governing documents, and the purpose of the funding.

Interest, late fees, and how payments are applied

Unpaid assessments and installments generally bear interest from the due date at the rate stated in the governing documents. If the documents do not state an interest rate, Florida law allows 18 percent per year; in an HOA, interest must be simple interest, not compounded. Review the declaration and the account ledger carefully because the association may not charge interest at a rate the governing documents and applicable statute do not allow. An association may impose an administrative late fee only if the governing documents authorize it. The maximum permitted fee is generally the greater of $25 or 5 percent of each delinquent installment. Sections 718.116(3) and 720.3085(3)(a). A late fee that is not authorized by the declaration, bylaws, or applicable statute may be disputed.

Payments received by the association are generally applied in a statutory order: first to accrued interest, then to the administrative late fee, then to collection costs and reasonable attorney fees, and finally to the delinquent assessment. Writing "assessments only" or another designation on a payment ordinarily does not change that statutory payment order. Two consequences follow. First, once interest and fees have accrued, paying only the assessment amount will leave a growing shortfall, so a dispute about a small charge can snowball if it is not resolved. Second, the association must actually apply your payments. In Rajabi v. Villas at Lakeside Condominium Ass'n, 306 So. 3d 400 (Fla. 5th DCA 2020), an association stopped crediting an owner's monthly payments, sent them to its lawyer's trust account, and obtained a foreclosure judgment for more than $135,000. The Fifth District reversed: "The Association's failure to properly apply Rajabi's payments as they were received was a breach of the Declaration and a violation of the controlling statute that requires reversal." An association must properly receive and apply payments under the governing documents and applicable statute. In Ocean Two Condominium Ass'n v. Kliger, 983 So. 2d 739 (Fla. 3d DCA 2008), the court upheld the denial of foreclosure where the association had refused payments tendered by the owners. Whether an association must accept a particular partial or conditional payment depends on the payment's amount, conditions, timing, and the circumstances of the dispute.

The notice you must receive before attorney fees are added

Before an association may require payment of attorney fees relating to a past-due assessment, it generally must send a written notice of late assessment in the statutory form. The notice must identify the amount due and give the owner 30 days to pay the required amount before attorney fees may be imposed. Sections 718.121(5) and 720.3085(3)(d). The notice of late assessment must substantially follow the applicable statutory form and must be sent using the delivery method and addresses required for the type of community. The condominium and HOA statutes are similar but not identical. The notice should identify the assessments, interest, late fees, and other amounts then due as required by the statute. If you receive a collection demand that includes attorney fees, ask for a copy of the prior notice of late assessment and compare it with the statutory requirements. If the association did not provide the required notice, the attorney fees may be subject to challenge. The association may need to send a proper notice and allow the statutory payment period before it can require payment of attorney fees connected to that delinquency.

The notice of late assessment is the first of three statutory notices in the collection sequence. The second is a 45-day notice of intent to record a claim of lien. The third is a 45-day notice of intent to foreclose. Each has its own form, delivery requirements, and consequences, and they are explained in HOA & Condo Foreclosure.

Collection costs and consumer-protection laws

An association may recover reasonable attorney fees and collection costs when authorized by the governing documents and applicable statute. The amount must reflect the work actually performed and the circumstances of the collection matter. Fees or charges that are disproportionate, unauthorized, duplicative, or imposed before required notices were sent may be disputed. Management-company collection charges may be added to an owner's account only when authorized by the governing documents, applicable statute, or a valid agreement that permits the charge. Request the ledger, contract provision, and invoice supporting any management charge you do not recognize.

Consumer-protection laws may apply to association collection activity. Florida's Consumer Collection Practices Act (section 559.72, Florida Statutes) can protect an owner from certain deceptive, abusive, or unlawful collection practices. The federal Fair Debt Collection Practices Act may apply when a law firm or other third-party debt collector is collecting a past-due consumer debt.

Whether either law applies depends on who is collecting, the type of debt, the wording and timing of the communication, and the collector's relationship to the association. A management company collecting assessments as part of its ordinary management role may not qualify as a federal "debt collector." These laws prohibit specified deceptive, unfair, and abusive collection practices. Examples can include materially misstating the amount owed, demanding charges that are not authorized, threatening foreclosure or other action that cannot lawfully be taken, or using prohibited collection methods. Available damages and attorney fees depend on the statute and the particular facts. A collection letter that demands fines that were never validly imposed, attorney fees that were never preceded by a notice of late assessment, or interest at a rate the declaration does not allow may violate them.

Disputed balances: what to do

1. Get the ledger. Request your account ledger, account statement, transaction history, invoices, collection notices, and payment records in writing. Association accounting records and records showing amounts charged to your property are generally official records, subject to applicable privacy and records-access rules. See Official Records Requests. In an HOA, you may send the board a written request for a detailed accounting of amounts allegedly owed in connection with your parcel under section 720.303(14). The association must provide the accounting within 15 business days. The statute generally limits a new detailed-accounting request to one every 90 days.
2. Check each charge against its source. Interest rate and late fee against the declaration; fines against the notice-and-hearing requirements; attorney fees against the notice of late assessment; special assessments against the meeting notice and minutes.
3. Dispute in writing, itemizing what you contest and why, and keep proof of delivery. In a condominium, you may send a written inquiry by certified mail concerning the association's responsibilities. Within 30 days the board must provide a substantive response, or notify you that it has requested a legal opinion (in which case the substantive response is due within 60 days of your inquiry) or advice from the Division (in which case it is due within 10 days after the Division responds). Section 718.112(2)(a)2. See the written inquiry sample.
4. Keep paying the undisputed assessments on time, in the normal way. If the association refuses your payment, send it again by a method that proves tender and keep the funds available.
5. If the association will not correct a clear error, the dispute can be raised as a defense to any collection action and, depending on the facts, as a consumer-protection claim. Assessment collection and lien-enforcement disputes follow different dispute-resolution rules from many other association disputes. In many cases, an association may pursue collection or foreclosure directly in court, and an owner may raise defenses or counterclaims in that action. The required procedure can depend on whether the community is a condominium or HOA and on the specific claim being asserted.

Buying, selling, and renting

A buyer may be jointly and severally liable with the seller for unpaid assessments and certain related charges that came due before closing. That is why a buyer, seller, lender, and closing agent should obtain an estoppel certificate before a sale. The exact liability depends on whether the property is a condominium or HOA parcel, the type of transfer, and any statutory safe-harbor rule. A condominium or HOA association generally must issue an estoppel certificate within 10 business days after receiving a qualifying written or electronic request. The certificate states the amounts the association claims are due and is binding for the period and to the extent provided by sections 718.116(8) and 720.30851.

A first-mortgage lender that acquires a condominium unit through foreclosure or deed in lieu may qualify for a statutory limit on pre-acquisition assessments. If the statutory conditions are met, the lender's liability is generally limited to the lesser of 12 months of unpaid regular assessments or 1 percent of the original mortgage debt.

The HOA statute contains the same rule for first mortgagees, section 720.3085(2)(c), and in both chapters the safe harbor applies only if the association was joined as a defendant in the lender's foreclosure. Any other purchaser is jointly liable with the immediately previous owner, and only that owner, for the unpaid assessments that came due before the transfer. Aventura Management, LLC v. Spiaggia Ocean Condominium Ass'n, 105 So. 3d 637 (Fla. 3d DCA 2013).

If your property is tenant occupied and you become delinquent in amounts owed to the association, the association may send the tenant a statutory written demand directing future rent payments to the association. A tenant who makes good-faith payments in response to a valid demand is protected from liability to the owner for those payments. The demand, payment amount, and any tenant-removal remedy must comply with the applicable condominium or HOA statute. Sections 718.116(11) and 720.3085(8).

What to preserve

• Every account statement and invoice, and the envelopes or e-mails they came in.
• Proof of each payment: cancelled checks, bank records, online payment confirmations.
• Every collection letter, including any notice of late assessment, notice of intent to lien, and notice of intent to foreclose, with envelopes showing postmarks and mailing method.
• Meeting notices and minutes for any budget or special-assessment meeting you are questioning.
• The declaration and bylaws provisions on assessments, interest, late fees, and collection.
• Your written disputes and the association's responses.

When to get a lawyer

An assessment dispute is worth legal attention in five situations: the balance the association claims is materially different from what you believe you owe; attorney fees were added without a notice of late assessment; a notice of intent to lien or foreclose has arrived; a special assessment appears to have been adopted without authority or notice; or collection letters misstate what you owe. The consumer-protection laws described above give homeowners affirmative claims in some of these situations, not just defenses.