The Florida skyline is growing faster than ever, but for a buyer, “New Construction” is no longer a simple transaction. With the full implementation of structural integrity laws and a shifting economic landscape, the due diligence process has changed.
If you are looking at a pre-construction or brand-new development, here are the non-negotiable questions you need to ask to protect your investment.
1. What is the “Outside Date” in the Contract?
In new construction, the “Estimated Completion Date” is just that—an estimate. To protect yourself, you must look for the Outside Date.
- The Education: This is the hard deadline by which the developer must deliver the unit. If they miss this date, you typically have the legal right to cancel your contract and receive a full refund of your deposit.
- Why it matters: In a world of global supply chain shifts, knowing your “walk-away” date ensures you aren’t trapped in a contract for a building that is years behind schedule.
2. Is the Building “SIRS” Compliant?
As of 2026, Florida’s Structural Integrity Reserve Study (SIRS) requirements are the gold standard for condo safety and financial health.
- The Education: Florida law now mandates that developers of buildings 3 stories or higher must complete a SIRS. This study determines how much money must be set aside for future repairs to the roof, load-bearing walls, and fire systems.
- Why it matters: Unlike in years past, these structural reserves cannot be waived by a vote. Asking for the SIRS report tells you if the building’s monthly dues are realistic or if a massive “special assessment” is lurking in your future.
3. What is the “Delivery Condition” (Decorator Ready vs. Finished)?
One of the biggest “hidden costs” in Florida real estate is the definition of a finished unit.
- The Education: Many luxury towers are sold “Decorator Ready” (or “White Box”). This means you are buying a concrete shell with no flooring, no paint, and sometimes no lighting fixtures.
- Why it matters: Buying “Decorator Ready” means you could spend an additional $100 to $200 per square foot and wait months after closing before the unit is actually livable. Always confirm if your unit is “Turnkey” or if you’re responsible for the final build-out.
4. How is the Deposit Release Structured?
In Florida, developers have specific rights regarding how they use your deposit money during construction.
- The Education: Generally, developers can use a portion of your deposit (up to 10% of the purchase price) for the actual costs of construction once the building reaches a certain stage.
- Why it matters: You need to know when your money is sitting in a protected escrow account and when it is being “put to work” in the concrete and steel.
5. What are the Total “Developer Fees” at Closing?
Closing costs on new construction are significantly higher than on a resale home.
- The Education: Most developer contracts include a Developer Fee (usually 1.5% to 2% of the purchase price) to cover their own closing expenses. You will also likely be asked to contribute “Working Capital”—often equal to two months of HOA dues—to the association.
- Why it matters: On a $1M condo, these fees can add $20,000 to $30,000 to your closing costs that you might not have factored into your mortgage or cash reserves.
6. Does the Zoning Match Your “Rental Intent”?
Even if a building says “No Rental Restrictions,” the city might say otherwise.
- The Education: For a property to be used for short-term rentals (like Airbnb), the land must be transient-zoned. In 2026, Florida cities are strictly enforcing these zones.
- Why it matters: If you buy into a building intending to do daily rentals, but the city only allows 30-day minimums, your ROI calculations will be ruined. Always verify the municipal zoning, not just the HOA rules.
The 15-Day Safety Valve
Don’t forget: Under Florida Statute 718, buyers of new developer condos have a 15-day rescission period. From the moment you receive all the legal documents, you have 15 days to walk away for any reason. Use this time to have an attorney review the fine print.
Ready to start your search? We can provide a side-by-side comparison of the deposit structures and delivery conditions for the top new developments in the area.