Buying a Condo in Orlando

Who buys condos in Orlando, and why the price looks low

Orlando is a young city. Census data puts the median age at 35.1 and only 11.3% of residents are 65 or older. Condo buyers here are mostly first-time buyers, people relocating for work, and parents buying for a student, more than retirees looking for a beach unit.

About 39.6% of the city's housing units are in buildings with 10 or more units, a large share for an inland city. A lot of that stock is garden-style complexes from the 1980s through the 2000s, including many former apartment communities converted to condos during the mid-2000s boom. Those conversions were not originally built with individual ownership in mind, and their budgets, reserves and insurance can look very different from a purpose-built condo.

So the low average price mixes two things: well-run buildings with healthy reserves, and complexes facing big repair bills. The first group usually sells above the average. The second is why the average is falling.

What your money buys by bedroom count

Zillow's bedroom data for Orlando, across all home types:

• 1 bedroom: about $134,475
• 2 bedrooms: about $215,441
• 3 bedrooms: about $357,392

The step from two to three bedrooms is about $142,000, because three-bedroom homes are mostly houses and townhomes rather than flats. For a buyer who needs two bedrooms, a condo is the cheapest way to own in the city. Compare that with the lower third of the overall market, which tops out around $237,095. Most condos sit inside that range, so the main alternative at this budget is an older house in a lower-cost area, not a newer one.

Getting a mortgage approved on the building

In Orlando, the loan decision on a condo often comes down to the building, not the buyer. For a conventional loan, the lender reviews the association: owner-occupancy levels, the percentage of owners behind on dues, reserves, insurance coverage, pending litigation, and any open structural or safety items. A building that fails is non-warrantable.

Converted complexes and buildings with large commercial space are the ones most likely to have trouble. FHA and VA loans also need the condo project to be approved by the agency, and many Orlando complexes are not on those lists. If you are using a low-down-payment loan, ask your lender to check the specific complex before you make an offer, not after.

On a $170,712 condo with 10% down, the loan is about $153,641. Florida's note stamp tax at $0.35 per $100 comes to about $538, and the 0.2% intangible tax about $307.

Reserves and inspections in three-story-plus buildings

Florida's condo safety laws apply to buildings with three or more habitable stories. Many Orlando garden complexes are three stories, so they are covered. Those buildings need a milestone inspection by December 31 of the year they turn 30 (or 25 if the local building official requires it), then every 10 years, plus a Structural Integrity Reserve Study every 10 years.

Census data puts the median home in the city at 1992 construction. A lot of condo buildings are already past 30 years and have either done their milestone inspection or are about to. For budgets adopted on or after December 31, 2024, owners can no longer waive or underfund SIRS reserves. That pushed monthly fees up in many complexes, and buildings that were behind on reserves turned to special assessments.

Ask for the milestone inspection report if one exists, the SIRS, the current budget, and the last 12 months of board minutes. Look for words like loan, assessment and litigation in the minutes.

Storm and flood coverage for an inland condo

Orlando has no storm surge, but it does flood from heavy rain, and Hurricane Ian in 2022 flooded parts of the metro area that are not in high-risk FEMA zones. Check the FEMA zone for the building and ask whether the association carries flood coverage. If the building sits in an A zone, your lender will make flood coverage a condition of the loan. Outside those zones, a quote is usually inexpensive and worth getting.

The master policy covers the structure and is paid through your fees. Your HO-6 policy covers interior finishes, belongings and assessments passed down after a loss. Ask the association for the master policy's hurricane deductible. If it is 5% of a large building's insured value, a single storm can turn into an assessment for every unit.

Downtown towers versus suburban complexes

Orlando's condo market splits into a few groups. Downtown has mid-rise and high-rise buildings around Lake Eola and the central business district, with higher fees that usually include a concierge, garage and fitness rooms. Suburban complexes near the attractions corridor, the university and the airport tend to have lower fees and fewer services.

Read the rules on pets, vehicles and buyer approval in any building, since they affect who can buy from you later. As a resale condo buyer, you get 7 days, excluding weekends and legal holidays, after receiving the association documents to cancel. If you want help sorting complexes by reserves and recent sale prices, I can build that shortlist.