Posted by the Vine Management Team | March 23, 2025

As a leading HOA management company in Florida, we frequently field questions from board members and homeowners about rental restrictions. One of the most significant changes in recent years has been Florida's 2021 law regarding rental cap amendments in homeowners associations.

Understanding Florida's Rental Restriction Law

In 2021, Florida enacted a game-changing provision that affects how HOAs can implement rental restrictions. Florida Statute § 720.306(1)(h) provides:

"1. Except as otherwise provided in this paragraph, any governing document, or amendment to a governing document, that is enacted after July 1, 2021, and that prohibits or regulates rental agreements applies only to a parcel owner who acquires title to the parcel after the effective date of the governing document or amendment, or to a parcel owner who consents, individually or through a representative, to the governing document or amendment.

1. Notwithstanding subparagraph 1., an association may amend its governing documents to prohibit or regulate rental agreements for a term of less than 6 months and may prohibit the rental of a parcel for more than three times in a calendar year, and such amendments shall apply to all parcel owners."

In simpler terms, if your HOA passes a rental cap amendment today, it only applies to:

• New owners who buy in the community after the amendment
• Current owners who voted in favor of the amendment

What This Means for Your Community

This is a significant shift that creates a built-in "grandfathering" protection for existing homeowners who don't support new rental restrictions. At Vine Management, we've helped numerous boards navigate this complex landscape while respecting both community needs and individual property rights.

For Existing Homeowners

If you owned your home before a post-2021 rental amendment and didn't vote for it, you're generally exempt from these new restrictions. This means:

• You can continue to rent your property as permitted before the amendment
• The HOA cannot force you to stop renting or comply with new percentage caps
• Your exemption remains until you sell your property

For Future Buyers

Anyone who purchases in the community after a rental restriction is enacted will be fully bound by those restrictions from day one. They purchase with notice of these rules and must comply with them.

Two Important Exceptions

There are two types of rental restrictions that CAN apply to all owners regardless of when they purchased or how they voted:

1. Restrictions on short-term rentals (6 months or less)
2. Limitations on rental frequency (3 times or fewer per year)

These exceptions allow communities to control vacation rentals and frequent tenant turnover while still respecting long-term rental rights.

Best Practices for HOA Boards

At Vine Management, we recommend boards consider the following when contemplating rental restrictions:

Do:

• Keep meticulous records of which owners are subject to rental restrictions
• Clearly communicate with all members about how rental policies apply differently
• Consult with qualified legal counsel when drafting amendments
• Create clear administrative procedures for rental applications
• Ensure consistent enforcement based on each owner's status

Don't:

• Try to enforce new rental caps against grandfathered owners
• Apply rental restrictions inconsistently
• Make the rental application process unnecessarily complicated
• Assume pre-2021 rental amendments are governed by the same rules

How Vine Management Can Help

Navigating these complex legal requirements doesn't have to be overwhelming. As your management partner, Vine Management offers:

• Expert guidance on implementing legally compliant rental policies
• Accurate record-keeping of which owners are subject to which rules
• Consistent application of rental procedures
• Clear communication with all stakeholders
• Ongoing monitoring of legislative changes affecting your community

Our team understands the nuances of Florida Statute § 720.306(1)(h) and can help your board balance community interests with legal compliance.

Get Professional Support for Your Community

Implementing and administering rental restrictions according to Florida law requires specialized knowledge. Vine Management has the expertise to guide your association through these challenges.

Request a Proposal Today: If your community is considering rental restrictions or needs help managing existing ones, we're here to help. Contact us to discuss how our professional management services can support your HOA.

Request a Management Proposal

Email: info@vinemgt.com

Website: www.vinemgt.com

Sources and Further Reading

1. Florida Statutes § 720.306(1)(h) - The key provision governing HOA rental amendments
2. Becker & Poliakoff, P.A. - "Legislature Limits HOA Rental Amendments"
3. Smith Bigman Brock - "2021 Amendments to Florida Condo and Homeowners' Association Laws"
4. Florida Condo & HOA Law Blog - "Are HOA Owners 'Grandfathered' In from New Rental Restrictions?"
5. The Legal Scoop on Southwest Florida Real Estate - "New laws prompt HOAs to examine – and quickly change – rental restrictions in advance of July 1, 2021 effective date"
6. The Florida Bar Journal - "Adrift in the Amendments Sea: Florida Courts Struggle for Logic and Consistency"
7. Woodside Village Condominium Ass'n, Inc. v. Jahren, 806 So.2d 452 (Fla. 2002) - Florida Supreme Court case on amending condo documents

Disclaimer: This article is for informational purposes only and does not constitute legal advice. Consult with a qualified attorney for guidance on your specific situation.