Growing older doesn’t mean slowing down. Today’s seniors want lively communities that match their active lifestyles. This trend has sparked a boom in age-restricted condo developments, but builders who enter this market face some tricky legal issues.
The Fair Housing Act and age limits
The Fair Housing Act, a federal law prohibiting discrimination in housing based on protected characteristics, includes an exception for age-restricted communities. To qualify for this exception, a development must meet specific criteria:
- Keep at least 80% of homes occupied by someone 55 or older
- Have clear policies showing the condo is meant for older adults
- Follow specific rules to check residents’ ages
Developers must structure their projects carefully to meet these requirements. Failure to do so could result in legal disputes and potential loss of age-restricted status.
Keeping residents happy while following the law
Older adults often want special features in their communities, like:
- On-site medical care
- Gyms with equipment for seniors
- Clubhouses for social events
These perks make condos more appealing, but they also create more legal headaches. Developers must ensure that everything follows accessibility laws and health rules.
Creating governing documents for these communities presents another challenge. Rules must balance residents’ desires with legal requirements. For example, restrictions on visitors or live-in caregivers could violate fair housing laws if not carefully crafted.
The legal landscape for age-restricted condominium development involves numerous federal, state and local regulations. Even minor mistakes can result in big legal troubles and costly penalties. So, if you’re considering building an age-restricted condo community, you’ll need experienced help. A good real estate lawyer can steer you from legal pitfalls and help you create a thriving community.