It's not a matter of legal vs illegal, any battle would be in civil court as a violation of the condo CCR's assuming the COA didn't just fine him for non-compliance first. Many HOA's and COA's prohibit home-based businesses. They don't address hobbies though, and according to the article the snake owner is in compliance with the rules.
The sellers stating they can't even list their home for sale is bravo sierra; snake-keeping by neighbors is not required to be disclosed. Either their attorney is an idiot (which, after dealing with several is not outside the realm of possibility) or they're making that up.










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