Buying a Condo Being an Investment Property8314709

If you're like most people, you want your financial future to be better than your present, or at least not worse. So, you set money aside and think about ways to allow it to be grow. The options seem endless, but you have selected real estate since your investment arena, and you're simply considering condos.

Condos have several advantages over single family houses or 2-4 unit buildings. And lots of disadvantages. During my conversations with people who've invested in condos, few were aware of all of them. So now they are.

Features of buying a Peak Residence Showflat as a possible investment property

Maintenance has to be done on all properties. Condos, especially condos that are professionally managed, offer relief for a time to condo investors.

You don't have to worry about roof, stairs, landscaping and such. The association protects them. For a price, it's correct, but you don't have to do them. Some of the problems inside the unit can also be taken care of through the complex maintenance crew. That is different from condo association to condo association. Plus they charge you because of it, but you don't have to drop anything else and set you back your condo because the sink's leaking. Price

Some condos are extremely expensive. However, houses of comparable size inside the same neighborhood are more expensive. So, you should buy an investment property in the better neighborhood. Also, generally in most areas, there's no such thing like a 1-bedroom house, but there are 1-bedroom, or even no bedroom, condo units. And, usually, there are people ready to rent them.

Amenities differ from condo association to condo association. But it is possible to purchase a condo located in a complex which has swimming pool, 24-hour security, and such things.

The disadvantages of purchasing a condo as a possible investment You have to follow rules which are not yours. Each association features its own rules. And also the rules can transform. One of the rules that may change is whether or not tenants are permitted or not. If you possess a condo and also the association votes forget about tenants, whenever your lease comes to an end, you either relocate or sell. Your association might opt with the 'no more tenants' rule at the same time when selling is not a great option.

Or, worse, they decide to allow a lot of rentals. A lot of tenants will make getting a mortgage difficult (FHA and others do not like condo associations where more than 10% of the units are rented.) which makes reselling your investment difficult, as well as refinancing it.

Yes, you may earn sure you've got something to say of decisions and get yourself elected around the board of directors; still, you are not the only decision maker.

You make payment for the same amount whether your unit is rented or vacant. Put simply, you get to pay the same amount regardless of whether you use or not the services (for instance, the water bill part of your assessment).