Buying a Condo As an Investment Property4319994

If you are like most people, you would like your financial future being better than your present, or at least not worse. So, you determine money aside and think about ways to ensure it is grow. The choices seem endless, but you've selected real estate as your investment arena, and you're simply considering condos.

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

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

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

You don't have to worry about roof, stairs, landscaping and the like. The association protects them. To get a price, the simple truth is, but you don't have to do them. A few of the problems within the unit can be taken care of through the complex maintenance crew. That differs from condo association to condo association. And so they charge you for this, but you don't have to drop the rest and set you back your condo as the sink's leaking. Price

Some condos are extremely expensive. However, houses of similar size within the same neighborhood cost more. So, you can purchase an investment property in a better neighborhood. Also, generally in most areas, there is no such thing being a 1-bedroom house, but you can find 1-bedroom, or even no bedroom, condo units. And, usually, you will find people willing to rent them.

Amenities change from condo association to condo association. But it is possible to invest in a condo located in a complex that has swimming pool, 24-hour security, and the like things.

The disadvantages of purchasing a condo as a possible investment You must follow rules that aren't yours. Each association has its own rules. And the rules can change. One of the rules that will change is whether tenants are permitted or otherwise. If you own a condo and also the association votes you can forget tenants, when your lease is up, you either move around in 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 opt to allow way too many 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 ignore the difficult, not to mention refinancing it.

Yes, you may earn sure you've got something to say about decisions and obtain yourself elected on the board of directors; still, you aren't the only decision maker.

You spend the same amount whether your unit is rented or vacant. Put simply, you get to give the same amount whether you use or not the services (for instance, the water bill percentage of your assessment).