Buying a Condo Being an Investment Property2401286

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

Condos have several advantages over single family houses or 2-4 unit buildings. And many disadvantages. During my conversations with people who've dedicated to condos, few were mindful of all of them. Here they are.

Advantages of buying a Peak Residence as a possible investment property

Maintenance must be done on all properties. Condos, especially condos that are professionally managed, offer some respite to condo investors.

You don't need to worry about roof, stairs, landscaping and the like. The association manages them. For any price, the simple truth is, but you don't need to do them. A few of the problems in the unit can also be taken care of by the complex maintenance crew. That is different from condo association to condo association. And so they charge you for this, but you don't need to drop anything else and run to your condo as the sink's leaking. Price

Some condos are very expensive. However, houses of comparable size inside the same neighborhood be more expensive. So, you should buy an investment property in the better neighborhood. Also, in many areas, there isn't any such thing being a 1-bedroom house, but you will find 1-bedroom, or even no bedroom, condo units. And, usually, you will find people prepared to rent them.

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

The disadvantages of shopping for a condo as an investment You must follow rules that are not yours. Each association features its own rules. As well as the rules can alter. One of the rules that can change is if tenants are permitted or not. If you own a condo and also the association votes forget about tenants, whenever your lease is up, you either relocate or sell. Your association might opt with the 'no more tenants' rule at any given time when selling isn't a great option.

Or, worse, they choose to allow way too many rentals. Way too many tenants can make getting a mortgage difficult (FHA yet 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 could make sure you've got something to say about decisions and acquire yourself elected on the board of directors; still, you're not the only decision maker.

You make payment for the same amount whether your unit is rented or vacant. In other words, you get to give the same amount whether you use or otherwise the services (as an example, the water bill part of your assessment).