Buying a Condo As an Investment Property2682335

In case you are like most people, you would like your financial future being better than your existing, or at least not worse. So, you place money aside and consider ways to ensure it is grow. Your options seem endless, but you have selected real estate as the investment arena, and you are considering condos.

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

Benefits of buying a Peak Residence as a possible investment property

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

You don't have to worry about roof, stairs, landscaping etc. The association takes care of them. To get a price, the simple truth is, but you don't need to do them. A number of the problems inside the unit may also be taken care of through the complex maintenance crew. That varies from condo association to condo association. Plus they charge you because of it, but you don't have to drop the rest and set you back your condo because the sink's leaking. Price

Some condos are extremely expensive. However, houses of comparable size within the same neighborhood cost more. So, you can buy an investment property in the better neighborhood. Also, in many areas, there's no such thing as a 1-bedroom house, but you can find 1-bedroom, or even no bedroom, condo units. And, usually, you will find people prepared to rent them.

Amenities vary from condo association to condo association. But it's possible to purchase a condo located in a complex that has swimming pool, 24-hour security, and such things.

The disadvantages of shopping for a condo as a possible investment You have to follow rules that aren't yours. Each association possesses its own rules. And also the rules can change. One of the rules that will change is if tenants are permitted or not. If you possess a condo and the association votes forget about tenants, whenever your lease expires, you either move around in or sell. Your association might opt with the 'no more tenants' rule at any given time when selling is not a great option.

Or, worse, they opt to allow way too many rentals. Too many tenants could make getting a mortgage difficult (FHA yet others do not like condo associations where a lot more than 10% of the units are rented.) helping to make reselling neglect the difficult, not forgetting refinancing it.

Yes, you could make sure you've something to say on decisions and obtain yourself elected about the board of directors; still, you're not the only decision maker.

You have to pay the same amount whether your unit is rented or vacant. In other words, you get to pay the same amount whether you use or otherwise not the services (as an example, the water bill percentage of your assessment).