Buying a Condo As a possible Investment Property1655824

If you are like most people, you want your financial future to become better than your current, or at least not worse. So, you determine money aside and think of ways to allow it to be grow. The options seem endless, but you have decided 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 many disadvantages. Within my conversations with folks who've committed to condos, few were aware of all of them. So here they are.

Advantages of buying a Peak Residence Showflat as an investment property

Maintenance has to be done on all properties. Condos, especially condos which can be professionally managed, offer some relief to condo investors.

You don't have to worry about roof, stairs, landscaping and the like. The association protects them. For a price, it's true, but you do not have to do them. Some of the problems in the unit can be taken care of through the complex maintenance crew. That varies from condo association to condo association. And so they charge you because of it, but you don't have to drop the rest and run to your condo since the sink's leaking. Price

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

Amenities vary from condo association to condo association. But it's possible to invest in a condo positioned in a complex which has swimming pool, 24-hour security, and the like things.

The disadvantages of shopping for a condo as a possible investment You must follow rules that aren't yours. Each association features its own rules. As well as the rules can alter. One of the rules that will change is if tenants are permitted or otherwise. If you possess a condo and the association votes no more tenants, when your lease expires, you either move 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 decide to allow too many rentals. A lot of tenants can make getting a mortgage difficult (FHA among others do not like condo associations where a lot more than 10% of the units are rented.) making reselling your investment difficult, not forgetting refinancing it.

Yes, you may earn sure you have something to say about decisions and acquire yourself elected around the board of directors; still, you aren't the only decision maker.

You have to pay the same amount whether your unit is rented or vacant. Quite simply, you get to spend the money for same amount whether you use or not the services (as an example, the water bill portion of your assessment).