Buying a Condo As a possible Investment Property436562

If you're like most people, you need your financial future being better than your current, or at least not worse. So, you set money aside and consider ways to ensure it is grow. Your options seem endless, but you've selected real estate as the 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 individuals who've dedicated to condos, few were conscious of all of them. So here 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 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 takes care of them. For a price, it's correct, but you do not have to do them. A few of the problems in the unit can be taken care of by the complex maintenance crew. That is different from condo association to condo association. And they charge you for it, but you don't have to drop everything else and go to your condo since the sink's leaking. Price

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

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

The disadvantages of shopping for a condo being an investment You need to follow rules that aren't yours. Each association possesses its own rules. As well as the rules can alter. One of the rules that may change is if tenants are permitted or otherwise. If you own a condo and also the association votes no more tenants, once your lease expires, you either relocate 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 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.) which makes reselling your investment difficult, as well as refinancing it.

Yes, you could make sure you've got something to say on decisions and obtain yourself elected around the board of directors; still, you are 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 give the same amount regardless of whether you use or not the services (as an example, the water bill percentage of your assessment).