Buying a Condo As a possible Investment Property6348349

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

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

Benefits of buying a Peak Residence Showflat as an investment property

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

It's not necessary to worry about roof, stairs, landscaping and such. The association takes care of them. To get a price, it's true, but you don't have to do them. A few of the problems within the unit can be taken care of from the complex maintenance crew. That differs from condo association to condo association. And they charge you for it, but you don't have to drop the rest and run to your condo since the sink's leaking. Price

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

Amenities change from condo association to condo association. But it is possible to buy condo positioned in a complex which has swimming pool, 24-hour security, etc things.

The disadvantages of shopping for a condo as a possible investment You must follow rules that are not yours. Each association possesses its own rules. And also the rules can transform. One of the rules that may change is whether or not tenants are permitted or otherwise not. If you own a condo and also the association votes you can forget tenants, once your lease is up, you either move in or sell. Your association might decide to go with the 'no more tenants' rule at any given time when selling is not an great option.

Or, worse, they opt to allow a lot of rentals. Too many 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 something to say of decisions and obtain yourself elected about 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. Quite simply, you get to spend the money for same amount whether you use or otherwise the services (for example, the water bill percentage of your assessment).