Buying a Condo As an Investment Property4298947

If you're like most people, you would like your financial future to become better than your current, or at least not worse. So, you set money aside and think about ways to ensure it is grow. Your options seem endless, but you have decided 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 aware of all of them. So now they are.

Benefits of buying a Peak Residence as a possible investment property

Maintenance has to be done on all properties. Condos, especially condos that are professionally managed, offer relief for a time to condo investors.

You don't have to worry about roof, stairs, landscaping and the like. The association protects them. For a price, the simple truth is, but you don't have to do them. A number of the problems inside the unit may also be taken care of from the complex maintenance crew. That varies 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 because the sink's leaking. Price

Some condos are incredibly expensive. However, houses of comparable size in the same neighborhood are more expensive. So, you can purchase an investment property in a better neighborhood. Also, generally in most areas, there isn't any such thing as a 1-bedroom house, but you can find 1-bedroom, or even no bedroom, condo units. And, usually, you can find people ready to rent them.

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

The disadvantages of buying a condo as a possible investment You need to follow rules which are not yours. Each association has its own rules. And also the rules can transform. One of the rules that can change is if tenants are permitted or otherwise not. If you possess a condo and the association votes forget about tenants, whenever your lease comes to an end, you either move around in or sell. Your association might decide to go with the 'no more tenants' rule at a time when selling is not an great option.

Or, worse, they decide to allow way too many rentals. A lot of tenants can make getting a mortgage difficult (FHA yet others do not like condo associations where a lot more than 10% of the units are rented.) making reselling ignore the difficult, not to mention refinancing it.

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

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