Buying a Condo Being an Investment Property1386145

If you are like most people, you want your financial future to become better than your present, or at least not worse. So, you determine 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're simply considering condos.

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

Advantages of buying a Peak Residence Showflat being an investment property

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

You don't need to worry about roof, stairs, landscaping and the like. The association takes care of them. For any price, it's correct, but you don't have to do them. A number of the problems in the unit can be taken care of from the complex maintenance crew. That varies from condo association to condo association. Plus they charge you for it, but you don't have to drop anything else and go to your condo because the sink's leaking. Price

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

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

The disadvantages of shopping for a condo as a possible investment You need to follow rules which are not yours. Each association has its own rules. As well as the rules can change. One of the rules that will change is if tenants are permitted or otherwise not. If you possess a condo and also the association votes forget about tenants, once your lease comes to an end, you either relocate or sell. Your association might decide to go with the 'no more tenants' rule at the same 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 among others do not like condo associations where a lot more than 10% of the units are rented.) which makes reselling ignore the difficult, as well as refinancing it.

Yes, you can also make sure you've got something to say of decisions and get yourself elected about the board of directors; still, you are not the only decision maker.

You make payment for the same amount whether your unit is rented or vacant. Put simply, you get to give the same amount whether you use or otherwise the services (for example, the water bill percentage of your assessment).