Buying a Condo Being an Investment Property5886042

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 of ways to ensure it is grow. The choices seem endless, but you have selected 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. 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 as an investment property

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

You don't need to worry about roof, stairs, landscaping and such. The association manages them. To get a price, the simple truth is, but you do not have to do them. A number of the problems within the unit may also be taken care of by the complex maintenance crew. That is different from condo association to condo association. And so they charge you because of it, but you don't have to drop the rest and go to your condo as the sink's leaking. Price

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

Amenities change from condo association to condo association. But it is possible to purchase a condo situated in a complex that has swimming pool, 24-hour security, and the like things.

The disadvantages of buying a condo being an investment You need to 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 whether or not tenants are permitted or not. If you own a condo and the association votes forget about tenants, when your lease comes to an end, you either move in or sell. Your association might opt to go with the 'no more tenants' rule at the same time when selling is not an great option.

Or, worse, they decide to allow a lot of rentals. A lot of tenants will make getting a mortgage difficult (FHA among others do not like condo associations where 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 about decisions and obtain yourself elected around the board of directors; still, you're not the only decision maker.

You make payment for the same amount whether your unit is rented or vacant. In other words, you get to pay the same amount regardless of whether you use or otherwise the services (for example, the water bill part of your assessment).