What You Should Consider When Buying a Condo?
By Sandy Flores
There are many reasons to consider buying a condo instead of a house. Many of the reasons for buying a condo instead of a house usually include the price. The condos are cheaper than a house, and therefore this is reflected in the monthly payments. Another significant factor is the advantage that the exterior maintenance is the responsibility in most cases the homeowners association, not the owner directly as it is when you are a homeowner.
In relation to the benefits in property taxes, these are similar to those of a house, which go hand in hand with the advantage of owning a property. We must also consider the potential gains from the resale. If the appreciation in the real estate market increases, it will be reflected in the value of your condo when you decide to sell.
Furthermore there are some additional points, such as payment for monthly membership fees in respect of the homeowners association, compliance with the rules of the association including the rules by which they must govern owners and which are recorded in a list that is known by its acronym as CC & R’s (Covenants, Conditions & Restrictions). The possibility exists that unexpected increases occur in these monthly fees and special charges for additional maintenance costs.
Ask all the questions needed to make a smart purchase. You can ask questions about the financial condition of the association. If you are considering buying a condo premiere, to attract buyers builders probably set the monthly condo fees very low, please check.
Depending on the age and anticipated replacements of the building, if reserves are inadequate a large special assessment can be imposed on each owner when an unexpected expense arises. Review the minutes of the board meetings the past six months if given the chance to do to determine if they are discussing and meeting all agreed, and make sure there is no pending litigation that could affect your investment .
Finding the percentage of people who are renting at the resort where you will acquire your condo is a good thing to do. Mortgage lenders know that the risk of default foreclosure in condominium complexes with people who rent by more than 20 percent to 30 percent is very high. Many lenders consider risky finance units in such complexes, offering interest rates in some cases above normal. Condominium complexes with rules against income are considered very desirable for owner-tenant and often bring higher resale prices.
As with any property purchase professional inspection is recommended in addition to the report provided by the seller of the property.
Become familiar with the neighborhood, is elementary. Most condo owners are friendly and do not mind sharing their good and bad experiences. Try talking to several residents to make sure that you will receive unbiased information.
As is always good to consider advice from a real agent and specialize in these types of properties for this task less complicated, more enjoyable, and informative for you roots.