Guide to Buy a Condo
Many people think about buying a condo when they do not want all of the responsibilities that go with owning a home. They are great for people who are first-time buyers or who want to downsize. They are also cheaper than buying a home. This article is a guy to buy a condo.
Guide To Buy A Condo
Think about how long you will be staying in the condo. You will need to live there at least two years too recoup closing costs, assuming the property will gain value.
Think about things you want such as a pool or sauna. The price of the condo and monthly association fees will reflect the pool or sauna whether you use them or not.
Visit several condos to get a send of prices and to see what is available.
Obtain a market analysis from a real estate agent that contains prices of condos in the area. Check the price appreciation on the market analysis to see how the condos are increasing in value. Subtract the prices of the condo from the purchase price and divide that number by the number of year the last owner has had the property. This will give you an approximate annual appreciation.
Call a mortgage company and get pre-qualified.
Check out the condo building to see if it has a good reputation. Inquire about repairs and maintenance from other residents.
Inquire about parking, storage, and security. See if they walls are soundproofed.
Ask to see the minutes from a recent homeowners association meeting. You can obtain the latest issues the condos residents are fighting about.
Inquire about the reserve funds for the homeowners association. If the reserves are large, there is less chance of an assessment. If the reserve is small, there is a greater chance you will be billed for an assessment.
Check to see how many assessments the homeowners association has done in the past 10 years in the condo. Fewer assessments show a well-managed building.
Ask other residents who belong to the HOA how strict the HOA is.
Create a budget. It should include monthly payments, HOA dues, and maintenance costs.
Make an offer and close the deal.