Article Courtesy of The Winter Park Observer
By Christina Rordam
Published May 15, 2016
The drawbacks of condo living had hurt the market after
the Great Recession, but with more single-family home communities starting
HOAs and home inventory tightening, condos are worth a look.
To condo or not to condo, that is the question. Condos have gotten a bad rap
since the crash, but do they really deserve it? Many people worry about the
condo association and their rules, but these days so many single-family
communities have homeowners associations too (sometimes multiple!) it seems
an unfair argument. Because I so often hear both sides of the discussion
with some buyers and sellers loving condos and some staunchly against condo
living, I thought it would be an interesting topic to dissect. Are condos
really a bad investment or could they be a great buy?
Let’s start with the
negative and get it out of the way. Many buyers worry about
the condo’s homeowners association. With an association
comes rules, regulations and the possibility of people
interfering in owners décor and lifestyle choices. Then
there are the homeowners’ dues. Will the dues of the
association remain low or go up? And how about sharing walls
with a neighbor whom you may not care for? All of these are
potentially realities of multi family housing.
I cant say any of
these scenarios don’t ever happen or won’t in the future.
What I can say is that the risk for rising homeowners
association dues is present in any community that has an
association and amenities such as a gate or guard or both, a
pool clubhouse or fitness center and so on. However, just
because the possibility exists doesn’t mean that the
worst-case scenario of skyrocketing HOA dues will ever come
to pass in any condo or single-family community with an
association. The thing to do here is look at the
association’s budget, check out the condition of their
amenities, talk to the residents who have been there awhile
and see what they have to say. If the neighborhood has a
steady history of reasonable dues and strong management
coupled with well cared for facilities you are likely in
good shape. |
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The drawbacks of condo living had hurt the market
after the Great Recession, but with more single-family home
communities starting HOAs and home inventory tightening, condos are
worth a look.
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As for the possibility of a bad neighbor, hey, you can
encounter that in almost any neighborhood you choose. If you think back a
year or two you can remember a certain mega pop star being accused of egging
his neighbor’s mansion and causing many thousands of dollars in damages.
Neighbors are one thing you can’t always control 100 percent. Just look into
the HOA bylaws and see what the rules are. Try to keep communications open
with the people you share walls with and be a good neighbor yourself. In
most cases your fellow condo residents want to keep things copasetic and
will do what they can to keep the living situation peaceful.
Finally the question of the décor limitations to address. Again, read your
rulebook before buying or during your inspection period if the docs aren’t
immediately available. That way there aren’t any surprises. Not every condo
is for everyone, but you’ve got no one to blame but yourself if you don’t
read your docs!
So what about the positive aspects of living in a condo? I sold entire
buildings of brand new condos for Centerline Homes in Baldwin Park during
its first few years, and now sell many condos each year resale too, so I’m
pretty familiar with why buyers opt to own condos.
The top of the list is the ease of having that condo’s homeowners
association care for the exterior of the building. Roof leak, pressure
washing or tree trimming, depending on what the association covers, can be
as simple as calling your association rep and requesting the repair. No
large repair costs (save special assessments in the event of things like
major weather damages) no tracking down a contractor and coordinating
schedules, the HOA takes care of that for you. Want to travel? Many condos
such as the high-rise buildings downtown have 24-hour security so you can
take that vacation and rest easy knowing someone is watching over things for
you. The honey-do list gets handed over to the building management or the
HOA, and you can continue to work and play hard without interruption.
Location is often a major factor in condo desirability too. Condos can be
built in parts of the city where there is no space for houses anymore and
gives the owner the ability to do things like walk to a play or an Orlando
Magic game and skip the hubbub of a parking garage or valet.
Housing is a very personal choice. Condos are amazing for some people and
can absolutely be both incredible investments and enjoyable living spaces.
It’s all about what you want. And in case you’re wondering the condo market
is alive and well: I just sold one the first day on the market full asking
price and higher than recent neighborhood sales by $20K.
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