Moving into a new living arrangement is consistently rated one of the most stressful life experiences a person can endure. That’s because no matter how hard you work to find the best place or how much paperwork you fill out to make your dreams a reality, it somehow always seems like you’ve forgotten something essential to the process. But it doesn’t always have to be so taxing. In fact, the more you break it down, the easier it should be.
The first aspect of the process you need to consider is whether to opt for a regular single-family home or a condominium. Though each has its benefits, there are considerable differences between the two options. Consider this list the pros and cons (or should I say, condos) of investing in a condominium for your next home purchase.
Looking at the numbers
While you’ll be forking over monthly payments for a mortgage with either option, one of the biggest differences in the condo vs house investment discussion is the homeowners’ association fees you’ll be paying when you choose condo living. You won’t have these in a traditional house, but you’ll also have to dish out all that extra money yourself — that’s money used for repainting, lawn care, general repairs and other things. On the other side, however, you might be running into more sparse insurance and liability options with a condo. Always ask for the numbers up front so there are no surprises down the road.
A matter of privacy
One of the biggest condo investment tips to keep in mind is how you’ll be sharing some walls with your neighbors. Though it appears to have all the amenities of living in a stand-alone home, you’re still in an apartment-type setting where the property as a whole is essentially a shared space. Additionally, there are some rules you’ll have to follow as part of your homeowner’s agreement. If you’re not keen on this type of influence on your dwelling decisions, condo life simply might not be for you. The trade-off, of course, is how you also won’t have to worry about the general upkeep of your place, so remember that everything comes at a price.
Living under a landlord
A certain condo investment property might have a manager or a landlord, and if that’s the case, you’ll likely want someone you can go to with questions about items in your home that need repair or simple tweaking. That’s the nice part about living in a condo: You’ll never have to change your own light bulbs (a mild joke.) When you’re courting the idea of going for a condo, ask plenty of questions of the management in order to find out how much experience they have in this line of work. That’s one of the biggest condo investment tips to keep in mind. Poor management often leads to a poor living experience.
Hopefully, these condo investment tips can help you find the right place to live. Is a condo a good investment for you? Because everyone’s financial and living situations are different, that’s something only you can answer.