A Guide To Investing In A Condominium
Condominiums, popularly known as condos, refer to properties that holds many units that are individually owned. In most instances, they share undivided interests such as community facilities, lobbies, and hallways. Investing in a condo might involve a lot. Many recommend the use of a qualified and experienced realtor to assist in the entire process of negotiation and purchase to ensure that you get the best possible deal for your investment.
What to do
At any given time, there are usually a large number of condos available for sale. You should ensure that you carry out a thorough research of the likely targets that you have locked in on. Be clear on everything there is to know about them and make some comparison to determine the best option to invest in Expo Condos. You may also want to consider the options of buying new or resale condos.
Timing is important
Timing is critical when investing in a condo. As such, you should invest when you are convinced that the prices are favorable for you. There are many factors to consider when it comes to timing, all of which will determine the price of the property. A realtor may help you with this, based on their experience, knowledge, and expertise.
Realtors can determine how and when they will be able to land you a good deal. A pre-construction payment schedule for a planned condo can also be negotiated with the builder. If you choose to go that route, factor in closing costs or development cost, which may not be stated in the initial agreement.
1. Take care of all preliminaries. This includes having your finances and other documentation in place. You may get your realtor to take you around the condos so that you can physically inspect them, to have a clear picture of what you are investing in. You should also find out about the rent figures in similar units around the area.
2. Familiarize yourself with owner responsibilities as well as management responsibilities. Ensure that you are comfortable with all of them and will be willing to carry them out after purchasing the condo.
3. Calculate your cash flow based on the expected annual rent figures that you will get vs. annual expenses that come with owning the condo and see what you stand to make.
4. If everything checks out just fine, get your realtor to help you find an offer and carry out all the negotiations as due. When the offer is accepted, ensure you get a professional inspector to check the condo before signing anything.