Are Condos More Difficult to Sell Than Single-Family Homes?
Many home buyers like single-family homes. Condos, too, can be attractive, especially for people who want a low-maintenance home or who cannot afford a house. Whether a condo is easier to sell depends on the attributes of the condo and the homeowners association.
Condo owners usually pay a monthly fee to their HOA. HOAs use this money for insurance, exterior maintenance, trash removal and other services and amenities. If the fee is too high, it could scare off potential buyers. At the same time, they might approach a too-low fee with caution. It can indicate an HOA that does not have enough money in reserve to cover an emergency. In fact, mortgage lenders might not approve a loan if the HOA is low on reserve funds or has litigation pending against it. In any case, the monthly fee adds to the cost of condo ownership.
HOAs also set rules regarding pets, seasonal decorations, noise levels and more. So, condo owners do have somewhat less freedom than many homeowners do. However, though, some single-family homes are in communities that have their own HOA.
Condos are low-maintenance compared with single-family homes. HOAs tend to take care of roof repairs, landscaping and upkeep of common areas. There are fewer tasks for owners to worry about.
Some condo communities have amenities such as a pool, gym, picnic area or clubhouse. For example, if you look at these los angeles condos for sale, you’ll see that some have pools. Having a pool without having to do upkeep on it can be an appealing prospect.
Condos can fit in all kinds of neighborhoods, while the options for single-family homes are less flexible. That’s especially true if the homes are designed to have yards. Own a condo, and you could live near work and avoid the commute you’d have with a single-family home. You also have a better chance of living in a walkable neighborhood. Many of these santa monica condos for sale feature walkability, for example.
Of course, if you want a home out in the country, you’re less likely to find condo communities there.
Some condos cost just as much as single-family homes (or more). However, it’s possible to find condos that cost less, even with the monthly HOA fee. Thus, condos can be a less-expensive route to homeownership.
Another consideration is future costs. For instance, what if the HOA raises its monthly dues to a level some condo owners cannot afford? This uncertainty does put off some people from buying condos, but careful research can put your mind at ease. Look at fee increases for the past 10 years at least. Annual increases may be OK as long as they are not too high. (It’s also possible for HOA fees to decrease.) At the same time, owning a single-family home can mean emergency costs, like if the roof starts to leak.
The resale value of condos and single-family homes can be high. Both types of properties are appealing but usually to different segments of the market. Tell your real estate agent about your needs. Together, you two can determine if a condo or single-family home may suit you better.
To read more on topics like this, check out the lifestyle category.