Why do buyers like condos? In expensive markets these small units allow buyers to move into areas they could not afford if they were buying single homes. Condo buildings offer a variety of things; security for their residents, maintenance for the units and amenities.The first thing to remember when looking for a condo is that a condo is not a type of building as most people think. A condo is a form of ownership. If you buy a condo, you own the inside space of a unit and the rest of the the space is shared/owned with fellow condo residents.
What can buyers in the greater DC, Maryland and Virginia areas expect when looking for a condo; A buyer looking to buy a home with $300 condo fees/month would need additional $12,000.00 in annual income. So even though the price may appear to be lower remember you have added costs from condo fees. Also, budget for a 4-5 percent increase per year for the base condo fees. This increase excludes special assessments that condos can tag on to you if they need to fix or renovate a building.
What are some things to consider;
1. Older buildings tend to have higher fees.
2. High condo fees go hand in hand with high amenities(pool, gym, playground) buildings.
3. Condo fees will grow as the building gets older.
4. If you are a seller; homes with high fees tend to stay longer on the market.
5. Ideally look for units with 90% or more owner occupants.
If you are buying, make sure to review the condo packet-Know the rules and how well managed the association is. Review the last 12 months of association meetings. Email me at ikanyeng456@gmail if you are looking to buy a condo home or a single family home.
