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Why Investing In a Condominium Is A Good Decision by Edward Villanueva






Why Investing In a Condominium Is A Good Decision by
Article Posted: 02/27/2008
Article Views: 688
Articles Written: 2615
Word Count: 727
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Why Investing In a Condominium Is A Good Decision


 
Real Estate,Business
Most of us have heard of condominiums, and have a quite clear picture of how it looks.

However, we still ask ourselves sometimes, why is it called a condominium?. In a condominium (commonly called a condo), some parts of it, like your residence - are owned privately, while others - common areas - are owned collectively by all of the building's residents.

A less technical way of describing a condo is an apartment that you own. In real-world terms, condos often take the form of an apartment or similar shared complex, but theoretically, a condo could physically look like anything. Condominium units are generally popular in areas with high property values, and vacation hotspots and urban settings are both locations where you can expect to find them on the market.

This is mainly because buying a single-family home can be quite expensive in cities where additional building space may be scarce. As such, condos can open home ownership to whole new groups of people If you think you're all ready to own your own home, but can't quite afford a larger house, a condominium could be a good option for you to get into the market.

Tips In Looking For A Good Condo Unit

Looking for an appropriate condominium unit involves the same process as shopping for a single-family home. If you have a general idea of what you're interested in, going to a real estate broker can be a better move in finding out about properties that you might not be able to locate by yourself.

If you prefer to do it by yourself, you can also search on the Internet, where many real estate Web sites and listings for condos in the area you are interested in, are shown. If you have a specific building or complex in mind, many offer on-site sales offices where you can learn more about the condominium and perhaps even view a show suite.

Reading The Fine Print On A Condo Purchase Contract

There are many aspects that you need to put into consideration when buying a condo, and it's not just the sales contract that you have to think about. Condos also have an agreement, or declaration, that dictates the way the condominium operates and is governed. Before purchasing your condo unit, you should request and read the documents that apply to the management of the complex. You need to learn what are the hot issues for this complex.

How big is the condominium's reserve fund? How does management deal with owners' requests and complaints? Does the condominium impose strict rules and guidelines on owners that you may be unhappy with? You also need to get sense of whether the condominium you are considering is well-maintained, and whether the property's rules and restrictions would allow you live the lifestyle you're seeking, and whether the building is experiencing any problems that may lessen the value of your share of ownership in the future.

Reasons For Getting A Condo

There are many good of reasons that a condo could be a better alternative to an apartment or single home, and money is surely one of them.

According to The real estate Journal, the prices of condominiums tend to appreciate at a slower rate than single-family dwellings, making them a more cost-effective choice in markets where prices are on the rise. And, compared to renting an apartment, since you actually own your condo, you can take advantage of tax deductions, such as the interest on your mortgage.

It's also noteworthy to remember that the purchase price isn't the only thing to consider when you're buying a condo. Most co-ops and condos have monthly fees for maintenance of the common property, and these can be quite costly and, unlike renting an apartment, you'll also have to pay property taxes.

Whenever you're looking to buy a home, there are plenty of choices available. One of them is the condominium. As you may already know, a condominium is a large property complex that is divided and sold in individual units.

Compared to a single-family dwelling, ownership in a condominium includes partial ownership in shared "common property". This presents unique challenges for condominium buyers. If you're considering buying a condo, read on to learn a little more about this type of property and what ownership entails.

Vanessa Arellano Doctor http://realestatepress.org

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