Question for Condo owners

[CarlHungus]

The wife and I are looking to purchase a home in the near future. I would prefer to buy a home, but I have seen some very nice condo's for much cheaper than single family homes. The only reasons why I don't want a condo are the chance of having loud neighbors and not having my own yard to myself. If you own a condo, would you recommend it or would you spend the extra money on a house?

 

[Cyclonesince78]

If you get anything that's not a SFR, I would get a townhome. But I'm a bigger fan in general of SFR. Condo's and townhomes don't appreciate as much as SFR's.

 

[FDWxMan]

The wife and I are looking to purchase a home in the near future. I would prefer to buy a home, but I have seen some very nice condo's for much cheaper than single family homes. The only reasons why I don't want a condo are the chance of having loud neighbors and not having my own yard to myself. If you own a condo, would you recommend it or would you spend the extra money on a house?

This is strictly from the "a few people I know" files, but it seems to be a lot harder to eventually sell your condo than your house, and when you do, it seems like you lose more than what you may have saved over buying a house in the first place. (Though, some of that is also offset by certain maintenance that you would be responsible in a house, but not in a condo).

It just seems like people have a hell of a time unloading condos, since the condo market is constantly over flooded with new ones getting slapped up everyday, hence the cheaper prices.

Again, overgeneralized, anecdotal advice here.

 

[Mr Janny]

be careful what you're getting into, if you go with a townhouse/condo. Look up the developer. Find out how many units they still own. If it's more than 10% and the complex/building is more than a couple years old stay as far away as you can. New lending restrictions have made it nearly impossible to get financing on those unless you have a full 20% down payment. That can make them really tough to re-sell if you're looking to upgrade down the line. They're tempting because they're newer and have lots of ritzy features, but resist the urge and go with a single family home

 

[CarlHungus]

be careful what you're getting into, if you go with a townhouse/condo. Look up the developer. Find out how many units they still own. If it's more than 10% and the complex/building is more than a couple years old stay as far away as you can. New lending restrictions have made it nearly impossible to get financing on those unless you have a full 20% down payment. That can make them really tough to re-sell if you're looking to upgrade down the line. They're tempting because they're newer and have lots of ritzy features, but resist the urge and go with a single family home

Yeah, and those ritzy features are what is drawing me to those Condo's. I think I'll stay far away though if they are that hard to re-sell

 

[06_CY]

I'll sell you my townhome. It's been kept up very nicely and the neighbors are quiet.

 

[mcblogerson]

New lending practices have destroyed condo prices. So if you do buy one, make sure you're allowed to rent it in the future if selling it is tough. You can buy them now for half the price they were worth 10 years ago in most cities. I own one that I rent and it turns a nice profit every year with all the tax write offs.

 

[Cyclonic1]

I have owned a condo, townhouse and 2 SFR. Like you I like the yard aspect of a townhouse. SFR will appreciate faster by far. In a condo the resale is pretty much determined by all of your neighbors how they keep up their units and how they behave. The HOA is key if you go condo or townhome so check it out and even try to get elected or appointed if possible. My first condo was Plumwood in Urbandale and I was on the board but we had to sue the developer over defective construction and everything went South from there

 

[TallKidIsTall]

dont forget to include the hoa fees in your comparisons

the mortgage is cheaper but if u pay like $1000/yr in hoa fees thats quite a bit of money you wont get back in equity

 

[TallKidIsTall]

plus the inability to sell them is what scares me away

if im buying a condo/townhome im buying a brand new one instead of a 5-10 yr old one

and most people think that way since the only reason they want a condo is b/c they can get all the nicer finishes and new feel for a cheaper price

 

[Mr Janny]

New lending practices have destroyed condo prices. So if you do buy one, make sure you're allowed to rent it in the future if selling it is tough. You can buy them now for half the price they were worth 10 years ago in most cities. I own one that I rent and it turns a nice profit every year with all the tax write offs.

that's what we're doing with ours starting in a couple months. How do the tax write-offs work?

 

[SpokaneCY]

The wife and I are looking to purchase a home in the near future. I would prefer to buy a home, but I have seen some very nice condo's for much cheaper than single family homes. The only reasons why I don't want a condo are the chance of having loud neighbors and not having my own yard to myself. If you own a condo, would you recommend it or would you spend the extra money on a house?

Wife and I have been condo dwellers for over 7 years here in Spokane. For us, we actually paid more for less... Less square footage, less space, less garage, less "privacy" but not really... But we have zero maintenance - no mowing, no shoveling, no anything except freedom to pick up and leave when we wish.

Regardless of what anyone tells you, there is no right answer. What one person finds distracting is zero impact to someone else.

 

[DurangoCy]

Bought a townhome 7 years ago and by aggressively paying it down, am just above water on it. If you don't want to deal with the outdoor maintenance issues, they're great. If you've got the time, energy, and money for the yard work/exterior sf house issues I'd go that way.

 

[83Clone]

No right answer, but at age 28 I would say save and buy a single family dwelling. I am at the other end of the age spectrum and moved into a townhome 4 years ago. I can't ever see going back. If you go townhome, get an end unit from a quality builder and you will be fine. May not appreciate as fast as a single family dwelling, but you would be fine

The biggest problem in the townhome market (in Des Moines) is all the cheap Triton units flooding the market. You will never be able to get your money out of one of them.

The condo market is still in its infancy if you are in the DM market (except the Plaza) so i would be careful. If you buy one you had better plan on living downtown for at least 10 years.

Just one opinion

 

[jsb]

I have a townhouse in West Des Moines. I bought one that was built in the mid-80's and has a full, finished basement and was remodeled (with new appliances, new HVAC, new fixtures, new carpet, etc) 1-3 years before I bought it.

Dont' buy a cheap, but pretty one. A basement will help with resale. The older ones are built a bit better so you don't deal with noise very much. A small association is better than a large one. An actual condo (like an apartment basically) is a lot harder to resell than a townhouse. Look at the amount of units for sale in a complex.

I'm single and travel a lot for work, so I like the idea that I am not completely responsible for everything and don't have to worry about snow removal.

 

[cloneluke80]

I owned a townhome in WDM, shoddy construction by regency, HOA board was a mess, big costs coming for the association (like roofs), then we were constantly dealing with people not paying dues, blah blah... hard to sell... I would probably only buy a condo/townhome in a vacation area, like Okoboji or in a downtown area like the east village. As far as condos in the burbs, I would avoid.

 

[Cycl1]

If you are looking to spend single family home money, buy a single family home. There were townhomes in North liberty that were around $200k. If I'm going to spend 200k on a home... i sure as **** wont be sharing a wall with someone.

 

[Cyclonesince78]

that's what we're doing with ours starting in a couple months. How do the tax write-offs work?

I assume he's talking about being able to deduct property taxes, interest, insurance, expenses/repairs.

 

[JWIL4CY]

If it was me I would just rent until I could afford a single family home.

 

[wartknight]

We lived in one in Ankeny for 8 years. Loved it when it was just my wife and I because of all the exterior stuff taken care of for us. Once the kids started coming though it was time to get out..which ended up being pretty much impossible unless we wanted to write a check for 30-40k. 3 years in to renting it now with no issues. Actually making some money on it too. Rental market in Ankeny is crazy good for owners.