The Pros And Cons Of Buying A Condo Investment
Over a longer period of time, homes have historically shown higher rates as more people prefer homeownership, but there is evidence that apartments can close the valuation gap. As a condo owner, a good HOA will make your life easier and help increase the value of your investment. If there are too many tenants, it means you’re trying to own a home in a sea of temporary residents who don’t have any real skin in play when it comes to taking care of the common areas. Of course, you’ll be much closer to your neighbors if you share walls. You’ll also have more opportunities to interact with your neighbors in the common mailroom, shared parking lot, clubhouse and pool, and at regular HOA or condominium board meetings. Condos are much smaller in square footage and maintenance is usually cheaper because you are only responsible for the interior of your home.
Sure, you’ll pay maintenance fees for this glorious service, but why not? The study indicated that between 2012 and 2016, approximately 154,000 condominium units will be built in Metro Manila. This construction boom has been going on for at least seven years, and experts agree that the Philippines is nowhere near saturation point.
This will help you find out if apartments are a good investment for you. Another unique feature of apartments that you don’t see anywhere else except for high-end properties is the majestic view of their backdrop. If you want to wake up every day for a nice view, nothing perfect ten condo can beat condos. However, keep in mind that apartments directly near major attractions often get a higher price than those that are not. The last big advantage of living in an apartment is the fact that you can build a strong sense of community with your neighbors.
Although these are shared facilities, they are only exclusive to the residents of the building. What’s more, you don’t have to pay entrance fees or monthly memberships to use these facilities. One of the main benefits of living in condominiums is ownership of the property. Instead of paying your landlord’s rent monthly, you have the option to use your money for a mortgage payment. A landlord is fully responsible for all maintenance on and off the property, including care and maintenance of the garden and trees. You should also consider purchasing additional equipment and tools for maintenance when buying a home.
This makes buying an investment apartment a good option for beginners in real estate. The other benefits of living in a Singapore apartment are flexibility and variety. Depending on your needs and wishes, you can choose study units, 1-4 bedrooms, loft, double key floors, etc. Flexibility in the sense that there is a wide selection of condo services that you can benefit from.
A lower price means you’ll pay less money upfront, as well as a smaller monthly payment than you would for a mortgage or, in some cases, rent. Recent data from the National Association of Realtors shows an average selling price of $240,900 for single-family homes in the United States, compared to $225,100 for apartments. A big advantage of buying a home is that you have full control over the property to remodel or make changes without the permission of others.
Although you pay for maintenance with your HOA fees, you are not responsible for doing it yourself or making arrangements with professionals to do so. The common areas of an apartment building are certainly nice, but it costs money to maintain them. As a resident of the apartment, you will probably have to pay a monthly fee that goes towards the maintenance and repair of the common areas. An additional fee may also be added for larger repairs and renovations in those areas, but you can also enjoy these service upgrades.