Buying your first condo is an exciting prospect, but it can be daunting as well, after all, there are so many different types of condos for sale, and not every one of them is right for you.
To help you get a better sense of the condo market and find the right condo for you, we’ve compiled a list of the most important things you should know about buying a condo for the first time. From understanding the different types of condos to understanding the different types of condo investors, you’ll be ready to make your offer within minutes of reading this guide.
Types of Condo Investors
In the condominium market for st clements condos for sale, there are different types of investors, these include:
An owner-occupier is someone who owns the condo in question and lives in it, the condo could be their primary residence or a secondary residence, depending on how much time they spend in it.
This type of investor is typically someone who has a good credit score, has never missed a mortgage payment, and is willing to pay a lump sum of money for the condo.
- Residential Builder
A residential builder buys condos at wholesale prices from developers or builders and then resells them to the public after the construction process is done.
They are typically looking for a higher return on investment aka ROI than what an owner-occupier might provide, this type of investor typically wants remodeling projects done in order to increase the resale value of the unit as well as make sure that they don’t miss out on any profit opportunities that might arise during construction or renovation work.
An investor buys condos with cash and renovations them before selling them to the public at higher prices than what an owner-occupier would sell for.
Investors want to make sure that they get their money back plus some extra funds from improvements made during renovation work, so they usually do not want to live in their units once renovations are finished this means that you will most likely not see an investor living in your condo building if you buy one from him/her.
Things to Look For When Buying a Condo
Not every condo is right for everyone, so there are some things to keep in mind when you’re searching for your first condo.
- How big is the condo?
- Is it appropriate for your lifestyle and family? Are you looking for a two-bedroom or a three-bedroom?
- What’s the price range of the unit?
- Is it in a good location that’s easily accessible to public transportation? Is it close to shopping, restaurants, and other conveniences?
- How much does the property tax rate vary from year to year?
- Will you be able to afford the monthly mortgage payments if you live in this condo for more than 10 years?
- Will you be able to make all of the necessary repairs over time?
- Are there any maintenance fees associated with owning this property rental management, property taxes, etc?
- How long has the building been around/how old is it/how many people live in it now?
- Does this area have any safety concerns or crime rates associated with its neighborhoods with high rates of violence, gangs, etc?