If you own a condo, you already know the condo fee that just won’t go away. The challenge for most condominium owners comes when purchasing. Many of the costs wrapped up in the condo fee are the same expenses you would find in a non-condominium purchase. Expenses that include water, utilities, garbage pick-up, lawn maintenance, etc., are the same as you would find when buying a single family home with a homeowners association. The problem with condo fees is the monthly expense that is rolled into your debt-to-income-ratio by mortgage lenders, which can affect your buying power. For example, if your condo fee is $300 per month, your purchasing ability could possibly drop by $50,000 if you were buying a home with a 6 percent mortgage with a 30-year note. Nevertheless, the condominium lifestyle remains popular. Coming and going anytime with low maintenance make these monthly fees an acceptable expense.
When deciding between condo living and non-condo living, you should consider the services that are offered by the association for the money you’re paying out. You will also want to consider the services you received for the fee. Ask for a history of the condo fee revenues and make sure everyone is paying their fair share. Have the fees gone up reasonably over the years? Make sure you know what the expected capital expenses for the near future are and how they will affect you financially as a new member to the community. And contact me when you’re ready for your next purchase or sale. I will guide you through it all step-by-step to make sure you know what you’re getting for your money. In the meantime, visit my website to find wonderful homes for sale in Lake Havasu City and surrounding areas.
Recent Comments