Homebuying November 02 2018

Pros and Cons of Buying a Condo

Whether you are a first-time homebuyer or searching for home number ten, buying a condo instead of a house may be the perfect choice. Most condos are essentially a hybrid between an apartment and a single-family home. They are great for certain lifestyles but they aren’t for everyone, so here are some of the pros and cons to consider before buying a condo:

The Pros:

  1. Amenities. Having your own pool in the backyard can cost thousands of dollars to install and maintain, and gym memberships typically cost at least $50 per month. Most condominium communities have on-site gyms, pools and even tennis courts that residents can use without ever having to clean or fix.
  2. Security. Many condo buildings have full-time security guards and surveillance cameras. You may also be required to use some sort of key card to access the parking garage, and several sets of doors and elevators before arriving at your own door. While most condos are located in urban areas, these extra security measures make many residents feel safer than they would in their own home. 
  3. Maintenance/Yard Work. Unless you are one of those who loves doing it yourself, having someone else mow the lawn and shovel snow is a big perk to condo living. You’ll have to rely on someone else’s schedule more often, but it’s great for older residents or those who spend a lot of time out of town. 
  4. Affordability. As with any type of real estate, condo prices will vary depending on location and size. But more often than not, you’ll be able to find a condo for a lower price than a similar single-family home—just don’t forget to factor in homeowners’ association fees.
    • National median existing-condo price: $248,200[1]
    • National median existing-home price: $269,000[2]
  5. A Sense of Community. It’s pretty difficult to ignore your neighbors when you’re constantly running into each other in the elevator. Some condo communities even host resident events in the communal spaces. Of course, many next-door neighbors in houses become friends as well, but there’s just something about sharing walls that strengthens a bond.

 

The Cons:

  1. Storage. If you’re moving from a small apartment, the lack of storage may not be much of an issue. But if you’re coming from a four-bedroom house with a two-car garage and a shed in the backyard—it may be a deal-breaker. Some condominiums have communal bike storage and maybe even a storage shed for each unit, but it’s not going to be as much as you’d get at a single-family home.
  2. Outdoor Space. Remember how you no longer have to mow the lawn? Well, that also means you don’t have a lawn to enjoy. There may be a beautiful courtyard and even a specified area for dogs, but space belongs to everyone in the building and it likely won’t be as spacious as what you’d get with your own backyard.
  3. Association Membership. This is where you contribute to the cost of maintaining the gym, pool, courtyard and any other amenity enjoyed by everyone in the homeowners’ association. HOA fees often range from $200 to $400 per month.[3] You’ll also be asked to follow the rules of the association. If you want homeownership to mean you can do whatever you want with your space, condo life may not be for you.
  4. Resale. Selling a condo can be more challenging than selling a home because there are probably several units exactly like it in the same building. If you have the best view, this might make it easier, but knowing how much to ask for your unit compared to your neighbor’s can be difficult.
  5. Proximity. Even if you enjoy the sense of community that comes with living in a condo, you may not like being able to hear your neighbor’s dog barking or door slamming at all hours. Much like living in an apartment, privacy is hard to come by in a large condominium complex.

 

If you feel like these pros outweigh the cons, we're here to help!

let's get started!

    Sources
[1] https://www.nar.realtor/newsroom/metro-home-prices-climb-to-new-all-time-high-rise-53-percent-in-second-quarter
[2] https://www.investopedia.com/articles/mortgages-real-estate/08/homeowners-associations-tips.asp

Search Results for query

October 17 2019

What to Expect: The True Cost of Homeownership

Most soon-to-be homeowners are prepared to budget for their mortgage payment and down payment, but you should go into your dream of homeownership with a clear picture of all of the costs associated with this milestone.

Read More

October 09 2019

A Simpler Path to Homeownership with Credit Solutions

Interview with Credit Specialist, Sara Gellatly, to learn more about what HBSG is and how it helps real customers achieve their dream of homeownership. 

Read More

October 03 2019

Digital Mortgage 19

Digital Mortgage 19 took place from September 23-24 in Las Vegas. Three of our Executives had the honor of presenting at the conference.

Read More

September 24 2019

Understanding Your Loan Estimate

As part of your mortgage transaction, the Consumer Financial Protection Bureau (CFPB) requires that you receive a Loan Estimate at the beginning of your application process. You’ll receive a loan estimate within three days of submitting your mortgage...

Read More

September 20 2019

Eagle to Attend Digital Mortgage 2019 Conference

The Digital Mortgage conference features keynote speakers, panels, and live demos. Attendees will learn from top mortgage lenders, including Eagle Home Mortgage.

Read More

September 05 2019

What to Expect If Your Mortgage is Sold

Closing on a home only to find out your mortgage has been sold to another lender can be alarming yet is very routine in the mortgage industry. While it does not affect the terms of the loan, it is still best to prepare yourself for this common practice.

Read More

August 22 2019

5 Ways to Protect your Home from Invasion

In the US, according to the Department of Justice, almost 4 million household burglaries occur each year. While these are frightening statistics to any homeowner, there are steps you can take to deter burglars from targeting your home.

Read More

August 19 2019

Don’t Let Credit Bumps Hold You Back

While your credit is an important factor when considering homeownership, a common misconception is that you need perfect credit to buy a home.

Read More

August 09 2019

How Credit Impacts Home Pricing

Your credit will influence your homebuying experience, from setting your sights on a home to securing a loan and everything in between. But how exactly does credit affect home pricing?

 

Read More

12345Last

Mortgage Calculators

Crunch the Numbers With Our Helpful Mortgage Calculators

Payment Calculator

payment calculator

Payment
Calculator

Affordability Calculator

affordability calculator

Affordability
Calculator

Refinance Calculator

refinance calculator

Refinance
Calculator

The Modern Digital Mortgage with a Personal Touch

Paperless. Effortless. Awesomeness TM

Simplify the home financing process with our Digital Mortgage. We'll be here to help navigate you through the entire process.

Get Pre-qualifiedWhat is a Digital Mortgage?