Real estate continues to be a good investment. Whether you are looking to own and reside in the home, flip it, or use it as a rental property purchasing real estate can be lucrative. One of the most common types of real estate investments are condos. But when you are thinking about buying a condo, there are several things that you will want to keep in mind.
Having a legal advocate on your side as you begin your real estate search can make all the difference. When you want to make sure that your finances and future are protected, get an experienced Maryland real estate lawyer at Evans Law to help you with your condo purchase. Call our office at (410) 626-6009 to set up your no-risk consultation.
Your Future Budget
One of the most important things you need to keep in mind when thinking about purchasing a condo is your future budget. Many buyers are often surprised to run into financing issues with a condo. This often comes when buyers are using special types of loans, such as FHA loans.
Lenders are going to take several factors into consideration, including your credit score and payment history. But they are also going to assess the value of the condo development prior to determining whether to approve your financing request. If your application is denied, it may be because the condo development has gone down in value.
You also need to keep in mind that in addition to your mortgage for your condo, you will also be expected to pay required homeowner’s association fees. This can amount to hundreds of dollars a month which can add up over the course of your mortgage. Make sure to account for these extra costs when looking into purchasing your first condo.
Your Family’s Privacy Preferences
Another factor to watch out for when you are considering your first condo purchase is what your family‘s privacy preferences are. Living in a condo is very much like apartment lifestyle living. You do not have a lot of outdoor space that is yours for personal use.
You will also be sharing many common areas, including fitness areas, club houses, pools, and other shared spaces with the other condo owners in your homeowner’s association. The fact that condos do not provide substantial privacy can be a deciding factor for many buyers. Make sure you take this into account when you are thinking about what you expect or hope for your future in the condo.
The Condo Association and Amenities
Most condo owners will agree, the perks of condo association amenities are undeniable. One of the great things about purchasing a condo are the additional benefits. You will likely have a shared pool space, a clubhouse that your family can use for events, a fitness center or a gym that can be used twenty-four hours per day, seven days a week, and other amenities such as game rooms, terraces, sunrooms, and concierge services, to name a few. Your homeowner’s association fees are used to help provide these services to you and the other condo owners in your association.
You should be sure to check out these shared spaces and amenities before you decide to buy. This is because some unethical homeowners’ associations will fail to keep these spaces clean and in good working condition. You will want to be sure that your condo fees are being used as expected.
Consider looking online, speaking with other condo owners, and researching the property management company to find out what their reputation is and how they handle complaints regarding condo amenities and other issues. You will want to be sure that you feel comfortable in your relationship with the board, as they could have a significant impact on not only your amenities, but whether you are approved to make any major upgrades to your condo in the future.
Meet With a Maryland Real Estate Lawyer
If you want to make sure that you are not taken advantage of when purchasing a condo, get a strong legal advocate on your side. Reach out to a dedicated Maryland real estate lawyer at Evans Law for the guidance and help you need. Contact our office by phone at (410) 626-6009 or through our online contact form to figure out what your next steps should be.