Hello. I recently started learning about investing in real estate and I’m still working on a plan that will fit me. The last 3 months I have read a few books and lots of material on this site and I have a few quick questions.
I have a relative that owns a vacant condo in a decent area. She always complains about having to make a payment for it but she hasn’t listed it yet. I might be able to make a great deal with her that would work out for both of us.
I’m interested in eventually owning rental properties so my question is should I consider renting a condo if the deal makes sense. The few books and tons of articles I read so far deal with single family houses or flipping fixer-uppers. This condo is in decent shape and I know there are condo association fees that I would also have to take into consideration.
Does anyone rent condos? What are the pros and cons of owning and renting a condo? Is it a good way for a beginner to get involved in real estate? I guess I’m just looking for some feed back from people with experience renting condos.
Thanks in advance.
I haven’t rented condo’s but I think part of the problem is the condo fees. Unless you can get the condo at a great price, the condo fees, may make it hard to rent for cashflow. Also, some condo associations don’t allow rentals so make sure you check that out before you buy.
Or highly regulate it to the point of just being :bs
My sister rents a condo in Miami. The owner makes more money by renting the 2 bedroom condo to two different people. The owner rents one room to my sister, and then the other room to someone else. There has been a flood of condos over that past few years. For a while it seemed like all the 4-plexes were being bought up and converted to condos. I imagine there will be a chance to pick up condos at a good prices.
Condo association is always a huge obstacle. They like untouchable that is disgusting. I would always consider them first after the price.
Condos can be fantastic rentals. Is there a good market for renters (why is it still vacant)? As far as the association, join the board after you buy and help control how those people spend your money. There is always a shortage of good people running for condo boards. Before you buy find out about the level and quality of maintenance. Complexes of 100-200 units usually do better than smaller complexes where fewer people pay for maintenance. As far as renting, ask if the association has a restriction on the owner occupancy ratio. Talking to the property manager may be your next best step.
Condos have been good to me. I have had condos in my rental portfolio since 1983. My first rental property was a SFR, my second was a condo. I still have the condo.