Monday, February 25, 2013

Considering a condo purchase? Check the books…

If one is considering a single family detached home purchase the exterior condition is very often a good indicator of the interior condition.  If there is neglect there is likely an underlying issue which may or may not be a concern.

It could be the seller is older, a part time resident, dealing with an illness , perhaps a  recent loss of a family member or even financial issues.

Admittedly, sometimes it is just a case of indifference which I will never understand - especially when selling!

When considering the purchase of a condo unit the exterior condition will similarly give you some clues about the circumstances.

But, in the case of a condo, it is likely a clue about the condominium association more so than the specific seller.

Neglect and unmade repairs could indicate the financial condition of the association is an issue.  Condo fees usually include exterior maintenance, as well as insurance  landscaping, common amenities (like pools, fitness centers, etc).  If any of these are neglected - find out why!

Any consideration of a condo purchase should include a review of the association rules and finances.  Find out how many owners are behind in their dues.  Find out how many units are vacant. Find out how many units are tenant occupied.

Know the condominium complex before purchasing.

Because, as a condo owner, you will also be on the hook as well.