Are you thinking of snapping up a condo?
The befits of condo living are well-documented. From getting to opportunity to live in a secure community in a prime location to not worrying about property maintenance, it’s easy to see why you would want to buy and live in a condo.
However, buying a condo isn’t as simple as walking into a store and picking something from the shelf. Like purchasing a free-hold home, there are several steps you must follow, and the requirements you must meet.
Worry not, though. We’re here to help.
Here’s how to buy a condo.
Be Sure You Want a Condo
It’s not uncommon for someone to buy a condo and sell it a few years later. There’s nothing wrong with this, but a condo, like most real investments, are capital intensive and their values change from time to time. There’s no guarantee you will make a profit after selling your condo, let alone recoup what you paid.
To avoid such a situation, it helps to do some soul searching and establish whether you really want to buy a condo. This is the kind of asset you want to own for the long-term.
Condo living is strikingly different from living in a traditional home, like a single-family home. If you’d love to have your own backyard with a pool and a garden, for instance, you aren’t going to get this when you buy a condo. You will get a pool sure, but a community pool.
You also need to consider how your future lifestyle changes will affect your condo ownership. For example, you might be all in right now, but what if you want to have a big family in the future, condo living might not suit you when that time comes.
Proceed to the next step only when you’re very certain that condo living is the best option for you.
List Down the Amenities You Need
Condominium communities aren’t created equal. There are basic amenities that most condos offer, such as security and maintenance, but there are others you won’t find in some developments.
For example, some condo establishments don’t have swimming pools or child day-care centers or fitness studios. Would you love to live in a place where a clubhouse is just a stroll away?
As such, it’s super important to list down the amenities you’d like a condo establishment to offer. This way, it’s easier to narrow down your options to specific establishments.
In addition to the amenities, check out an establishment’s fees and regulations before settling on one. You want to ensure that the amount of fees charged is proportional to the range and quality of services offered.
If you own a pet, ensure the regulations allow it. If you’re a pool party enthusiast, ensure such parties are allowed; otherwise, you’ll end up living in an establishment that doesn’t allow you to do the things that bring joy to your heart.
Get Your Finances In Oder
In 2018, the median cost of a condo was $231,600.
Do you have this money kind of money sitting in your bank?
Even if you’re ready to buy in cash, you’ll never truly be ready until you have an idea of how much the specific condo you want costs. Some condos are way cheaper than the median price and others are super costly, reaching a million dollars and higher.
If you’re anything like most condo buyers, you aren’t going to buy in cash. You need to get a mortgage.
Get a mortgage pre-approval from your lender before you start hunting for a condo. This enables you to know how much you can afford, so you don’t go looking for properties that are beyond your financial muscle.
Find Your Dream Condo
With your finances in order, now comes the most exciting step in the condo-buying process: finding your dream condo.
Nothing prevents you from going condo-shopping on your own, but it’s not advisable. Hire a real estate agent realtor who specializes in condominiums.
This professional will ask you about what you’re looking for in a condo and use their knowledge of the market to point you in the right direction. This means you won’t spend a long time looking for your ideal property.
What’s more, when you’ve got a professional on your side, it’s easier to stick to your budget. On your own, you’re more prone to making impulsive decisions, especially if you’re a cash buyer. You might have set out on finding a $300,000 condo, but end up buying one double the price because it had the most beautiful kitchen you’ve ever seen!
Get the Condo Inspected
By this point, you’ve zeroed in on the property you want to buy.
Just one more thing before you write the check: condo inspection.
Whether the property is spanking new or used, an inspection can reveal issues that might no be visible to the naked eye. The inspector will check, among other things:
- Walls, floor, and ceiling
- Doors and windows
- Electrical and HVAC system
- Plumbing
- Kitchen and bathrooms
- Exterior and common areas.
If the inspector finds no issue, you’re good to finalize the transaction. But if there’s an issue, there are a couple of decisions you could make. For instance, you could resolve to find another property if the issues are severe, or you could ask the management to make the necessary repairs.
Ensure you have your agent or an attorney during the real estate closing.
You Know How to Buy a Condo
Buying a condo is a great investment. You want to make a good purchase. With this guide on how to buy a condo, you now know the various steps you’ll follow until the deal is closed.
All the best and keep reading our blog for more real estate tips and advice.
