GayRealEstate.com is the largest company in the nation representing the rights of queer home buyers and sellers. Queercents asked Jeff Hammerberg, the founder of GayRealEstate.com to write a series of articles for the gay and lesbian community. Here is Part 3:

Condo Ownership: An increasingly good investment if you buy smart.

CondosFor decades — if not centuries — the so-called “single family home” was the residence of choice. A few people in urban settings purchased their own apartments, but not until the condo design and ownership concept came on the scene did multi-unit buildings become a popular and practical housing option. And now that the demographic of the USA is comprised of many single people and couples without children, condos are in greater demand than ever. And investors have begun to enjoy competitive price appreciation on condominium assets.

Condo ownership differs from owning a house because portions of the property — or infrastructure of the development — are owned in common with others. And the by-laws of the condo association provide a legal framework to spell out the parameters of ownership.

For example, the association may charge fees to individual owners to cover expenses such as landscape maintenance or security, and if those are not paid it can result in a lien against your property. On the other hand, having the association take care of maintenance issues can be a huge relief for those who don’t enjoy the routine chores and responsibilities often connected with home ownership. Before you buy a condo, check to see what fees are charged, and why.

Keep these ideas in mind as you do your research:

  • In a new condo, fees may be lower because maintenance is less important. But in an older structure you may have to ante up more, to keep the building in good working condition.
  • Do fees tend to accelerate each year? Check the records of the association, to see what to expect in terms of changes in condo dues.
  • Is noise an issue? Some condos have excellent soundproofing. Others don’t, and have ordinances against such things as playing your stereo at night, or having guests on your balcony late at night.
  • Are there any liens against the property that could affect your ownership?
  • Are any other owners delinquent in paying their association dues? If so, you may have to pay more than your fair share for necessary repairs.
  • Does the condo association have cash reserves to cover emergencies or pay for expansion and improvement?
  • If the condo is new, do some homework and try to find out about the builder’s reputation so you know what to expect in terms of quality.

Condos used to be considered risky investments, and for good reason. They lagged the market in terms of appreciation, and whenever the housing market stalled, condos were the first properties to sink in value. And many owners were inexperienced, so they bought into problems because they didn’t take into consideration the kinds of things mentioned in the list above. So condominiums sometimes suffered from a bad reputation based in part on the inability or naivete of buyers, who miscalculated market value and overpaid.

But just within the past five years, the investment potential of condominiums caught up with — and then surpassed — that of single family homes, confirming a direction that appears to be with us for the foreseeable future. And as investment capital flows into condo development to follow that profitable trend, the amenities and architectural design options expand, offering more choices and better value to buyers than ever before.

One of the most popular uses of condos is for second homes or vacation homes. You may prefer a typical freestanding house as your primary residence, but are particularly interested in eliminating the chores and headaches of overseeing a home that may be in a distant city. A condo is a relatively stress-free way to own a getaway, and if you decide to rent your second home during the months when you aren’t using it, it can be much easier when you own a condo. Many other owners in your condominium project may also be part-time residents who hire professional property managers to take care of their place while they are away. And that can make it easier for you to find professional oversight for a discounted price.

In fact, many condominiums have on-site service contractors, security personnel, and rental agents. When you buy into such a set-up, you get lots of automatic help that others who own vacation homes don’t have. This can save you time and trouble related to shopping around for reliable and affordable professional assistance, and can simplify the task of long distance property management.

Whether you’re looking for a primary or secondary residence, condominium ownership has plenty to offer — including shared amenities like swimming pools, conference rooms, and gyms or tennis facilities that you may not be able to afford by yourself. For the most part, the shared aspects of condo life are entirely advantageous. And the rest of the experience is just like owning a traditional house — you have complete control of everything within the walls of your home.

For quality real estate experts serving the GLBT community, visit www.gayrealestate.com. Their agents value your input and can help you find the condo that is just right for you and your partner.

More about Jeffery Hammerberg
Jeffery Hammerberg Jeffery Hammerberg is Founder and President of Gay Real Estate, Inc. – the nation’s largest group of companies connecting gay & lesbian home buyers and sellers to gay, lesbian and gay friendly real estate agents. Since 1997, Hammerberg has created a virtual real estate marketplace for the LGBT community. Beginning with www.homelounge.com, an Internet company dedicated to assisting home buyers and sellers in the USA , Hammerberg gradually added services and sites.

Today, his Web sites include www.GayRealEstate.com, www.lesbianrealestate.com, www.lesbianhomes.com, www.gayrealestateplanet.com, www.gaymortgageloans.com, www.lambdamortgage.com and www.gayghettos.com, all of which are revolutionary in terms of concept and commitment. Hammerberg’s companies donate 10 percent of gross revenues to the non profit organizations within the LGBT community.