What to Know Before Buying a Condo

Condominiums are an excellent alternative to houses and apartments when choosing a place to live. They’re often less expensive than houses, but they also provide similar advantages to those of apartments, such as owners not having to worry about maintenance or upkeep. Here are some things everyone interested in buying a condo should know about before signing on the dotted line.

Condo Ownership vs. Other Homes

Condominium ownership offers a set of unique advantages compared to single-family homes and town homes. Condos are often more affordable than other types of homes, and, like apartments, owners aren’t required to take care of maintenance around the unit. Like single-family and town homes, the buyer has ownership of their property and is able to make any changes that suit their preferences.

With all the advantages of condo ownership as a mix between apartment living and home ownership, one of the main concerns of owning a condo is the shared ownership. When someone purchases a condo, they are the legal owner of that unit only, with shared ownership of any joint spaces. Should anything happen to the complex, condominium owners may not have a leg to stand on.

Homeowners Association and Membership

Nearly every condo neighborhood, like those in Jonathan's Landing, has a homeowner’s association (HOA) made up of people who live here. The HOA will typically charge either a monthly or yearly membership fee that goes towards the upkeep of the complex. The amount of the fee will differ from neighborhood to neighborhood, but it’s common for this fee to be $200-400 per month in condominium neighborhoods. However, this money goes right back into the neighborhood because it’s used to cover the costs of lawn care, home maintenance, and other expenses. 

Insurance

One advantage condo owners have over homeowners is that condos have lower insurance rates. The average rates for insurance usually fall from $100 to $400 per year, which is significantly less than the average rate of homeowners insurance in most states. Insurance for a condo will cover the same things as a house, so things like vandalism and theft will be covered, but other things like flood and earthquake damage will not.

Covered Costs

As mentioned briefly before, condo owners pay a monthly HOA membership fee. In exchange, this means they won’t have to worry about making certain repairs to their home if it comes to it. The money the HOA collects goes back into the condominium complex to cover the cost of lawn care, new roofs, siding replacements, and more. While not everything is covered, the HOA will often pay for large expenses.

Association Meetings

It’s common for the HOA to hold meetings where anyone from the neighborhood is encouraged to come. How often these meetings take place will vary depending on the HOA in question, but it’s common for them to be quarterly or yearly. For those who like to take an active part in their community, this will come as a welcome opportunity to get involved and influence what happens in it. 

Association meetings will often cover neighborhood events such as the budget and what sort of events the HOA will put on during the year. Those who attend will be able to vote on what they want to happen. But for those who have no interest in attending meetings, they’re typically optional, so there’s no pressure to go. 

Condos have many things to offer home buyers that make them just as viable as a house or apartment, but they do have some drawbacks that will affect some buyers more than others. Before buying a condo, buyers should look into all the HOA’s rules to make sure it’s a good fit for them and their lifestyle, and if necessary, consult an industry professional.