Condo Buyer Checklist

 

 

Purchasing a condominium is certainly better than paying rent on an apartment to achieve a similar lifestyle. Condominiums typically provide many amenities, such as, swimming pools, tennis courts, clubhouses, planned activities, maintenance of all grounds, maintenance of all buildings, insurance, and condominium management. As a condo owner you are deeded a specific unit, however, one must realize as an individual owner that you are purchasing the air space between the walls, ceilings, and floors of their unit of the condominium. Everything else, all land, buildings, common areas, etc. are equally owned by all homeowners through membership in a homeowner's association.

Below is a checklist of some of the important considerations when purchasing a condo:

 

o       The condominium has professional management services.

o       The condominium association finances are in order with no large outstanding debts or planned assessments.

o       Reserves exist and are being collected to be available for the necessary future maintenance or to cover any problems that might arise.

o       The condominium association is currently in full control of all condominium property or will be after the developer has built out.

o       The monthly association fees are reasonable for the services provided and are comparable to similar condominiums in the area.

o       The condominium association has sufficient liability and hazard insurance for the property.

o       The condominium association has not been and currently is not involved in litigation.

o       The buildings and common areas are well maintained.

o       The walls and floors between units are constructed to provide good soundproofing.

o       Obtained and read all the bylaws, conditions, covenants, restrictions, & rules documents and found them acceptable.

o       Obtained information on how property taxes are paid and found it to be acceptable.

o       Less than 20% of the units are classified as rental units.

o       Discussed with other homeowners what they like and dislike about their condo and the homeowner's association.

o       Found the condominium satisfactory and proceeded with the 'Buyer's Checklist'.

 

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