Condo Sale Alternatives
I’ve been thinking of all the ways out of this. If I can’t sell the condo before it’s ready I’ll have to somehow rent it out. It would be nice if there was a company that could handle this…without charging me an arm and a leg! From everything I was told, The Plaza is supposed to be super sophisticated, with a concierge and front desk…they really would be the ideal people to handle this. They could even treat vacant apartments as vacation rentals and handle all of that for a fee to unit owners who wanted.
Here is a breakdown of ideas:
- Find yearly contract renter
- Advertise unit as rent-to-own (owner financing)
- Furnish and advertise unit as vacation/temporary rental
- Raffle unit
Other ideas are welcome.
Posted: June 17th, 2007 under Uncategorized.
Comments: 2
Comments
Comment from Candy
Time: June 18, 2007, 7:01 am
Those vacation rental people will totally trash your place.
When will you be able to move in to the place?
How about providing some links to the place where you have it listed? I would like to see it and how you wrote it up.
Comment from Sarah
Time: June 18, 2007, 8:48 am
You know, you should probably consider this very carefully before you decide not to cut your losses now. If you had a single family home or a townhouse, your plan to rent and wait out the downturn would be more feasible. With Condos there are some special considerations that you may not be aware of. One is that when there’s a glut on the market lots of owners are trying to rent out like you. Once the percentage of rented unit hits a certain point, banks will no longer give mortgages to people who want to buy. That limits your potential pool of buyers to those who can afford to pay cash. And those that can afford it often won’t buy under those circumstances.
Another problem is maintenance and condo fees. Condos with a high percentage of renters are generally not as well maintained as those where most units are owner-occupied. Non-resident landlords don’t have the same willingness to pay for maintenance and repairs that resident owners do– and even good and responsible renters don’t usually treat rented property with the same respect and care as they would their own.
Finally, in severe gluts you have the problem of owners abandoning their units when they can no longer afford the mortgage. This causes all the other owners’ share of condo fees to rise and thus contributes to more people ‘bailing’ on their units. In previous real estate ‘busts’ whole buildings have ended up abandoned and derelict– and many others have been sold and gone back to being apartment buildings.
As for how to go about selling if that’s what you decide to do, I’m afraid I don’t have much to offer. That’s the real bitch in a real estate ‘bust’ — not that prices look so bad on paper, but that the psychology changes and people simply don’t want to buy.
Is there any possibility of your selling your house and moving in to the condo yourself?
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