For the past two years, I’ve been renting a 2bd/1bath apartment in a small condo building. My landlord recently informed me he plans to list the unit for sale. The expected price of $280k is workable for me, so I’m considering buying it. I’m not very interested in homeownership but feel this is a good opportunity. Here are my questions:
Do I need a real estate agent since the property has already been found?
The HOA fees are $450/month; what should I ask about this?
This unit has been a rental for a while. What implications should I be aware of as the owner-occupier?
My monthly housing expenses would be similar to my current rent for the first few years. Is this a red flag?
What should I do if I want to put in an offer later this month? I have cash for a down payment and know I need to get pre-approved for a mortgage.
Check the financial health of the HOA. Look at financial statements, budget, and reserve fund details. Ask about planned or recent special assessments and what the HOA fee covers.
Regarding your expenses, remember that homeownership comes with tax breaks and potential appreciation, which can help offset costs. Don’t be disheartened if monthly expenses are similar initially.
Make sure to get pre-approved for a mortgage and consider your long-term plans. If you’re comfortable with the risks of homeownership, this could be a great investment!