Are you looking this product? Now you can get product in PDF Format,just following step by step until finish you will be guided downloading this book for free, Enjoy it.
The condominium market in Florida is finally ripe for the picking. Over zealous developers have been left with a bunch of unsold units and as a result, many of those developers are "fire saling" those units. In addition, units that have reverted back to the bank, the lender wants to get rid of them at deep discounts.
It seems like a perfect match for the ready, willing, and able investor, but before you jump into buying up bunches of distressed condos, you need to do some due diligence.
For one thing, distressed condo units are most likely also part of a troubled and struggling condominium association. By that I mean, the condo association may have several delinquent owners who are not paying their condo fees. Delinquent owners put a strain on the condo association to operate as a corporation with financial obligations.
Condo fees are the life blood of a condominium association. It is how the association pays the landscape contractor, maintenance staff, water, trash, and cable bills, condo insurance, the on-site manager, etc. The condo association is a business and like all businesses you need a steady, constant flow of income to offset expenses.
Before you purchase that great condo deal, you will want to know how many owners are delinquent on their condo fees for more than 30 days, and if there are an special assessments brewing. Also, make sure you see the yearly budget and a current financial statement including a year to date budget vs. actual report.Â
The condo governing documents is another must have. Make sure you read them because they will tell you what you can and can't do with your condo purchase. For example, how often you can rent out your condo in a year, and the minimum lease period, the number and size of pets permitted, and if you can place a sign to advertise for sale or rent. Condos are notorious for rules so make sure you know what they are before you buy or you'll find yourself dealing with the condo commandos.
If you are considering buying bulk properties, here is another thing to be aware of. In some states, a bulk condo investor can be also perceived to be a developer. In Florida, bulk is 10 or more units in the same condo association. This is important to know because if the condo owners had issues that were never resolved by the developer, you could become what is called a 'developer in lieu' and become legally responsible for unresolved condo problems. Property taxes and condo insurance are other huge areas where bulk investors have a potential to get hit heavily from large annual increases.
All said and done, this is probably the best time ever to purchase condos at unbelievably great prices. Just make sure you cover your bases and ask the right questions or it could turn out to be more than you bargained for.
0 comments:
Post a Comment