Buying a condo is like buying a house, yet there are some differences. Condos are not exactly the same as single-family homes, so it is essential to know what to look for when buying one. If you are planning on starting your search for a condo to buy, here are several things you should ask about before putting in your offer.
How Much Are the Homeowner's Association Fees?
One difference between single-family homes and condos is the management. Communities with single-family homes typically do not have managers controlling them, but condo communities do. The organization controlling a condo community is a homeowner's association (HOA). When you buy a condo, you will have an HOA, which means you will pay monthly fees to the HOA. The first thing to find out when shopping for a condo is the cost of these monthly fees. You might find that the fee is around $200 a month or much higher. It depends on the community.
What Type of Homeowner's Insurance Does the HOA Have?
The second thing to ask is about the homeowner's insurance. An HOA will have a homeowner's plan that covers parts of the condos, which affects the type you must buy. There are two main types of coverage. An all-in plan covers more than a bare walls plan. If the HOA has an all-in plan, you will need less homeowner's insurance. If they have a bare walls plan, you will need more. It is essential to know this before you buy the condo so you can estimate your insurance costs before moving into the unit.
What Rules Does the Community Have?
The other vital question to ask is about the rules. When you move to a community with an HOA, you will have rules to follow. You can find these rules in the HOA documents. Some HOAs have strict rules that limit what you can do, while others have fewer rules. It is also critical to read these rules before buying a condo. You need to know what they say to determine if you can live with these guidelines. You can ask your real estate agent to obtain a copy of the HOA rules for you, and you should read them thoroughly.
Finding out as much as you can about a condo and its HOA is essential. If you have questions or want to view condos for sale, talk to your real estate agent today.