Potential investors commonly inquire if homes or condos are a better investment. The truth is that the answer is not black and white. While the answer depends entirely on the buyer’s needs and the local market, condos prove to be a beneficial investment for many.
If you are looking to invest in a large city, specifically Chicago, it is safe to say that purchasing a condo is a wise move.
Financing a condo allows for easier entry into the housing market at a relatively affordable cost, which is especially appealing to new or young investors.
Plenty of investors have profited on condos either through monthly rental income or reselling.
Since the end of the housing market crash in 2007, condos have only been increasing in resale value. Condos have also proven to sell fairly quickly, regardless of the state of the market.
If you chose to rent your condo for extra monthly profit, buyers have an opportunity to take advantage of impressive tax deductions, as well as equity growth.
Finding affordable single-family homes in a big city tends to be unreachable for new or young buyers, with many of these properties reaching the millions. Condominiums, on the other hand, tend to offer a more practical purchase for these types of buyers.
However, prospective condo owners should be prepared to pay monthly or annual homeowner association fees associated with ownership.
Although these fees may dissuade some potential buyers, it is critical to remember that they provide condo owners with an added convenience that homeowners don’t receive. Instead of worrying about keeping up with the yard or dealing with building repairs, condo owners can leave these additional concerns in the hands of the HOA.
Another perk of owning of investing in a condo is the resale rate. Research has shown that condominiums tend to sell quicker than single-family homes, even in the down market.
Securing a worthwhile investment also involves aligning your needs as a buyer with the perfect property. This requires a thorough knowledge of the market as well as your expectations.
For new and experienced investors, licensed brokers can help support prospective buyers’ needs and streamline the search process.
Experienced real estate professionals understand the local and national market and can help point out hot or up-and-coming neighborhoods that will attract future tenants or buyers. They can also help you negotiate prices and ensure that all of your needs are met.
Additionally, agents can help examine HOA documents with a critical eye to ensure that you don’t miss any rules or regulations that may make rentals or resale difficult.
Don’t let the opportunity to invest and build equity pass you by. Team up with an experienced broker and find the perfect condo today!
Get in touch with Luxury Living Chicago Realty 's team of experienced licensed real estate brokers and take the first step in buying or selling a home in Chicago.