I'm either shocked, stupid or just puzzled

So DH and I have been doing pretty well financially. I unexpectedly got a nice bonus, and DH will likely get a bonus as well- which will nicely contribute to our savings.

So we've been toying around with the idea of looking for a condo.

That being said, I was looking on MLS and the prices are what I expect but the common charges are giving me sticker shock.....

2Br/1.5 bath
Price$299,000
Taxes:$6,267.15
Common Chg: $515.00

So, please let me know if I get this right.

Hypothetically, If we put say 20% down:

30 Yr Mortgage: $1434.12
Taxes: $522.26
Common Chg:$515.00
Monthly Cost:$2478.31

I guess when I calculate it out, it just seems like a bit much to me.

Re: I'm either shocked, stupid or just puzzled

yeah.... thats why we decided to go for a house..

but remember those common charges cover landscaping, snow removal, and other things you would have to do yourself or pay for in a house.

Re: I'm either shocked, stupid or just puzzled

that sounds right to me. condos are not such a great deal when you factor in the common charges that are NOT tax deductible!

you're better off buying a small house. JMO

Re: I'm either shocked, stupid or just puzzled

Are those common charges with STAR? Ours for our condo went down considerably with STAR.

Re: I'm either shocked, stupid or just puzzled

Re: I'm either shocked, stupid or just puzzled

see for the budget we have which is under 3K, small houses need massive work (ie roof, new plumbing, etc) which would cost us about 75K to get everything liveable. We just won't have that kind of money so we are opting for a condo/townhouse so we can live more comfortable. Those common charges seem very high because were we are looking they are around $247 a month a taxes are $3,600 without STAR (So around 3K).

Re: I'm either shocked, stupid or just puzzled

Pros and cons with both houses and condos. Having the maintenance done for you could be really convenient. Otherwise you would do it yourself or hire someone. Condo living is a lot easier and some are quite large. If you get an end unit you will only share one common wall.

It really depends on your lifestyle.

Re: I'm either shocked, stupid or just puzzled

those taxes are ridiculous for a condo, imo.

Re: I'm either shocked, stupid or just puzzled

Are you sure its not a co-op where some of the taxes are paid thru the monthly maintenance? those monthly charges seem kind of high. We lived in a complex with beautiful landscaping, tennis court, pool etc and we were only paying $450.

Re: I'm either shocked, stupid or just puzzled

That seems about right for a condo, I have a townhouse and the common charges are $190 a month and the taxes are $4200 a year. But in a condo you are only responsible for repairs from your walls in and nothing on the outside while for a townhouse you are responsible for anything in the unit.

Re: I'm either shocked, stupid or just puzzled

Re: I'm either shocked, stupid or just puzzled

for that price range of condo those taxes and common charges seem high

I was looking at condos in the $500K to $600K range in westchester which every claims is so much more $$$ then LI and the taxes were half that and the common charges weren't that high

I decided to buy a house instead- when I did the math having someone mow the lawn for us wasn't worth all the other trade offs we were making

Re: I'm either shocked, stupid or just puzzled

I was shocked by that too! And the co-ops I looked at had common charges that were in the $1k/month range. Then I realized - thank you broker - that I can buy a house that's more money, but the monthly payments are about the same when you factor in the common charges of a condo/co-op.

Re: I'm either shocked, stupid or just puzzled

Well now I know why the asking price was 299k

I see prices that are 100k more but the taxes are like $1,000 less and the common charges are like $150-200 less.

Re: I'm either shocked, stupid or just puzzled

With a co op you pay the maintenence fee which includes your taxes and is tax deductible. In a condo its the maintenence and the taxes so you get hit a little harder..some people prefer the condo over a co op because you own the building but its all the same to me. You still have to pay a maintenence fee. We couldn't afford a house in a decent area so we bought the co op. Good luck with your search!!

Re: I'm either shocked, stupid or just puzzled

Maintenance fees are not necessarily determined by the cost of the condo. They are typically determined by the cost of the upkeep of the grounds and building. That said, if you have a larger unit (which typically costs more), you pay proportionately more than if you had a smaller unit.

Those maintenance fees are very similar to what I pay for my condo unit, which is 1200sqft (2 bed, 2 bath, with formal dining room). I just saw a studio for sale in my complex with half the fees.

I think comparing the fees in one complex to another is like comparing apples and oranges. My complex has a lot of grounds with multiple buildings, indoor and outdoor parking, laundry, storage, etc. so naturally the fees are going to be more than a complex that has only one building, no grounds, no amenities, and no parking. Also, fees can be impacted by some of the budgeting problems of the bast. My fee just went up 6.5% because of a deficit that occured prior to me living here.

Sorry for the novel...but bottom line...yes, a condo can be expensive but you are paying for the convenience of not having to worry about anything outside of your sheetrock!

Re: I'm either shocked, stupid or just puzzled

that's a lot for taxes and maintenance charges! We're in a 2 bedroom, 2 bath - taxes are less than $250 a month and the common charges were just increased to $233. We don't have a lot of extras, - no pool or anything.