Reselling Condos and Co-op's

We have been considering buying a condo- (co-op or townhome) but our biggest concern is reselling it...

How hard is it to resell a condo/co-op/townhome? Is it really a good investment if you only plan to be there 1-3yrs... (tops)

Would it be wiser to rent those years and hold off for the house???

Re: Reselling Condos and Co-op's

honestly DH and I were dead set on not buying a co-op because with our experiences and seeing girls on this site, then can be extremely difficult to sell.

As for condos/townhouses, you own them 100% so selling is a little easier. I wouldn't say its any harder than selling a house. There is always a need for maintance free living.

To give you an example, DH and I love Woodgate Village and luckily we found something just at the right time for us and the sellers. But 3 other units we fell in love were in the contract stages before we even got to go back which was less than 2 weeks. Some sit because either they are too high priced or need massive repairs inside, but most go.

My sister's boyfriend's aunt lives in Nob Hill which is condos and she says reselling is not a problem. She really wanted us to move in there but we didn't want anybody above or below us.

Re: Reselling Condos and Co-op's

We owned a co-op and it was an incredible investment.

We had it for a little over 2 years and basically sold it for double what we paid for it. We did get it for a good price and renovated it, so that helped increase the resale value.

I think you are best off trying to buy a two bedroom b/c it will have a better resale value.

Re: Reselling Condos and Co-op's

We recently sold our Condo and it was teh best investment we ever made! We purchased it in July 2004 and sold it in November 2006.

Re: Reselling Condos and Co-op's

Re: Reselling Condos and Co-op's

I have no idea where this idea of selling a co-op is difficult came from. We sold our co-op with no problems and made a nice profit and know many others who have done the same thing. The only issue is the board not approving someone, but that is not a common thing.

Re: Reselling Condos and Co-op's

The townhouse development I live in seem to sell rather quickly.

Re: Reselling Condos and Co-op's

We bought our co-op in 2004 right before we got married. We decided to sell in 2006 because we needed more room and it sold in about 3 weeks, no problem. We also made enough money on the sale for a downpayment on our house, with a little left in savings.

As long as you keep the place in good shape, and the price is reasonable, you shouldn't have a problem.

Re: Reselling Condos and Co-op's

The ones in my complex sell soon after listing if they are reasonably priced. Ours has gone up about $50,000 in the 2 years we have lived here. Great investment--I am so glad we bought instead of renting.

From what I have seen the garden apartment style co-ops in Suffolk are more difficult to sell.

Message edited 1/31/2007 7:39:03 PM.

Re: Reselling Condos and Co-op's

Bought my co-op in 2000 and sold it in 2005 for almost double. I got an offer within the first 2 weeks it was on the market.

Re: Reselling Condos and Co-op's

I owned a co-op in selden before I met my husband. I bought it for $105K and sold it two years later for $140K I had no problem finding a buyer.

My husband had a condo that he bought a year before we got married in Medford. He bought it for $285K and sold it for $305K a year later.

Both were good investments that we made money on.


Now we have a house that we will be paying for the rest of our lives!!!

Re: Reselling Condos and Co-op's

there was a huge debate about this last week

just keep in mind the market has changed - you might not make any money

you need 5 years to recoup closing costs- as a general rule

the first 7 years of a mortgage is just paying off interest- as a general rule

so IMO opinion I would wait and buy a house as long as your rent is decent and you can save money every month

Re: Reselling Condos and Co-op's

Re: Reselling Condos and Co-op's

RIght now- some people are trying to sell their 2 bdrm condos, for the same price of 3 bdrm HOUSES (in the same area- and in good shape)

Granted there are a few that are more "reasonably" priced... but I just feel like many people- like myself will be saying... "I could buy a whole house for the same price!"


we looked in LB for a condo- a 2 bedroom started at the same price as a house- so after one weekend I stopped and decided to wait

Re: Reselling Condos and Co-op's

I guess you both need to decide if its right for you. Personally why rent when you can buy? But it also depends on what you could buy.

Now if you are able to save enough while renting then go ahead, but unfortuneatly you won't see that money again.

Re: Reselling Condos and Co-op's

but don't buy something just for the sake of buying something

figure out if it's really worth it to you

for example- my Brother was renting a 2 bedroom in FL- for $1300 a month

they bought a $450K townhouse- there mortgage with out taxes is more then double what they were paying in rent- I think $2800- plus $9K a year in taxes ( 2% of your purchases price- and no LAND)

and they plan on leaving FL in 3 years

I don't think they are going to see there money back and this whole time they could have been banking the $1500 per month and left FL with a nice down payment

instead- I think they are going to leave with nothing- the market is really taking a hit down there- but he bought for the sake of buying

Re: Reselling Condos and Co-op's

Re: Reselling Condos and Co-op's

We sold my Dads condo in Oceanside in 3 weeks.

Co ops from what I understand take a lot longer to sell than Condos do

Scott

Re: Reselling Condos and Co-op's

All three require careful research and consideration especially for such a short time.

I can only speak with co-ops as a previous owner. They can be a great investment but they can also hold you back - much like any other property. It all depends on the market and what you put into it. Renovated units sell faster than unrenovated. Location plays a key role as well. The financial position of the co-op is a huge deal too. Because you own shares rather than the property - you need to make sure that you are comfortable with the financials. It's never just one factor - it's many things that play into it. Demand might be high for a co-op but if it's not renovated, over-priced, and in a bad location...it will be difficult. This can be true for any property though.

It's all a matter of opportunity. Good Luck!

Re: Reselling Condos and Co-op's

Marissa...we owned a 1 bedroom co-op and made a HUGE profit. We bought our co-op for 63,500 4 years ago. We sold it for 165,000. We were the only ones out of our friends who didn't rent and had a large chunk of money to put down on our house. We sold it with a realtor in about a month.

Re: Reselling Condos and Co-op's

Condos are easier to sell because you own the actual unit, not shares in the building as you do in a co-op.

But I'd say owning a co-op is still better than renting. Though when I was looking, I saw co-op maintenence fees that in some cases were just as high on their own as my rent.

Re: Reselling Condos and Co-op's

Re: Reselling Condos and Co-op's

To be honest...I've been having a problem selling my coop in the last few months and i think its because it was a new conversion two years ago and there isn't a lot of money in reserve. Other than that if i would have put it on the market in the beginning of last year...we would have made a killing. they were selling in 2 weeks for double what i bought for. so now we're struggling to get it sold but i know eventually we'll sell it. it will be a great investment no matter what because we know we'll make a profit not as much as before but enough for a house. just make sure you investigate all of your options first but either way..i think renting is a waste of money..jmo

Re: Reselling Condos and Co-op's

i bought my one bedroom coop for $70,000, and resold it 3 years later for $140,00!! it sold in 2 weeks. i say go for it.

Re: Reselling Condos and Co-op's

There are also programs for first-time home buyers that can cover some or all of your closing costs.....